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BBB Accredited Business since

Desert Schools Federal Credit Union

Additional Locations

Phone: (602) 433-7000 View Additional Phone Numbers 148 N. 48th Street, Phoenix, AZ 85034 http://www.desertschools.org View Additional Web Addresses



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Description

This company offers Personal and Business Checking, Savings, IRA’s, Roth, Simple/SEP IRA’s, Money Market, Home, Pool, Auto Loans, Investment Accounts, Insurance, Credit Cards, Tax Planning, Teachers TSA 403(b), Asset Allocation, Estate Planning, and 401(k) Rollover.


BBB Accreditation

A BBB Accredited Business since

BBB has determined that Desert Schools Federal Credit Union meets BBB accreditation standards, which include a commitment to make a good faith effort to resolve any consumer complaints. BBB Accredited Businesses pay a fee for accreditation review/monitoring and for support of BBB services to the public.

BBB accreditation does not mean that the business' products or services have been evaluated or endorsed by BBB, or that BBB has made a determination as to the business' product quality or competency in performing services.


Reason for Rating

BBB rating is based on 13 factors. Get the details about the factors considered.

Factors that affect the rating for Desert Schools Federal Credit Union include:

  • Length of time business has been operating
  • Complaint volume filed with BBB for business of this size
  • Response to 50 complaint(s) filed against business
  • Resolution of complaint(s) filed against business


Customer Complaints Summary Read complaint details

50 complaints closed with BBB in last 3 years | 24 closed in last 12 months
Complaint Type Total Closed Complaints
Advertising/Sales Issues 4
Billing/Collection Issues 18
Delivery Issues 1
Guarantee/Warranty Issues 1
Problems with Product/Service 26
Total Closed Complaints 50

Customer Reviews Summary Read customer reviews

15 Customer Reviews on Desert Schools Federal Credit Union
Customer Experience Total Customer Reviews
Positive Experience 2
Neutral Experience 0
Negative Experience 13
Total Customer Reviews 15

Additional Information

BBB file opened: September 01, 1977 Business started: 01/01/1939 in AZ Business started locally: 01/01/1939 Business incorporated 03/25/1999 in AZ
Licensing, Bonding or Registration

This business is in an industry that may require professional licensing, bonding or registration. BBB encourages you to check with the appropriate agency to be certain any requirements are currently being met.

These agencies may include:

National Credit Union Adm.
1776 G Street N.W., Washington, D.C. 20456
Phone Number: (202) 682-9600

Type of Entity

Limited Liability Company (LLC)

Business Management
Ms. Susan Frank, President/CEO Mr. Ron Amstutz, Executive Vice President Mr. Jeffrey D. Meshey, Senior Executive Vice President Mr. David Strachan, Executive Vice President
Contact Information
Principal: Ms. Susan Frank, President/CEO
Business Category

Credit Unions Financing Loans Loans - Small Business Real Estate Loans Savings & Loan Association - Reps Savings & Loan Associations Mortgage Bankers Loan Modification Health Savings Administrators Loan Servicing College Savings Plans Mortgage Lender Loan Originator Loan Modification - Auto Banks

Alternate Business Names
Desert Schools Financial Services, LLC
Industry Tips
Advance Fee Loans Loan Modification Consumer Tip Reverse Mortgage: What to Know

Customer Review Rating plus BBB Rating Summary

Desert Schools Federal Credit Union has received 0 out of 5 stars based on 0 Customer Reviews and a BBB Rating of A+.

BBB Customer Review Rating plus BBB Rating Overview

Additional Locations

  • 1060 S. Watson Road

    Buckeye, AZ 85326

  • 10725 NW Grand Avenue

    Sun City, AZ 85351

  • 1245 E. Broadway Road

    Tempe, AZ 85282

  • 1262 N. Stapley Drive

    Mesa, AZ 85203

  • 13200 W. McDowell Road

    Goodyear, AZ 85338

  • 13770 W. Bell Road

    Surprise, AZ 85374

  • 1380 W. Elliot Road

    Tempe, AZ 85284

  • 13875 N. Northsight

    Scottsdale, AZ 85260

  • 148 N. 48th Street

    Phoenix, AZ 85034

  • 1525 N. Gilbert Road

    Gilbert, AZ 85234

  • 1606 S. Signal Butte

    Mesa, AZ 85206

  • 16772 W. Bell Road #111

    Surprise, AZ 85374

  • 1725 W. Hunt Hwy

    Queen Creek, AZ 85142

  • 17445 N. 79th Avenue

    Glendale, AZ 85308

  • 1825 W. Bell Road

    Phoenix, AZ 85023

  • 185 W Apache Trl

    Apache Jct, AZ 85120

  • 1949 W. Ray Road

    Chandler, AZ 85224

  • 20797 N. John Wayne Pkwy

    Maricopa, AZ 85139

  • 21655 N. Lake Pleasant Pkwy

    Peoria, AZ 85382

  • 2355 S. Alma School Road

    Mesa, AZ 85210

  • 23565 N. Scottsdale Road

    Scottsdale, AZ 85255

  • 2500 N. 44th Street

    Phoenix, AZ 85008

  • 2501 S. Market Street

    Gilbert, AZ 85296

  • 2501 W. Happy Valley Road #34

    Phoenix, AZ 85027

  • 2750 E. Germann Road

    Chandler, AZ 85286

  • 300 N. Beeline Hwy

    Payson, AZ 85541

  • 3423 E. Bell Road

    Phoenix, AZ 85032

  • 4329 W. Northern Avenue

    Glendale, AZ 85301

  • 4330 E. Southern Avenue

    Mesa, AZ 85206

  • 4505 E. McKellips Road

    Mesa, AZ 85215

  • 4619 E. Cactus Road

    Phoenix, AZ 85032

  • 4940 E. Ray Road

    Phoenix, AZ 85044

  • 5140 W. Baseline Road

    Laveen, AZ 85339

  • 5250 W. Indian School Road

    Phoenix, AZ 85031

  • 5290 S. Power Road

    Gilbert, AZ 85295

  • 5555 N. 7th Street #140

    Phoenix, AZ 85014

  • 5690 W. Thunderbird Road

    Glendale, AZ 85306

  • 5845 W. Bell Road

    Glendale, AZ 85308

  • 6131 E. Southern Avenue

    Mesa, AZ 85206

  • 6145 N. 35th Avenue

    Phoenix, AZ 85017

  • 6633 N. Black Canyon

    Phoenix, AZ 85015

  • 7502 W. Thomas Road

    Phoenix, AZ 85053

  • 7575 W. Lower Buckeye Road

    Phoenix, AZ 85043

  • 7975 W. Peoria

    Peoria, AZ 85345

  • 8220 Via Paseo del Norte

    Scottsdale, AZ 85258

  • 826 E. Union Hills #E

    Phoenix, AZ 85024

  • 857 N. Dobson Road

    Mesa, AZ 85201

  • 985 E. Riggs Road

    Chandler, AZ 85249

  • P.O. Box 2945

    Phoenix, AZ 85062

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BBB Customer Review Rating plus BBB Rating Overview


BBB Customer Reviews Rating represents the customers opinions of the business. The Customer Review Rating is based on the number of positive, neutral and negative customer reviews posted that are calculated to produce a score.

Customer Review Experience Value
Positive Review 5 points per review
Neutral Review 3 points per review
Negative Review 1 point per review

BBB letter grades represent the BBB's opinion of the business. The BBB grade is based on BBB file information about the business. In some cases, a business' grade may be lowered if the BBB does not have sufficient information about the business despite BBB requests for that information from the business.
Details

BBB Letter Grade Scale

BBB Rating Value
A+ 5
A 4.66
A- 4.33
B+ 4
B 3.66
B- 3.33
C+ 3
C 2.66
C- 2.33
D+ 2
D 1.66
D- 1.33
F 1
NR -----
Star Rating scale

  Average Score
5 stars 5.00
4.5 stars 4.50-4.99
4 stars 4.00-4.49
3.5 stars 3.50-3.99
3 stars 3.00-3.49
2.5 stars 2.50-2.99
2 stars 2.00-2.49
1.5 stars 1.50-1.99
1 star 0-1.49

BBB Customer Review Rating plus BBB Rating is not a guarantee of a business' reliability or performance, and BBB recommends that consumers consider a business' BBB Rating and Customer Review Rating in addition to all other available information about the business. If the BBB Rating is NR then only Customer Reviews are used for the Star Rating.

Complaint Detail(s)

8/18/2016 Problems with Product/Service
8/4/2016 Advertising/Sales Issues
8/1/2016 Problems with Product/Service
7/21/2016 Problems with Product/Service | Complaint Details Unavailable
7/12/2016 Billing/Collection Issues | Read Complaint Details
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Additional Notes

Complaint: Hello,

I'm writing this email in regards to my Desert Schools account that I have had for almost a decade.  I am extremely upset over being assessed 15 NSF fees from 7/2 - 7/5.  I've comed to learn that this has happened because of having an $800 limit Privliege Account, which I had no idea that I had and would have never signed up for knowing how it worked.  I don't know anyone that would want an $800 limit to go negative in their checking and be assessed $35 for each transaction.  

I am a single mother who traveled out of state to IL to see my 2016 high school graduate son at his first real job.  There was a mix up and confusion on my part, but my card ended up having a hold place and also being charge twice for hotel stay.  I had no idea this was being done while I was out and about using my card.  It is beyond upsetting to me that I was allowed to use my card 15 different times before finding out my account was overdrawn.  

I have been charged $35 each for 15 NSF transactions, which total $525.  I called in extremely upset, crying and crying and I was credited some of the fees.  After talking to many people and reading posts on social media, I decided to call in again asking for help, all I could think is that one week of working went towards paying NSF fees, I honestly felt like I was going to have a panic attack.  After several hours on the phone and talking to about 5 different people I was credited a total of $367.50, which leaves me paying $157.50 in NSF fees.

Please go back and look at my account, I do not have a history or a pattern of getting NSF fees.  I work very hard for my income, I raised an azamizng child all on my own and I was so excited to go see him and support him in his new venture in life and I ended up coming back completely destroyed.

