Consumer complaint received 2025-02-20 00:00:00
Product: Credit card — General-purpose credit card or charge card
Issue: Struggling to pay your bill — Credit card company won't work with you while you're going through financial hardship
Company: NAVY FEDERAL CREDIT UNION
State: VA

Complaint narrative:
To Whom It May Concern, I am writing to formally file a complaint against Navy Federal Credit Union ( NFCU ) regarding their predatory and unfair banking practices, specifically the unauthorized withdrawal of funds from my account to cover high-interest credit debt while failing to provide any financial assistance or meaningful relief during a documented financial hardship. 

Despite making on-time payments for years, I have encountered severe financial distress and reached out to NFCU multiple times for assistance. I have spoken with at least XXXX different representatives, all of whom failed to offer any viable options, such as interest rate reductions, forbearance, or hardship programs. Instead of working with me to establish an affordable repayment plan, NFCU has unilaterally depleted my account, leaving me with only $ XXXX amount insufficient to cover food, rent, and other essential living expenses. 

Violations of Consumer Protections & Unfair Banking Practices Navy Federal Credit Unions actions may constitute violations under federal consumer protection laws, including but not limited to : The Consumer Financial Protection Act ( CFPA ) [ XXXX XXXX. XXXX, et seq. ] NFCU 's refusal to offer financial hardship assistance, coupled with their unilateral withdrawal of funds without regard for my essential living needs, constitutes unfair, deceptive, and abusive acts or practices ( UDAAP ) as defined under the CFPA. 

The Fair Credit Billing Act ( FCBA ) [ XXXX XXXX. XXXX ] NFCU has failed to properly investigate and respond to disputes regarding unfair fees and interest rate policies, disregarding my repeated attempts to seek relief. 

The Electronic Funds Transfer Act ( EFTA ) [ XXXX XXXX. XXXX ] The banks aggressive withdrawal of funds without explicit consent to prioritize credit repayment over essential expenses raises concerns under EFTA protections.

The Service members Civil Relief Act ( SCRA ) [ XXXX XXXX. XXXX ] If applicable, NFCU may also be in violation of interest rate reduction provisions for military-affiliated members, demonstrating a broader pattern of non-compliance with financial hardship relief obligations. 

Data Breach Concerns & Heightened Risk for Victims Additionally, Navy Federal Credit Union has been affected by multiple data breaches in recent years, potentially compromising member security and financial well-being. 

If my personal data was among those compromised, NFCUs lack of hardship assistance further exacerbates the financial strain imposed on affected customers. Under the Fair Credit Reporting Act ( FCRA ) [ XXXX XXXX. XXXX ], data breach victims should be afforded greater financial protections, including waived fees, reduced interest rates, and extended repayment optionsnone of which NFCU has offered.

Company public response: Company believes it acted appropriately as authorized by contract or law
Company response to consumer: Closed with explanation