Consumer complaint received 2026-03-01 00:00:00
Product: Credit card — General-purpose credit card or charge card
Issue: Closing your account — Company closed your account
Company: NAVY FEDERAL CREDIT UNION
State: AZ

Complaint narrative:
Dear Navy Federal Credit Union : This letter constitutes formal notice pursuant to the Notice of Claim provision in our Credit Card Agreement, which states : Neither you nor XXXX XXXX XXXX commence, join, or be joined to any judicial action ( as either an individual litigant or the member of a class ) that arises from the other partys actions pursuant to this Agreement or that alleges that the other party has breached any provision of, or any duty owed by reason of, this Agreement, until such party has notified the other party of such alleged breach and afforded the other party a reasonable period after the giving of such notice to take corrective action. I am hereby notifying you of the following breaches and affording you a reasonable period to take corrective action. I note that XXXX XXXX failed to extend me this same courtesy before closing my accounta direct violation of this very provision. 1. Failure to Provide Adverse Action Notice On or about XX/XX/XXXX, XXXX XXXX closed my credit card account without providing any notice, written or otherwise, and without stating any reasons for the closure. A credit card account closure that does not affect all or substantially all of a class of accounts constitutes adverse action under the Equal Credit Opportunity Act, 15 U.S.C. 1691 ( d ) ( 6 ), and Regulation B, 12 C.F.R. 1002.2 ( c ) ( 1 ) ( ii ). You were required to provide written notice with specific reasons within 30 days under 12 C.F.R. 1002.9 ( a ) ( 1 ). You did not. This is a violation of federal law. 2. Inaccurate and Inconsistent Credit Reportin g XXXX XXXX has furnished materially different information to the consumer reporting agencies regarding this account. Experian reflects XXXX XXXX late payments in XX/XX/XXXX and XX/XX/XXXX. Equifax reflects only XXXX XXXX late payment in XX/XX/XXXX and does not report XX/XX/XXXX as late. These reports can not both be accurate. Under 15 U.S.C. 1681s-2 ( a ) ( 1 ) ( A ), furnishers are prohibited from reporting information the furnisher knows or has reasonable cause to believe is inaccurate. Under 15 U.S.C. 1681s-2 ( a ) ( 1 ) ( B ), furnishers must correct and update information that is incomplete or inaccurate. The inconsistency across bureaus is, on its face, evidence of inaccurate furnishing. Additionally, I did not receive any late payment notices, past-due statements, or communication of any kind regarding alleged delinquencies prior to account closure. I dispute the accuracy of all reported late payments on this account. XXXX. Failure to Provide Privacy and Opt-Out Notices Under the XXXX XXXX XXXX has never provided me with : ( a ) an initial privacy notice as required by 15 U.S.C. 6803 ( a ) and 16 C.F.R. 313.4 ; ( b ) annual privacy notices as required by 16 C.F.R. 313.5 ; or ( c ) an opt-out notice with a reasonable opportunity to opt out before disclosing my nonpublic personal information to nonaffiliated third parties, as required by 15 U.S.C. 6802 ( b ) and 16 C.F.R. 313.7. I have been a member since at least XX/XX/XXXX. At no point during this five-year relationship have I received any such notices or been afforded the opportunity to direct XXXX XXXX not to share my information. 4. Forfeiture of Rewards Upon closing my account without notice, XXXX XXXX purged my accrued rewards balance. The account statement states that redemptions are not permitted on closed or delinquent accounts. XXXX XXXX created the condition ( closure without notice ) and then relied on that condition to forfeit my property. This constitutes a breach of the cardholder agreement and is an unfair practice. XXXX. Breach of the Notice of Claim Provision The Agreements own Notice of Claim provision requires that a party notify the other of an alleged breach and afford a reasonable period to take corrective action before taking adverse steps. XXXX XXXX did not notify me of any alleged breach, did not identify any concern with my account usage, and did not afford me any opportunity to take corrective action before closing my account. XXXX XXXX failure to follow its own contractual dispute resolution process is itself a breach of the Agreement.

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