I feel like after the 3rd use of my card of not having any funds available should have been declined.  I don't know anyone who would want to take advantage of such a program as "Privliege Account".  I asked that it be taken off my account immediately, as this is not by any means any type of privliege to me.  I never want to experience a mistake on my card every again and come home to find out that I have $500 in NSF fees.

Desired Settlement: I am asking that you please please review my account and issue more of a credit.  I can't afford to pay $157.50 for NSF fees, and if my card would have been suspended after the first two transactions of not having any money in my checking account, I would have known of the error with the hotel mix-up, and I would have caught this error and made corrections while I was in IL.

I am an employee of ***** Bank for many years and I choose to have my account with Desert Schools. I love having my account with your company, but after this horrific incident, it makes me rethink who I hold my accounts with.

Please review this matter and contact me as soon as possible.

Thank you,

****** ****** ******* ****** **** * ******** *** ***** ** *****

Business Response:

To Whom It May Concern,

Attached please find the response to the BBB Complaint ******** as well as copy of the letter and response as noted in the BBB response letter for your reference.

Thank you.

Deana H*******

***** ********

7/8/16

Consumer Response:

Better Business Bureau:Hello DSFCU

Words cannot express how thankful I am for your prompt response and action that was taken regarding my checking account.

My heart is filled with gratitude, knowing I can count on my Financial institution to do what is right. It also comforts me to know, that I have chosen the right CU for all my banking needs. I will continue to share with my friends & family of our trustworthy relationship.

Again, thank you from the bottom of my heart

I have reviewed the response made by the business in reference to complaint ID ********, and find that this resolution would be satisfactory to me.  I will wait until for the business to perform this action and, if it does, will consider this complaint resolved.

Regards,

****** ******
 

7/4/2016 Problems with Product/Service | Read Complaint Details
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Additional Notes

Complaint: Had received my paycheck on Friday. Saturday I went to a convention and started to purchase items with the money that was in my account. by the end of the evening i had been charged multiple bounced charges. Two of the charges I had done without realizing it, but five of the bounced fees that had occurred were falsely placed as i had the funds in my account to pay for those five purchases. Because the bounced fees were placed the fees were the reason i was unable to pay for my purchases not because i didn't have the needed funds to purchase. I sent a message online assuming that someone would contact me because it says online that they will speak to you now. They didn't so I waited until Monday to go in. When I went in I was given the run around and no one could give me a direct answer. The Manager was very rude and nasty. I am a customer trying to figure out how I am being told I had no money for my purchases but I did less two of them. The regional manager reviewed i guess my issue and said that because I had an issue before with their system they could not help me this time. Also on Monday the gentlemen I was suppose to call in regards to the online message i sent had removed one of the bounced fees and after I had gone in to speak to the manager at the bank that was removed and the fee was put back. I have also not been able to view the reason for my fees online as it errors out and then nothing on my account works so i have to shut everything down and log back in. I feel violated and abused by all of this. I have never known a company so bend set on extorting money out of people. I know the last two were my fault but the other five was not.

Desired Settlement: I would like the five corrected so that I may fix the rest of my account and close everything I have. I will no longer be affiliated with a company who doesn't view their customers as customers but just money.

6/11/2016 Billing/Collection Issues
5/6/2016 Guarantee/Warranty Issues
2/25/2016 Billing/Collection Issues | Read Complaint Details
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Additional Notes

Complaint: In 2013 I returned from travel abroad. I was going through major mental health issues, and was unable to regain help with power of attorney. I cancelled and changed two payments in my online bill pay program on the banks website in November 2013, applied to start December 2013. The first payee was ****** ***, and although I cancelled future payments to this payee, two checks were issued to go out to the payee, without authorization. That payee returned the fees. The bank took no responsibility for the mistake. The other payee, ******, refused to return the funds that the bank sent out. For that item, I changed my payments from medical, dental and vision to just dental and vision for two months, and altered the amount in my banking account, to apply for two months. The system has no way to print changes. I have banked there since 2006, and never had an issue in the past with online banking, and with the bank, this is the first time. I spoke to a banking finance lawyer who told me that the liability to resolve the issue is not ******, but the bank, because their system malfunctioned. I have lost 3-4 payments over $600, have another payment that was charged, and would like this resolved. I can no longer view my statements to provide the exact amounts at this moment, but can provide as my file with the information is in storage. The lawyer was not retained and no litigation has been issued or planned, just information obtained to find solutions to resolve this issue. I hope this BBB complaint will fix the problem.

Desired Settlement: I would like all money that was wrongly sent off to ******, and any fees occurred to be returned to my bank account and an apology. I would like to have the issue looked at so this issue doesn't occur again in the future and I can regain better feelings about banking online again. This company was good to me for 10 years, and I would like to continue banking with them with more faith. I think one mistake is better fixed than left unresolved with anger.

Business Response: Dear Ms. **********:

I am writing in response to the complaint you recently filed with the Better Business Bureau regarding the bill payments to ****** from your account. Thank you for bringing your concerns to our attention.

In your complaint, you identified problems with payments made through our bill-pay system and, in particular, three payments to ****** in amounts that you did not authorize. After reviewing your account we can see where you established a reoccurring bill payment to pay ****** for $608.47 each month starting in October 2012. We can also see where you modified your pending payment in November of 2013, reducing it from $608.47 to $45.19. That seems to be where the issue occurred.

Our bill-payment system provides members the opportunity to change or cancel individual pending payments directly from the main “Payment Center”; however, it is necessary to access the “Manage My Bills” menu in order to change multiple scheduled payments. Desert Schools has no way to make changes of this sort on a member’s behalf. It appears, from our review that you only changed the amount for the pending payment, and not for the recurring payments scheduled in the months to follow. As a result, the December 2013, January and February 2014 payments to ****** were sent in the original amount of $608.47.

When you contacted our Member Assistance Center in February 2014 regarding this issue we indicated that only the November payment had been modified and not the recurring payments to follow; however, it is clear from your complaint that we did not explain the source of the issue adequately. However, we were correct in directing you to the payee (******) for a refund or credit. Based on your account of the change in your premium, it appears you inadvertently overpaid them and it seems logical they should refund that overpayment.

I hope my explanation helps to clear-up any remaining confusion regarding changing payments through our bill-pay system. If I have managed that, you should now understand that the bill-pay engine processed the payments correctly, based on the inputs you had provided and, as a result, I cannot authorize a refund of the apparent over-payments to ******. However, our review did uncover an NSF Fee which was charged to your account on 3/21/2014. On the assumption that the payments issue may have contributed to the NSF fee of $35.00, we have refunded that amount. In the event my response has not adequately explained the process, or if you have any further questions or concerns, please feel free to call me directly at ###-###-####.

*** ******
Vice President – Contact Center Operations

2/21/2016 Problems with Product/Service | Read Complaint Details
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Additional Notes

Complaint: I deposited a check into my checking account more than a week ago and the bank STILL hasn't released the funds and has charged me more the $500 in Insufficient Funds charges. According to my statement my current balance is more than $1,000 yet my Available Balance is -$700. I've asked them why they haven't released my funds and they just dance around the question and feed me some process **. I lost my job and now because of Desert Schools I am unable to pay my bills, rent and food. Because of Desert Schools I will be homeless.

Desired Settlement: My funds released and be reimbursed for the NFS charges so I can pay my bills, rent and food.

Business Response:

Attached is a copy of our response to the BBB complaint ID #******** submitted by our member ****** **********

If you have questions or need any additional information regarding this complaint, please contact us.

Thank you,

Sandy K********

Executive Assistant

Desert Schools Federal Credit Union

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1/24/2016 Problems with Product/Service | Read Complaint Details
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Additional Notes

Complaint: I am done with this bank I have told them I do not want overdraft protection on my account. if I don't have money on the account than I should be able to make purchases but even after I requested this it still messes with my account. It tells me I have an available balance of 135 with all pending transactions with two transaction amounts for 100 and 40 dollars but yet when I look through all the transactions it shows i'm going to be negative yet it still shows I have an available balance of 135 on 12/26. I am so tired of this bank I am going to close this account I have had it with them first it was the deposit then it was the faulty cards they issue in leiu of cards that actual work and this overdraft protection issue. Its so hard to keep track of what you have if they do not post transactions within a reasonable amount of time. and now i'm going to be out because they still want to get me for over draft after I have told them if I don't have money in the account than I shouldn't be able to make purchases. not only that but they continue to harass me with letters il get a letter which states they increased my overdraft protection from 600 to 800 than 2 weeks latter they send a letter saying the lowered it from 800 to 600 and this has happened 3 or four times within the past 2 years. its really irritating that they send letters like this when I do not want it and quite frankly it is harassment.

Desired Settlement: if desert schools does not correct this matter than I will forward all the issues I have had with the bank for the last 2 years with the attorney generals office and the Arizona department of financial institution. and possibly seek legal action because quite frankly. I will also be closing my account with desert schools. I am sick of this I want to know what is in my account and it is the banks responsibility to report this in the proper manner

Business Response:

Attached is a copy of our response to the BBB complaint ID #******** submitted by our member **** *******. If any questions or additional information is needed, please let us know.

Thank you,

Sandy K********

Executive Assistant

Desert Schools Federal Credit Union

1/16/2016 Problems with Product/Service | Read Complaint Details
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Additional Notes

Complaint: The credit union receives a direct deposit from the US treasury every month on the 30/31 or 1st for deposit into my checking account. Desert schools will not credit my account in a timely manner. Desert schools received my deposit on 11/30 but made funds available 12/2. This month, my deposit was received on 12/31 but will not be available until 01/04. The only response I was giving is that it is "processing"? However, I don't think it is ethical for a financial institution to hold electronic deposits for days until they "get around" to posting them. Other institutions with integrity will release funds immidiately. No one can tell me why the credit union has this practice. People need their money when received, not when the credit union feels like releasing it. There are bills to pay.

Desired Settlement: I would like someone from the credit union to explain to me why my direct deposits are not available when they are received and to make them available without delay/days later.

Business Response:

Attached is a copy of our response to BBB complaint ID #******** submitted by our member ******* *****. If any questions or additional information is needed, please let us know.

Thank you,

Sandy K********

Executive Assistant

Desert Schools Federal Credit Union

12/6/2015 Problems with Product/Service
12/2/2015 Problems with Product/Service | Read Complaint Details
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Additional Notes

Complaint: In May 2015 I went to Desert schools credit union to close my savings and checking account. In Nov 2015 I receive a letter that my account is overdrawn by $6.98. This account has been closed for 6 months. So I called and spoke with a representative that informed me that ***** *** ******g issues a credit of 28.02 to my account. Since the account was closed desert schools forced the account back open and applied the funds. Then for 5 months i was being charged a $7.00 membership fee. Unbeknownst to me that my account had been reopened. The overdrawn $6.98 was for the 5th month of the account being reopened. So I came to the branch to explain the situation and ask why I was not notified when the account had been reopened so that I could close the account again. They advised they do not notify when an account is reopened. And they could refund me 3 of the $7.00 charges. So I closed my account again and received $14.02 when I should have received the full amount that ***** *** had credited. Why would it be ok for desert schools to charge me $14.00 in fees for an account I closed??

Desired Settlement: $14.00 the remaing amount that was issued

Business Response:

Attached is a copy of our response to BBB complaint ID ********* submitted by ******* ** ********

If any questions or additional information is needed, please contact us.

Thank you,

***** *********

Executive Assistant

Desert Schools Federal Credit Union

Consumer Response: [A default letter is provided here which indicates your acceptance of the business's response.  If you wish, you may update it before sending it.]

Better Business Bureau:

I have reviewed the response made by the business in reference to complaint ID ********, and find that this resolution would be satisfactory to me.  I will wait until for the business to perform this action and, if it does, will consider this complaint resolved.

Regards,
******* *******

 

12/1/2015 Problems with Product/Service
11/23/2015 Advertising/Sales Issues
11/7/2015 Problems with Product/Service
10/27/2015 Problems with Product/Service | Read Complaint Details
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Additional Notes

Complaint: I asked to remove an account that is 7 years old off of my credit report. I spoke with 3 customer service representatives who all told me they had no authority to remove this from my account. I was told to contact the company they charged my account to which was credit solutions corp. I already paid my debt with them and they have stopped reporting it to my credit report. I could not understand how they would be responsible for desert schools to stop reporting. So finally after speaking with ****** ********* **** and Experian and Equifax, I decided to speak with a supervisor at desert schools. This supervisor was extremely rude to me. I asked her who I should speak with to try and have this removed and she said "we WONT remove it because we took a loss." I asked when it will come off my report and she said "between 7 and 10 years." I understand if this is a policy that desert schools must report for a certain amount of time. However, someone could've said that instead of yanking my chain and than being nasty with me.

10/18/2015 Advertising/Sales Issues | Read Complaint Details
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Additional Notes

Complaint: I and my wife are in process of buying a home for our family, we discussed that I should either sold or refinance one of my several vehicle, after watching one of desert school commercial on TV, offering a 1.99 APR, or on their website "Tune-up your auto loan payment by refinancing today. With rates as low as 2.84% APR² and 90 days³ to first payment, you have an opportunity for lower payments." I decided to do an application, after pulling my credit I asked the agent about the rate, she reply that those rate are only for new vehicle, that my rate will be 3.99 APR or more depending on my credit, I was very upset because I could had apply with my bank **** ******s, so I decided to proceeded with loan since they had already pull up my credit, I own more than 10 vehicle while doing the application I were ask how I used my vehicle, my response was for personal use also to go work since I own my business. A couples hours later received a phone call from the agent telling me that I have good credit, enough income but the bank decided not to proceed with the loan because my vehicle is registered under my business , I was not sure on how to respond so I ask to speak to the supervisor and asked if I could used another vehicle? When I went back home look into my title I found out that my vehicle was registered on my name only, so I called the loan department and spoke with ******* who adviser me to email it, since I was close to the branch decided to have them scan it and upload it to my loan application 183385, also spoke to ******* who once again reassured me that now they have everything, I should heard from they office before the end of the days, No one called me, so I decide to call spoke with ***** who inform me that the application where denied because of my auto loan history , so I confronted her telling her that I have a 750 plus credit score and more than 3 auto loan paid off, no collection! That it must be a mistake! Early the denial reason was because of my registration, now it something else, I request to speak with a supervisor, I spoke with ***** unfortunately she hang up on me

Desired Settlement: Approve my application! I have the income and the credit, or I will take action for false advertisement , wrong doing, damage to my credit, and leave to the judge to decided!

10/18/2015 Problems with Product/Service
10/17/2015 Billing/Collection Issues
10/16/2015 Problems with Product/Service
10/1/2015 Problems with Product/Service | Read Complaint Details
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Additional Notes

Complaint: To whom it may concern; I have also filed a complaint with the ******* ******* *** ****. I am referencing REG CC from NCUA & the Federal Reserve. http://www.ncua.gov/Legal/GuidesEtc/Pages/Consumer-Compliance-Manual.aspx & http://federalreserve.gov On 9/9/2015 I opened a Savings Account with Desert Schools, my wife and new born son were present. The account was opened with $1,000 Cashier's Check drawn off a local **** ** *******. The funds were placed on an extended hold violating the rules and regulations stated in REG CC. The rules list the next day items and collection of funds and why if any reason they should be placed on a normal hold and remaining funds released. (Please reference the above links). *The funds will not be made available until 9/22/2015 *Cashiers Check drawn off **** ** ******* local financial Institution *No reason was given for extended hold *Deposit slip stated funds were made available Called today at 9/10 to customer support at 9:29 a.m., asked if they could explain reg CC. The associate could not. She looked at the Cashiers Check and said that it was ridiculous and would transfer me to another associate who could assist. The associate recognized reg CC and did not explain the hold nor did he understand why it was held. "****" than proceeded to see if he could release the funds based on REG CC, he came back and stated our credit union for a new account based on reg CC 30 day rules can place an extended hold and recommended I file a complaint because he understood the issue. *Next day availability rules apply to cash, electronic payments, and any other next-day item. *It does state that an extended hold can be placed on a CASE by CASE situation (example personal check, not local etc.) I am local, I work for a major university in the area and I was in the branch with my wife and new born son, with a cashiers check drawn off a local major financial institution (**** ** *******) Thank you,

Desired Settlement: I would like for my funds to be released according to the rules and regulations established by the government following REG CC, the credit union could of called the local branch and verified funds availability. It was the worst service my wife and I have every experienced. I currently bank with **** ** *******, ****** ******** ****** ***** and plan on putting 500 away every 2 weeks into a ****** ***** ******* account. We received a deposit slip stating funds were available and today was told they would not be released until the 9/22/2015. The manager nor did the banker give any reason to why the funds of a Cashier Check drawn off a local bank would be held. The computer/scanner would not even hold the funds she did the deposit several times and I explained the REG CC and the check. So I would like for the associates to be trained on REG CC and my funds released as I am certain they will be collected within the next 2 days if not sooner.

Business Response:

******** ** * **** ** *** ******** ** *** *** ********* ** ********* ********* ** *** ****** **** ** ********* 
If any questions or additional information is needed, please contact us.

Thank you,


***** *********
Executive Assistant
Desert Schools Federal Credit Union

*** **** * ******** **** ** ********** *** ********* ** *****

*** *** ********* ** ********* **** *** *********
Desert Schools Federal Credit Union received the complaint (referenced above) you filed with the Better Business Bureau. Your complaint concerned the hold that was placed on a cashier’s check you deposited to establish your new Membership Savings account at Desert Schools.

As confirmed in my call with *** ******** (joint owner) on September 11th, Desert Schools released the hold placed on the funds in your account.  We appreciate you bringing this situation to our attention and apologize  for any inconvenience this may have caused. While non-transaction accounts (e.g., savings accounts) are not governed by Regulation CC, Desert Schools generally follows those rules for new members (i.e., accounts   opened within thirty (30) days).  Having that said, your deposit should have been available the first business day after your deposit.  Desert Schools will take your feedback and use it as an opportunity to refresh our  employees’ understanding of the applicable regulations and our Statements of Terms, Conditions, and Disclosures.

Please be advised that our records do indicate you were provided with a receipt at the time your transaction was completed showing that the amount ($1,000) of your deposit would be held through September 22, 2015.

We appreciate you taking the time to share your experience and apologize for any inconvenience or frustration this situation has caused.  If you have additional questions or concerns, please feel free to reach out to me directly.

 

9/27/2015 Billing/Collection Issues | Read Complaint Details
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Additional Notes

Complaint: I have a program attached to my account that covers NSF fees. It pulls money from my saving account to cover such fees if there is not enough money in the checking account. I had $1000.00 in my savings account. The bank DSFCU hit my checking account for over $300.00 in NSF fees when I had more than enough in saving to cover the overdrafts. When I called to dispute the NSF fees the customer service rep could not tell me why my account was overdrawn and could not tell me why the program to cover such overdraws did not kick in and work as advertised by the bank. There was no sense of urgency to fix my account and I was told someone would get back to me in the next "few days" to discuss the situation with me. They had no problem taking the money out of my account but when I pointed out that they were in the wrong they started dragging their feet to fix the problem and give me my money back. If they can take my money "now" I want my money back " now" because they have made a huge mistake on my account and have caused me serious credit issues by posting NSF fees on my account in the amount of over $300.00 . please help me get my money back from them asap. Thank you **** ****

Desired Settlement: I want my money back from the NSF fees. I want to know why my account program didn't work to pull from savings. I want to know what they are going to do to keep my business with their bank.

Business Response: Attached is a copy of our response to BBB complaint ID #******** submitted by our member **** ** ****.

If any questions or additional information is needed, please contact us.

Thank you,


***** *********
Executive Assistant
Desert Schools Federal Credit Union

9/18/2015 Problems with Product/Service | Read Complaint Details
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Additional Notes

Complaint: I am not a serial complainer - this is 2nd time I have complained about this joke institution for the same issue. Twice now, despite us having thousands of dollars in our account, this company has had issues with its 'systems' being down. the result of this has been that I am at a retail outlet and unable to pay with my debit card. This is because I was unable to go into my account and transfer funds from one account into another. We had no access to online banking and could not see that the current balance needed topping up. If I am late in paying or send a check when there are inadequate funds in our checking, this greedy institution is quick to charge me $35. Therefore I would like them to pay me $1,500 for the embarrassment of going to a check out and not being able to pay. Please note I have no issue with ALL of the staff that work at branches, they are very good. I have a big issue with the executives and directors.

Desired Settlement: They pay me $1,500 for the embarrassment of going to a check out and not being able to pay.

Business Response: Attached is a copy of our response to the BBB complaint ID #******** submitted by our member ****** ******.

If any questions or additional information is needed, please let us know.

Thank you,


***** *********
Executive Assistant
Desert Schools Federal Credit Union 

Consumer Response:
Better Business Bureau:

I have reviewed the response made by the business in reference to complaint ID ********, and find that this resolution would be satisfactory to me.  I will wait until for the business to perform this action and, if it does, will consider this complaint resolved.

Regards,

****** ******

 

7/10/2015 Advertising/Sales Issues | Read Complaint Details
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Additional Notes

Complaint: I recently responded to a credit card offer via a paper mailing that was presented as a product offered by Desert Schools Federal Credit Union. I chose to respond to this offer for a balance transfer given that the offer was provided by my trusted banking institution. All of the paperwork related to the credit card offer and receipt of the card itself indicated that the card was a DSFCU product, including logo and business name. I noticed that this card was not showing up on my DSFCU banking page and called to inquire how or when that would happen. I learned that this card is actually managed in its entirety by **** Financial Services and as such requires a new log-in on a separate and unrelated website. It is not possible to manage this card from the DSFCU online banking system. While the DSFCU paperwork does indicate in small print that the **** is the service provider, there is no reason to believe that as the consumer of a DSFCU product that I would not be able to manage this card from my DSFCU online account as would any other DSFCU product. I do not believe there was transparency in the credit card offer. I feel like I was misled as a consumer and would not have accepted the offer for my balance transfer if it was clear that the card would be managed in its entirety (including a separate log-in and website management) by a third party representative. I chose this card based on my trust with DSFCU and 15 years of banking with this institution. I am disappointed in the outcome of this transaction as a whole and feel like it puts me in a financial bind given that I was assessed a 3% transfer fee totaling $360.00. I would like to transfer my balance back to a known institution, though that will result in an additional 3-4% transfer fee depending on the product, which is not a smart financial decision based on the fact that I'm trying to pay off this card.

Desired Settlement: I would like to have the 3% transfer fee refunded. I plan to cancel this card and transfer the balance.

Business Response: I am writing in response to the complaint you recently filed with the Better Business Bureau regarding your Desert Schools **** ******** credit card. I appreciate your membership with Desert Schools and thank you for bringing your concerns to our attention.

Desert Schools Federal Credit Union has a longstanding partnership with **** Financial Services to provide Credit Card services to our members. Through this partnership our members are able to take advantage of special offers, including 0% financing that would otherwise be unavailable. The marketing and promotional material that we and **** use correctly discloses our partnership with Elan and indicates that the offers and servicing are through **** Financial Services.

The offer you received provides 0% financing on the transferred balance and purchases made on your card for a period of eighteen months, which creates a great opportunity to save money on interest. It is true that viewing the balance on your credit card currently involves a separate website log in, distinct from your Desert Schools Online Banking. You will receive regular periodic statements on your card balance and you can make payments at any time, even multiple times per month, to the card through the Desert Schools Bill Payment system. With the 0% interest and the ease of making online payments I hope that you will find our credit card to be in line with your goal of paying off the card quickly.

I do apologize if the nature of our partnership with **** was unclear to you at first. We have attempted to contact you by phone and I would be happy to speak with you directly about your concerns. Please feel free to call me at ###-###-####.

7/10/2015 Billing/Collection Issues | Read Complaint Details
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Additional Notes

Complaint: In the last couple of months, I have been in dispute of how Desert Schools applies fees when over drafting using a courtesy overdraft program afforded me. When I do shared banking with ****** ***** **** and overdraw my account, on at least 4 occasions they have not properly indicated the balance on my account after the withdrawal. There are pending items for which FUNDS HAVE ALREADY BEEN WITHHELD. What happens is that the balance on my receipt for the transaction does not match the ledger balance online or on the bank statement. As a result of this, the bank instead of charging one overdraft fee for the transaction, goes back and charges overdraft fees for each pending transaction for which the funds had already been set aside. I am requesting a review and subsequent reimbursement for pending items that were already paid. I have receipts and can product the statements showing the differing balances.

Desired Settlement: I want a refund of all NSF fees for items that were already paid and a change in policy which I believe is deceptive and possibly fraudulent or a change in the way ledger balances are maintained with shared banking institutions.

Business Response: I am writing in response to the complaint you recently filed with the Better Business Bureau regarding the discrepancy in balances and non-sufficient funds (NSF) fees being assessed to your account. Thank you for bringing your concerns to our attention.

For the discrepancy in balances provided on your receipts and online, I am unable to research or respond to this portion of your inquiry as specific dates and transactions were not provided. If you are able to provide additional documentation regarding the dates of the transactions and balance discrepancies we would be
happy to research this further for you.

In regard to transactions in which funds have already been set aside and were assessed Paid NSF fees, in accordance with the Statement of Terms, Conditions and Disclosures that govern your account, once the Credit Union approves an authorization, the amount of that authorization will be held against the checking account or
applicable overdraft accounts until the completed financial transaction is submitted by the merchant or one business day, whichever occurs first. While the funds are on hold for an authorization, they are not available for withdrawal by any means. Additionally, if an item is paid against insufficient available funds, a notice will be
sent to you and a fee will be imposed as set forth on the Fee Schedule adopted by the Credit Union.

As a courtesy and exception to the above stated account disclosures, we have refunded $140.00 in Paid NSF fees to your account. I hope my response adequately explains our processes and addresses your concerns. If you have any further questions or concerns, please feel free to call me directly at ***** ********.

6/18/2015 Billing/Collection Issues | Read Complaint Details
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Additional Notes

Complaint: I called Desert Schools Credit Union this morning and asked them to cancel all of my automatic payments so I could get caught up on my account which was overdrawn. They said they couldn't cancel them but when asked to speak to a supervisor, he said he could give me a list of the automatic payment recipients. I wrote them down, being today is Saturday - I planned to call on Monday. Then later in the day I received a call for the service of accounts Department which I returned. She specifically told m,e I have until the end of June to get caught up on my account. I was going to pay $400 per paycheck so I would be able to catch up by the end of June. Then I wanted to view what last went through online and my account has been closed, and I am assuming they sent it to collections when I spoke twice on the phone today and had automatic deposits added to the account which put it in the positive for a few days every two weeks. Anlther lady at the bank who was able to remove some of the fees told me it would be thirty days straight with a negative balance before any action was taken. I am so confused why they would do this. Please help me resolve this issue. I am so upset but also don't want to see this on my credit report.

Desired Settlement: I want an apology and I want three months now to get my account in the positive. I also do not want this to appear on my credit report.

Business Response: Dear Ms. ******:

I am writing in response to the complaint you recently filed with the Better Business Bureau regarding your account being overdrawn and information you obtained about bringing it to a positive balance. Thank you for bringing your concerns to our attention.

In reviewing the details of your account, it appears your account has been negative since April 28, 2015. You indicated that you made deposits into your account to bring it positive. Although you made a deposit on May 11th and May 26th the account did not have a positive balance for at least one business day as explained in our Statement of Terms, Conditions and Disclosures. Additional debit transactions cleared the same day you made your deposits therefore keeping your account in a negative balance. Since the account did not meet this requirement and you have had a negative balance for over 30 days, the account is subject to collections activity.

On May 29th, you spoke with our Credit Assistance department and were informed that they will give you until the end of June in order to bring the account current. As long as the balance is brought current for at least one business day by June 30th, then your account will be returned to an open and active status. Your online access is currently unavailable until your account is brought current. If your account is not brought current by June 30, 2015 then the account will be charged off. A charged off account does not reflect on your credit report. At this time, we are not able to grant you a further extension. We do encourage you to contact our Credit Assistance department at ###-###-#### if you would like to discuss this matter further to see what options you would like to present to bring your account to a
positive balance.

I do apologize if any information provided to you was not clear on how your account functions. I hope my response adequately explains our processes and addresses your concerns. If you have any further questions or concerns, please feel free to call me directly at ###-###-####.

Consumer Response: Better Business Bureau:

I have reviewed the response made by the business in reference to complaint ID ********, and have determined that this proposed action would not resolve my complaint.  For your reference, details of the offer I reviewed appear below.

I am not satisfied because I was told on the telephone that as long as I had my account positive by June 30, 2015 nothing would happen. I telephoned Desert Schools at least twice on that day plus a day or two before. I was NOT told that Desert Schools Federal Credit Union would freeze my account.  An automatic deposit was made Saturday the 6th, it is now the 10th, and almost Thursday. I still cannot gain access to my checking account details, statements, or my positive funds via my debit card. It has been positive for three business days and my checking account is still frozen. I am on a limited income and although it is only $86, I need my money. The bank will not allow me to make purchases even though I have my account in a positive balance for three business days. The prior message said I only needed to have it positive for one business day in order to have access. So no, I am not happy with their response. 

Regards,

******* ******

Business Response: I am writing in response to your follow up letter on June 11, 2015 to the Better Business Bureau regarding your account issue not being resolved. Thank you for bringing your concerns to our attention.

In your response, you indicated you were not able to log into online banking and that you were unable to conduct transactions on your account even after bringing your account to a positive balance.

Our records indicate that you had a direct deposit to your account on June 8th which brought your account to a positive balance. An account that is in collections is not automatically returned to active status after it is brought current. In order for the account status to be changed, it requires a phone call from the member so that we have an opportunity to review the account. It does look like you contacted Desert Schools on June 12th at which point your debit card and online banking access were restored. We apologize for the inconvenience you may have experienced.

In response to your letter, we also had a supervisor from our Member Assistance Center contact you on June 15th to ensure that you were able to log into online banking and that your debit card was working properly. During that call we were able to have you log in successfully as well as confirm your debit card was working.

I hope my response adequately explains our processes and addresses your concerns. If you have any further questions or concerns, please feel free to call me directly at ###-###-####.

Sincerely,
*** ******
Vice President
Contact Centers & Credit Services 

6/5/2015 Billing/Collection Issues | Read Complaint Details
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Additional Notes

Complaint: Desert Schools enabled their privilege pay overdraft protection without my consent or knowledge leading to eight overdraft fees being incurred, of which only four will be refunded.

Desired Settlement: I would like all of the overdraft fees to be reversed due to the fact that they changed the status of my account without any notification.

Business Response: I am writing in response to the complaint you recently filed with the Better Business Bureau regarding overdraft protection being added to your account and subsequent non-sufficient funds (NSF) fees being applied to the account. Thank you for bringing your concerns to our attention.

In your complaint, you indicated your belief that Desert Schools enabled Privilege Pay without your consent which led to eight overdraft fees being incurred. That is not the case. Privilege Pay has not been active on your account since April 20, 2012 and, as a result, Desert Schools will not authorize debit card transactions against an insufficient balance.

In this case, the Paid NSF Fees assessed to your account in April and May of this year resulted from debit card transactions which were each authorized against a sufficient balance. However, because the merchant was apparently slow in completing the transactions, the funds held against those authorizations had been released and the account balances were no longer sufficient. A Paid NSF Fee of $35.00 was applied to each transaction.

Our Statement of Terms, Conditions and Disclosures that govern your account state: “Once the Credit Union approves an authorization, the amount of that authorization will be held against the checking account or applicable overdraft accounts until the completed financial transaction is submitted by the merchant or one business day, whichever occurs first.” The one business day limit is enough for most transactions to be completed because, as you might imagine, merchants are typically keen to complete transactions. However, there is no requirement that they do so within one day, which seems to have been the case in this situation. This makes it important that you remain aware of your available balance. 

As a courtesy, I have refunded the additional four NSF Fees on your account. However, in the event this situation recurs in the future you should expect we would again apply Paid NSF Fees of $35.00 for each transaction, up to a maximum of five per day.

I hope my response adequately explains our processes and addresses your concerns. If you have any further questions or concerns, please feel free to call me directly at ###-###-####. 

5/21/2015 Billing/Collection Issues | Read Complaint Details
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Additional Notes

Complaint: Desert Schools will take the largest amount debited from your account first so all other debits will bounce instead of taking debits in the order they come in so they can collect large amounts of overdraft charges. They have done it to me twice already.

Desired Settlement: they owe me money from the overdrafts they charged me.

Business Response: I am writing in response to the complaint you recently filed with the Better Business Bureau regarding how transactions are processed at Desert Schools and how any subsequent non-sufficient funds (NSF) fees are applied to an account. Thank you for bringing your concerns to our attention.

In your complaint, you indicated your belief that Desert Schools posts transactions largest to smallest to maximize the ability to assess NSF fees. Although some financial institutions may do this, we do not. Desert Schools follows a prudent posting method of posting credit transactions first and then debit transactions in the following order: 1) Teller transactions and other force post items (low to high dollar amount), 2) Transfers (low to high dollar amount), 3) Recurring Non-PIN Point of Sale (order in which they are received), 4) ATM transactions (order in which they are received), 5) Non-PIN Point of Sale (order in which they are received), 6) PIN Point of Sale (order in which they are received), 7) ACH (low to high dollar amount), 8) Checks (check number order). Changes of any sort to our posting order undergo several layers of approval.

Paid NSF Fees represent the service charge we make in situations where there are insufficient funds in your account at the time a check or an electronic debit is presented for payment, but we cover the shortfall on your behalf. Doing this ensures the people and organizations you intended to pay receive their funds, sparing you additional charges and potential embarrassment.

Unfortunately, your complaint letter did not include your account number. The address and phone number on your letter did not match any records we have with members having the same name. Therefore, I am unable to provide you detail regarding your specific account and the transactions that posted to it.
I hope my response adequately explains our processes and addresses your concerns. If you have any further questions or concerns, please feel free to call me directly at ###-###-####.

4/14/2015 Billing/Collection Issues | Read Complaint Details
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Additional Notes

Complaint: Desert Schools contacted my husband and I because we were behind on his car payment he told them that I could talk to them because I'm the one that does the bills. I told them that I was getting a scholorship at the end of January and I would be paying his 2005 Subaru off with the money. I also asked if there was a modification we could do till I got the money and they were suppose to call back and never did.The end of January came and they sent a car out to take pictures. I called Desert schools back and told them that I was still waiting on my school money that I could send them a copy of the form that says how much I was getting that I had just got off the phoen with them and they messed up my refund The lady ***** which was very rude said well you owe a repo fee and the payoff I told her that the vehicle was never repo'd that there is no way they can charge me a repo fee. On Wedensday of that week I went and paid off the vehicle 1983.00 IO believe is what I paid off the lady at the bank had to call the corp office and talk to ***** she again insisted on that I would need to pay a repo fee on top off the pay off I told her that the car was never repo'd and that I am paying off the vehicle she I even paid a extra 25.00 incaser they at least needed to pay a close fee to the repo agent I use to work in the repo department for drivetime for 14 years they are not abiding by the law they won't even send out my title even though the car is paid off.

Desired Settlement: I want them to take the repo fee off and I want them to send ***** ********* and I his title to the vehicle.

Business Response: I am writing in response to the complaint recently filed by ****** *** ********* with the Better Business Bureau regarding your automobile loan. Thank you for bringing your concerns to our attention.

The complaint indicates that ****** believed Desert Schools had received authorization from you to speak with her regarding your automobile loan. Unfortunately, we have no written authorization on file. On two occasions, 10/27/14 and 2/9/15 we received verbal authorization from you to speak with ****** during those calls only. During the phone call on 10/27/14, when your loan was 27 days past due, ****** talked with our team lead, ***** ******, regarding the possibility of a payment deferral or loan modification that may have provided some temporary relief that would allow additional time for payments to be made. ***** contacted our Loss Mitigation department and confirmed that they would review your situation. However it would be necessary to for you to complete and submit an application and updated financial information. Representatives from our office left voice messages requesting a return call so we could discuss the options with you. Additionally, we were contacted by ****** on 11/19/14, 11/21/14, and 12/5/14, but were prohibited from discussing the options in detail because of privacy restrictions. We encouraged her to have you contact us directly so we could assist you.

On 12/29/14, when your loan was 60 days past due, we sent a “Final Demand” letter notifying you that your account had reached a critical stage of delinquency and required your immediate attention. It noted the principal balance of your loan at the time of $1,929.42.

On 1/6/15, when your loan was 68 days past due, our Credit Assistance department received an email from our Member Assistance team advising us that they had received a call from ******. During the call she informed them that your phone services had been disconnected. Additionally, she indicated it was still your intent to pay your payment some time near the end of January. No specific amount or date was provided.

On 1/27/15, when your loan had reached 89 days past due, it was assigned for repossession. Desert Schools had not received any additional communication from you or ****** subsequent to the conversation on 1/6/15. The delinquency had aged to a critical stage and it was necessary to assign the account for repossession in an effort to protect our collateral. 

On 2/9/15, when your account was 102 days past due, you contacted our office and authorized our representative to speak with ******. We advised ****** that the payoff due was $2,112.10, which included the principal balance, accrued interest, accrued late charges, and the repossession close fee. She contested the payoff and stated that a letter you had received indicated that only $1,900.00 was due. She then stated that is what she would pay and no more. Our representative attempted to explain that in order to pay off the account the principal balance, all interest and fees (including repossession close fee of $102.00) would need to be paid before the lien on the collateral would be released. In an effort to clarify the “repo fee” we explained that though the collateral had not actually been repossessed, the account had been assigned for repossession and Desert Schools would incur a $102.00 fee to close the assignment with the repossession company. The fee would be added to your loan as part of the Collection Costs outline in your contract. Despite our efforts to explain the amounts due ****** elected to terminate the call.

On 2/11/15 our office received a call from our ****** ***** branch. They advised that ****** was in the branch and wished to pay $1,950.00 toward your loan. Our representative advised the teller that the payoff was $2,125.53, which consisted of $1,919.42 principal, $67.40 late fees, $26.41 interest and $102.00 repo close fee. We further advised the teller that the funds would be applied to your loan, but until it was paid off the title would not be released. The $1,950.00 was deposited to your savings account and then the following amounts were credited to your loan: $1,843.19 principal, $26.41 interest and $67.40 in late fees.

Your account remains past due for the remainder of the principal balance of $76.23, a late fee of $13.48, interest due of $.74, and the repossession close fee of $102.00 for a total payoff of $192.45.

As a courtesy we will waive all of the remaining funds owed. Your loan will reflect being paid off and we will release your title and provide you the appropriate payoff documentation. 

I appreciate the opportunity to respond to the concerns outlined by ******. I am hopeful that the detailed information provided will assist you in understanding the circumstances of your loan. I hope my response adequately explains our processes and addresses your concerns. If you have any further questions or concerns, please feel free to call me directly at ###-###-####. 

4/9/2015 Delivery Issues | Read Complaint Details
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Additional Notes

Complaint: 03/27/2015 On March 12, 2015 my wife made a deposit of $27.82 at the **** **** **** **** *******, ******* branch of the Desert Schools Federal Credit Union. The teller apparently made an error and entered the deposit as $2,782.00. We understand this was an honest mistake. Apparently later that day the error was found and the bank manager when into our account and adjusted our account to correct the error this also would not be a problem except the bank manager never contacted use to explain what happened and that they were going to correct the error. We also have on-line withdrawal notification set up with DSFCU so if any withdrawal is made to our account I receive an e-mail notification. I never received an e-mail notification of the withdrawal for $2,754.18. A few days later I was in our account and noticed the withdrawal and did not know what it was for. I contacted customer service to dispute the withdrawal. They looked into the issue and contacted me to say the bank manager was the person who did it I asked to have here contact me which she did the next day. When I spoke to here she explained what had happened which is ok when I asked her why she did not contact me to explain what she was doing she stated she called the two phone numbers they have on file for me but they just rang and rang so she could not leave a message. I further asked why the withdrawal notification was not texted to me she said that was an I.T. question and she could not answer that question. While she was talking I looked at my cell phone from that day and saw that I had a missed call form the same number she was calling from but no voice mail was left. I questioned her about why she did not leave a message or call back again she replied I could not leave a message because the phone just rang & rang. I do not believe my cell phone rang & rang where she could not leave a message to contact the bank. I requested she have her supervisor contact me. She said it would be the following day which I said was OK. After we hung up I called the two numbers they have on file one of the numbers was my old home phone number which has been disconnected and when you call that number it says it’s disconnected the other was my cell phone which works fine. So I waited over a week to hear from her supervisor which never happened. The withdrawal text notification for a $2,782.00 did not happen but an $8.65 does. How does that work? The bank manager never made an honest attempt to contact me to explain. This wasted my time and I had to file a dispute claim. I do not feel the manager was truthful about not being able to leave a message for me to call the bank. I do not feel the bank manager gave the information to here supervisor to contact me. If you can’t trust the bank manager is likely you can’t trust the bank and you shout move your money and business to a trustworthy one.

Desired Settlement: 1. I would like to talk to the **** **** **** **** *******, ******* bank "Branch Manager" Supervisor which is what I wanted in the first place. 2. I want to know why I did not recieve a text notification for the $2,782.00 withdrawal. Can the bank over ride the system? Just take the money out and disable my text notifications?

Business Response: Dear Mr. *****:

I am writing in response to a recent Better Business Bureau complaint we received involving a transaction you processed at our **** **** branch located at **** ** **** ****.

In reviewing your transaction I completely agree that we did not handle this issue in the appropriate manner. I understand the service you received during this situation was neither satisfactory to you nor
was it the caliber of service we pride ourselves in providing to our members. I do apologize for this issue and have taken steps to ensure future transactions or account adjustments such as this are addressed differently.

I have also been advised that ******* *********, Regional Director of that location has contacted you by phone and has corrected the issue to your satisfaction. Again, please let me apologize for any
inconvenience this may have caused you, your membership and satisfaction is very important to us. If I can be of any other assistance to you please feel free to contact me at ###-###-####. Thank you for your continued patronage.

Consumer Response: Better Business Bureau:

I have reviewed the response made by the business in reference to complaint ID ********, and find that this resolution would be satisfactory to me.  I will wait until for the business to perform this action and, if it does, will consider this complaint resolved.

Regards,

******* *****

 

3/22/2015 Billing/Collection Issues | Read Complaint Details
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Additional Notes

Complaint: I've been charged 3 time from 1/9/2015 to now for overdraft fees before a check was deposited and after funds were sufficient and/or transferred to my account.

Desired Settlement: 105.00

Business Response: I am writing in response to the complaint you recently filed with the Better Business Bureau regarding the Paid nonsufficient funds (NSF) fees applied to your account. Thank you for bringing your concerns to our attention.

Paid NSF Fees represent the service charge we make in situations where there are insufficient funds in your account at the time a check or an electronic debit is presented for payment, but we cover the shortfall on your behalf. Doing this ensures the people and organizations you intended to pay receive their funds, sparing you additional charges and potential embarrassment. In each of the three occurrences mentioned in your complaint, there were not sufficient funds in your account to cover the transactions at the time each was presented for payment. Desert Schools paid those items on your behalf and applied the fee in each case. The specifics are:

On Friday, 1/9/2015 an electronic debit from APS in the amount of $73.22 was presented for payment. At that time the account balance was $66.01. We covered the payment to APS and applied a Paid NSF Fee of $35.00 to your account. You did make a deposit of $100 at a Desert Schools ATM on Sunday, 1/11/2015 (Posted on 1/12/2015); however, those additional funds were not available to cover the transaction on 1/9/2015 so the fee was applied correctly.

On Tuesday, 2/3/2015, check number 7202 in the amount of $792.72 was presented for payment. At that time the account balance was $6.84. We paid the check and applied a Paid NSF Fee of $35.00 to your account. A direct deposit from IRS Treas 310 in the amount of $2,531.00 was received and posted to your account on Wednesday, 2/4/2015; however, those additional funds were not available to cover the transaction on 2/3/2015 so the fee was applied correctly.

On Tuesday, 3/3/2015, check number 7201 in the amount of $792.72 was presented for payment. At that time the account balance was $367.75. We paid the check and applied a Paid NSF Fee of $35.00 to your account. You did make an online banking transfer of $600 on 3/4/2015; however, those additional funds were not available to cover the transaction on 3/3/2015 so the fee was applied correctly.

In each instance, items were presented for payment against an insufficient balance and, although it seems you were trying to ensure you had sufficient funds available, these items appear to have been presented earlier than you expected. The three Paid NSF Fees you incurred were charged correctly and in accordance with the terms and conditions of this account. However, as a courtesy, we are happy to refund one of the $35.00 Paid NSF fees. This credit was posted to your
account on Friday, 3/6/2015.

I hope my response adequately explains our processes and addresses your concerns. If you have any further questions or concerns, please feel free to call me directly at ###-###-####.

1/8/2015 Problems with Product/Service | Read Complaint Details
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Additional Notes

Complaint: ISSUE: Desert Schools Federal Credit Union is reporting me for being 30+ days delinquent for my November 17th payment. This is the second time they have falsely reported me 30+ days delinquent. I believe June 2014 was around the first time they falsely reported me 30+ past due. After several phone calls and follow-ups they corrected the first incident stating that they were doing it as a curtsey. November 2014, 2nd time they are reporting me 30 days delinquent to the credit bureaus. My car payments are due the 17th of every month. Legally I have 30 days, NOT business days and NOT 30 days to have my payment post, to make a payment before it’s reported to the credit bureaus. I called customer service on both incidences that I was reported late to confirm how much I needed to pay to avoid 30 day delinquency reporting and on both occasions the representatives gave me the minimum amounts to avoid being reported 30 days delinquent. When I was making the November 17, 2014 payment I was at a share branch and called DSFCU customer service to get account information as well as payment information so I could do a transfer from my savings account to my car loan account, this was on December 15th, 2014. The payment posted December 18th and that is the reason they are reporting me delinquent. I have attempted to get this issue resolved through all 3 credit bureaus, *******, ********** and ********, but DSFCU has stated that the information is correct. I am making sure that I exhaust as many avenues as possible to build my case before taking legal action. I have been denied credit and will do what I can to make sure the consumers are protected.

Desired Settlement: I would like them to correct the delinquency they have reported to the bureaus and most importantly correct the way they are reporting clients payments otherwise I will take action.

Business Response: Your recent concerns lodged with the ****** ******** ****** have been forwarded to me for review. I have reviewed your account and the situation you described as well as Deserts Schools’ practices as
they pertain to your account and have summarized my findings below. Your complaint indicates that though you have remitted all of your monthly installments late, they were all remitted on or before the 30th day of delinquency and should not be reported as being 30 days late on your permanent credit profile. You also indicate that Desert Schools has reported your payment history incorrectly. Further your comments in the ‘Desired Settlement’, implies that the credit reporting practices of Desert Schools is not compliant with regulatory guidelines. As a furnisher of consumer credit account data, Desert Schools adheres to all applicable regulatory guidelines for reporting payment history under the Fair Credit Reporting Act (FCRA). Additionally we follow the standard electronic data reporting format provided by the Consumer Data Industry Association (CDIA). Within the CDIA’s Metro 2® Format guide it states: “The “clock” for a 30-day delinquency starts 30 days after the due date, as opposed to the billing date.” Although you may have made your payments on the 30th day of delinquency, because the account actually reached the 30th day of delinquency it is a reportable delinquency. Your payment history is charted below and does confirm when payments were due versus when they were received. Our records confirm that you contacted the credit union regarding your 10/17/2013 payment which was received on 11/18/2013. Per your request we processed a one-time courtesy reversal and corrected your credit report accordingly. It is also important to note that the majority of payments have been made via the check-by-phone service offered by Desert Schools. As such each time you authorized payment it was disclosed to you that the payment may take up to 48-business hours for the transaction to be processed and the payment applied to your loan. In fact, when the check-by-phone payment was authorized on Friday, 11/14/14 for the 10/17/14 due date, the representative from our Credit Assistance department specifically explained that the account may report 30 days late because the account was already 28 days, the check-by-phone may take 48- business hours and it was a Friday. Despite the information you received from the representative, you elected to continue with the transaction. It is the 10/17/14 payment that is reporting over 30 days. The payment you made via shared branching on 12/15/14 was credited to your loan on the same day. 

Consumer Response: ****** ******** ******:

I have reviewed the response made by the business in reference to complaint ID ********, and find that this resolution would be satisfactory to me.  I will wait until  for the business to perform this action and, if it does, will consider this complaint resolved.

Regards,

****** ******

 

12/2/2014 Problems with Product/Service | Read Complaint Details
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Additional Notes

Complaint: I have a few problems at this point with Desert Schools. I went to the bank on Monday 11/10/14 to do some banking for my disabled son for which I am his authorized payee. I was unable to perform my banking because I was no longer listed as on his account. When I tried to find out the problem, I found out that I had been deleted from all of my accounts and my husband placed under my social security number. I was treated rather rudely by the representative ******, and was told I did not have an account and never did. I asked if maybe it was do to the problem I had heard about with their on-line banking system the previous week and was told "no, you do not have an account and never did." I have been indeed been banking with them since I was a child and told him so. He told me again I had not and never had. He asked me if I'd ever been to the bank and I said yes, I told him I usually used my debit card though. He asked me "If it had my name on it?" I pulled it out and showed it to him with my name on it and also showed him my Desert Schools credit card, also with my name on it. He took my debit card to his manager, came back to me and said, no, you do not have an account and never did. I also no longer had access or my name on my savings or checking account or my minor daughter's account. He, nor his manager, would look into the matter. I was sent away from the bank with no resolution nor attempt by them to resolve the problem. After conferring with my husband, who was at work, he was able to contact the downtown office who eventually found information on me from some location. I was told to go back to the bank and although they would put someone on the case to try to fix the problem it was not corrected when I returned. I was told they would e-mail them to be able to "deal" with me. I was treated rudely on my return and had to force an apology, did not get to speak with any sort of supervisor. I was still concerned about my son's account being illegally made available to a non-payee, which I wonder is an illegal act, which I will check with the Federal Government about since they are the party that sends his disability check and it is their rule. I, at this time requested a refund of the $1500 we were required to put out to start a trust but was told by the representative that that is not their department and he would have that person call. Which he did not do. I have lost "trust" for the bank to perform my Trust. We have not provided information for the Trust and so they have not actually done it yet. When talking to the representative for Desert Schools Financial, who do the trusts out of that branch of Desert Schools Credit Union, I was told I could not get a refund because the papers were done. What papers? We haven't given them our information yet? I was told they might be able to give a partial refund but there supervisor was on vacation. I either want my $1500 from them or my partial and I think the Desert Schools Credit Union should make up the difference. They are the ones who messed up my accounts. At this point I was told Desert Schools Federal Credit Union and Desert Schools Financial were two separate entities and it could not be done. They both work out of the same Desert Schools...I have already lost two days working on this, much sleep and am stressed to the breaking point.

Desired Settlement: Refund of my $1500 and an apology from the branch that refused to acknowledge my issue. Palm Valley.

Business Response: Thank you for taking the time to speak with me today regarding your recent visit to our **** ****** Branch, and the ownership of your accounts with us. Desert Schools prides itself in providing the highest level of service to our members. Unfortunately, we have fallen short of meeting your expectation during this interaction. I want to offer you my sincere apologies and assure you that we have reviewed this situation and are taking steps to make sure we address transactions like this differently in the future.  

As a follow up to our conversation, I have personally reviewed the accounts you hold with your husband, son and daughter, and made sure the account ownership reflects your requests on all of these accounts. I apologize that we were not able to resolve this matter entirely on your first visit, but please rest assured it is now corrected. I will also take the appropriate measures to address the error that caused this situation initially.

I am pleased that you have agreed to meet with ******** ******* regarding your trust, on Tuesday, November 25, 2014 at 9:00 a.m. (**** ****** Branch). As you know, completing this trust is a very important step towards achieving the peace of mind you desire for your family. I am confident that ******** will assist you in getting this finalized to the satisfaction of both you and ******.   

Mrs. ******, the years of membership and loyalty you have shown us are invaluable to Desert Schools. I again apologize for the inconvenience and frustration this has caused you. Thank you for allowing me the opportunity to correct this and provide you with the answers you requested.  

If I can be of any further assistance to you, please feel free to contact me at 602-433-7039. Thank you for your continued membership.

11/25/2014 Billing/Collection Issues | Read Complaint Details
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Additional Notes

Complaint: Your organization is very quick in charging us overdraft fees. It is an automatic process that your system is programmed to do. The Banks system failed to show my wife's salary as being cleared as of Wed 6 Nov 2014 at midnight, as it should (and has been) for many years. Subsequently we went into the red. We called the bank at about 4:30pm on 11/06/14 and was told that the funds (they could see my wife's salary, from ********** ******* ****** ********, but they had not been cleared due to their bank system 'going down') would be cleared by 7PM - this did not occur. We were told that we would incur no overdraft fees. This did not happen - they charged us $70. As a consequence we have been unable to pay bills, went shopping with a full cart and could not check out. I tried calling, e-mailing all to no end (it is busy, I am put on hold for too long, the e-mail on their web site says 'an error occurred' when I try to contact them) This bank (like all others) is very quick in making overdraft charges through their automatic systems, but when they make a huge error, we have no recompense. Therefore I have sent them an invoice invoice for this outrageous inconvenience and if it is not cleared TODAY 11/07/14 by 4:00PM I will use everything in my power to make known to all that your service has been awful

Desired Settlement: A refund of $1,070:00 this includes the $70 they have charged us for overdraft (which is down to them and their systems). $1,000 for the embarrassment and inconvenience and OUR charges top them for failing to clear the funds.

Business Response: I am writing in response to the complaint you filed with the Better Business Bureau regarding the issues you experienced recently with the direct deposit of your wife's direct deposit. Thank you for bringing your concerns to our attention. 

I would like to begin with an apology for the issues you faced while trying to determine the status of your wife's direct deposit from the ********** ******* ****** ********. Desert Schools did experience an unexpected hardware failure that subsequently caused a delay in the processing of the direct deposit files we received. We recognize this unanticipated system issue may have caused issues for some of our members. We sincerely apologize for any inconvenience this issue caused you and your family. 

In your letter, you correctly identified that Non-Sufficient Funds (NSF) fees are applied automatically by our system if items clear an account when funds are not available to cover them. Clearly, if your wife's direct deposit had not been delayed by our system issue, there would have been sufficient funds in your account and no NSF fees would have been applied. Since that is not what transpired, I have reviewed your account to ensure only the two NSF fees you mentioned were charged as a result of this error, and have reversed those fees, crediting the $70 back to your account. Once again, I do apologize for the inconvenience you experienced as a result of this unanticipated system issue. 

Although the credit union, a non-for-profit financial service cooperative, is unable to redirect funds entrusted to us by members like you, to provide compensation in the manner requested in your letter, I can certainly understand your frustration at the impacts of our system issue. I have, however, enclosed two complimentary ******* movie tickets as a small gesture to indicate our understanding of your frustration. On behalf of the entire Desert Schools organization, I truly apologize for the inconvenience you and your wife experienced. If you have any further questions or concerns, please feel free to call me directly at (***) ***-****.

Sincerely, 

*** ******
Vice President - Contact Center Operations 
Enclosure
cc: Better Business Bureau

Consumer Response: Better Business Bureau:

I have reviewed the response made by the business in reference to complaint ID ********, and have determined that this proposed action would not resolve my complaint.  For your reference, details of the offer I reviewed appear below.

Two movie tickets to assuage us that our embarrassment at not being able to pay a bill at a supermarket for food should be accepted.

I really appreciate the letter from the VP who obviously took time out to look at our case and make a very pleasant offer.  But he claims he works for a non - profit, so why do they charge interest rates? There is no such thing as a non profit financial institution, we can argue this point till the sun rises but at the end of the day the organization must make money on its money (or it's customers deposits) I do not mind having a debate about this with Jim as I am a trained Economist and believe I know a little about the nature of financial institutions. They work under the same or similar guidlines as * ** * or ***** *****.

I have told you what I want in recompense and maintain my right to charge them PRECISELY (as opposed to their indiscriminate charges) for false charging, loss of revenue, inconvenience

Regards,

****** ******

Business Response: I am writing in response to the follow up letter you sent to the Better Business Bureau, indicating your displeasure with our earlier response. I appreciate the opportunity to clarify our position regarding your concerns.

In summary, your initial complaint was that your debit card was declined on November 6th, when you attempted to purchase groceries, because of the direct deposit from your wife's employer had not been credited as your expected. You requested a refund of the $70 in fees you were incorrectly assessed, and you asked that the credit union pay you $1,000 for the embarrassment and inconvenience of having your card declined at the grocery store.

In my previous letter I explained that a power failure affected our ability to process incoming ACH files, including that from your wife's employer. Until we were able to recover from this event and post all the direct deposits, our card approval decision for all members were based on account balances immediately prior to the outage. In your case, your account showed a negative balance of -$227.55, as a result of two previous transactions which cleared your account on November 5th. Had the direct deposit posted in the early hours of November 6th, as normal, your account would have returned to a positive status. 

In my previous letter, I apologized for the inconvenience this caused and I refunded the fees to re-set your account balance as it would have been if we had no experienced a system outage. I recognize it is inconvenient and somewhat embarrassing when a payment card is declined. However, card declines, for any of a number of reasons, have also become so commonplace that there is no meaningful stigma to having a card declined. Consequently, I have nothing more to offer you than a further apology for your inconvenience, caused by our system outage; Desert School will not be offering any additional compensation. 

Thank you again for bringing your concerns to our attention. We, at Desert Schools, genuinely appreciate your many years of membership. I hope my responses, and my explanation of events, confirm our commitment to you as a member.

 
Sincerely, 
*** ******
Vice President - Contact Center Operations
cc. Better Business Bureau

10/19/2014 Problems with Product/Service | Read Complaint Details
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Additional Notes

Complaint: I HAVE contacted ******** visited several branches & contacted corporate to get them to collect the money that is owed to them for a account I co-signed on from the main holder **** ***** and they have not tried to collect from him at all and I HAVE paid half of it already with the agreement that they would go after **** ***** for the balance and they are still trying to get me to pay it & now the froze my account that receives my SSI & DISABILITY check in every month & that is against federal law.

Desired Settlement: I held up my end of the agreement and I paid half all I want is for them to hold up there end and go after **** ***** for the balance and leave me & my account ALONE..

Business Response:

Your recent concerns lodged with the Better Business Bureau have been forwarded to me for review. I have evaluated your account and the situation you described, as well as Deserts Schools' practices as they pertain to your account and have summarized my findings below.

Your complaint concerns a charged-off checking account on which you are a joint owner with Peter **** *****. In your complaint you expressed your desire that Desert Schools should collect the remaining balance due from him, as 'agreed', and you described your alternate checking account, solely owned by you, as having been frozen.

A review of our records does not show that an agreement of that nature was ever made with you. In fact, the Desert Schools Statements of Terms, Conditions and Disclosures states that the Credit Union can enforce overdraft liability in the joint account against any joint owner individually. The terms state specifically; "Each joint owner guarantees the signatures of the other joint owners and authorizes the others to endorse checks for deposit if they are payable to any of the joint owners. Each joint owner also authorizes the Credit Union to exercise setoff and enforce its security interest in the entire joint account, even though only one of the joint owners is the debtor; these rights exist irrespective of who contributed funds to the joint account. Similarly, the Credit Union can enforce overdraft liability in the joint account against any joint owner individually." (A copy of the Statements of Terms, Conditions and Disclosures are enclosed.)

Because your joint checking account was charged off on 6/27/13; your personal, related checking account was restricted in accordance with Desert Schools' established practices and procedures. As you already know, this means you can only conduct withdrawals at a branch office. However; as you have visited a branch each month since the charge-off to withdraw the funds from your SSI and SSA deposits, you are also apparently aware that the funds on deposit were not offset to pay for the charged off checking, and were available for your use.

I understand you have already visited your local branch office and have made arrangements with the representatives from the branch and from our Credit Assistance department to pay the remaining balance due on your charged-off checking account. I can confirm what our staff already explained: once the charge off balance has been paid in full, restrictions on your individual account will be removed and you can begin using the account normally.

I appreciate the opportunity to respond to your concerns. I am hopeful that the information provided will assist in understanding the transactions and account ownership  responsibilities.   Please contact me directly if I can be of any further assistance.

Sincerely,
****** *******
Senior Director

10/10/2014 Problems with Product/Service | Complaint Details Unavailable
9/29/2014 Billing/Collection Issues | Read Complaint Details
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Additional Notes

Complaint: On 8/26 @ 2:48 pm I was contacted by the fraud department of Desert Schools Federal Credit Union and was asked by ***** if 3 transactions which happened today were legitimate. One transaction for $11.65 was valid but I told him the other 2 were not mine. He told me the card would be terminated immediately and I'd need to contact Customer Service to get another card. I then spoke to a supervisor ****** who told me the reason the transactions had probably been flagged as fraud was due to them being out of *** **** and I live in *******. She said if a tranaction is via the internet it says .com after it and none of these said that. I called Desert Schools Federal Credit Union customer service and was told first by **** then by ******* and ******** that $105 had been allowed to go through, even though I'd told fraud that these charges weren't legitimate, and were pending on my bank account which means that money is unavailable to me until the dispute is settled which all 3 people told me would be approximately 2 business days. I then asked for ********** supervisor and spoke to ***** who told me he would work on getting "provisional funds" so the $105 can be immediately returned to my account. "

Desired Settlement: I want to be assured in writing that if this happens in the future that funds in my checking account are not tied up while Desert Schools disputes the charges. This time it was a small amount but a larger amount could have caused me a lot of problems. Desert Schools obviously questioned the charges enough to call me about them so it doesn't make sense that they would still let the charges go through. If there is a question about the validity of the charges they shouldn't be put through. I want to know that my funds are safe and there when I need them not tied up in disputes.

Business Response: I am writing in response to Complaint ID #: ******** you recently filed with the Better Business Bureau regarding unauthorized debit card transactions on your account.  It is apparent from your letter that our member service representatives did not do enough to explain what had transpired, and the different resolution steps which were required as a result. Thank you for bringing your concerns to our attention and for giving me this opportunity to try to explain more effectively.

When our fraud department contacted you on 8/20/2014 regarding suspicious attempted charges from **** *****, you confirmed that these transactions were not authorized. The transactions were declined so they never impacted your account and your debit card was closed to prevent further attempts .

Unfortunately, two previous transactions totaling $105.00 had not registered as potentially fraudulent and had already been approved. This is not uncommon as there is no way to know, in most cases, whether a particular transaction is fraudulent. Instead, our system looks for suspicious trends, such as a number of transactions from one location over a short period of time. Since those transactions had been approved, resulting in a hold on your account, we were required by the procedures which govern the card payment system to instruct you to file a notice of dispute.

Our member service representatives accurately described the dispute process and the typical 1-2 day delay before provisional credit is typically applied.  Where w e seem to have fallen short was in our explanation. We appear to have left you with the incorrect impression that, despite our call to confirm that certain transactions were actually  fraudulent, we still allowed them to impact your account, tying­-up your funds for two days.

Based on the misunderstanding we created, you were understandably dissatisfied with our resolution. In response to your email we called to advise you that we had released the hold on your funds required to cover the charge authorization, and committed to expedite the provisional credit which will be required when those approved transactions  actually post to your account.

From your experience so far, and even from this letter, I hope you can see that the underlying procedures which are designed to make sure that the card payment system works for all of us, are quite rigid.  Although we have released your funds, the transactions totaling $105 are still out there.

Because our system already approved them, we are required to post them to your account. For that reason, it is critical that you contact our Member Assistance Center to complete a formal dispute. Having this required record in place will allow us to expedite the provisional credit, as promised.

I apologize for the frustration you experienced, and for the role our lack of clarity played in adding to the stress of being a victim of fraud.  I hope this explanation fills in some of the gaps and reassures you that we take security seriously and are committed to protecting our members' accounts from fraudulent transactions,  and to resolving disputed transactions quickly, in accordance with the regulations.

Thank you for allowing us to respond to this matter and if I can be of further assistance, please contact me at ###-###-#### or via e-mail at ******************************.

Sincerely,
**** *******
Director - Member Assistance Center

9/29/2014 Billing/Collection Issues | Read Complaint Details
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Additional Notes

Complaint: On June 27th, 2014, I was reviewing my personal bank account records and transaction history (which I typically do about twice each week) when I noticed that two withdrawals totaling over $2,000.00 were made from my savings account without my knowledge or consent. The two withdrawals were executed on two separate days earlier that week (on or about June 25th and 26th). In general, I do not withdraw funds from my savings account so the withdrawals were an immediate red flag. I called the fraud number provided on my debit card and was instructed to contact the Desert Schools Federal Credit Union (“DSFCU”) directly. A DSFCU representative confirmed that approximately $2,040.00 had been withdrawn from my savings account on two different days, and that the transactions were initiated by DSFCU. I asked the representative why the money was removed and why I had not received any advance notice of such a sizeable withdrawal, or notice even after the withdrawal had occurred. Anytime there is an unapproved or unexpected withdrawal without notice, it increases the likelihood of over-drafting the account and exposure to additional bank fees. I explained to the representative that as a general practice consumers should be given notice when large sums of money are withdrawn outside the course of normal account use. When I inquired about the nature of the transaction and the bank’s alleged authority to conduct unilateral transactions of this nature without the account holder’s knowledge or consent, I was only given vague answers due to the privacy of another account holder. While I understand the importance of privacy laws and DSFCU’s obligation to protect its customer’s nonpublic personal information I feel I should be entitled to enough information to understand how an unexpected withdrawal is permitted to affect my personal bank account even if the transactions affecting my account were conducted by separate accounts. Again the money was removed without my knowledge to reiumburse DSFCU for a bad transaction I had no involvement or knowledge of. After numerous failed attempts to obtain an explanation over the phone, I visited DSFCU in person for further clarification and to close my account. DSFCU’s lack of transparency in the process and the fact that I still had no explanation for the unauthorized withdrawal led me to believe that I could not safely maintain my accounts at DSFCU because I had no way to know how to prevent similar unauthorized withdrawals in the future. During my visit, I asked to speak with a representative so I could file a complaint and for information regarding the process to recover the lost funds. I was told there was nothing DSFCU could do and there are no safety features protecting bankers in my situation from withdrawals of this nature. I spoke with a "Member Solutions Representative" who was only willing to advise me to close my account and open a new one. The representative said there was no way to recover the funds, nor was there any paperwork I could file to prompt an internal investigation, get a more detailed explanation of what happened, or to recover the money. According to the Member Solutions Representative another account holder cashed a check that ended up bouncing. DSFCU asked the account holder to endorse the check and then issued the funds to this other account holder. Afterward, the account holder closed his account. Thereafter, the check bounced and DSFCU was out $2,000.00. Because the payee no longer had an account with DSFCU, the bank accessed my account to recover the lost funds. It is my understanding, that because the bank cashed what ended up being a returned check, I am somehow responsible for the missing funds because I have an account that was linked to the payee’s now closed account. The Members Solutions Representative explained that where customers have linked bank accounts, DSFCU is permitted to take money from other linked accounts to reimburse the bank for overdraft fees or similar shortfalls even though the accounts do not have joint account holders and are in essentially separate accounts. This seems to be a highly deceptive and abusive practice that should not be permitted. While the circumstances surrounding the bounced check are suspicious, I was in no way connected to the returned check or the insufficient funds that arose from the transaction. Nevertheless, I have been made liable for replacing those funds and had to be very persistent just to get an explanation from DSFCU. I understand that no matter how stringent a financial institution’s policies are, returned checks are part of the industry and unavoidable. There should, however, be a system in place that protects innocent third parties from the aftermath of these types of bad transactions. As I understand it, if not for the linked account, DSFCU would not have been able to withdraw the missing funds from my account and DSFCU would be out $2,000.00. What would DSFCU do in that situation to recover the missing funds? I am left to guess that they would pursue the payee or the individual that issued the bad check – not an innocent third party. While I am not very familiar with banking practices, it seems irresponsible to me that a bank would issue funds on a check this size before the check clears. Despite my lack of involvement in the bad transaction, DSFCU took money directly from my account to reimburse itself for poor checks and balances on their end. I have no way of recovering these funds because DSFCU states this is their protocol to take from another account to cover their own losses. I have maintained an account with DSFCU for years and have never had an issue. I have never had insufficient funds, never been late on a payment, or had a check bounce. I have suffered the loss of over $2,000.00 dollars due to maintaining a linked account. There are no safeguards to protect against this happening. I have had this account since I was a child as it was opened by my mother for me years ago.

Desired Settlement: Considering my lack of involvement in the initial transaction, I believe a fair resolution would be for DSFCU to reimburse the funds that were withdrawn from my account. I understand that DSFCU has also been harmed by the initial transaction so I would be willing to cooperate with any investigation to assist DSFCU reach a resolution in this matter.

Business Response: Desert Schools Federal Credit Union is in receipt of the correspondence filed by *** ******* with the Better Business Bureau in her complaint letter dated 8/25/2014.

We have reviewed the events described in Ms. ********* letter. Although our staff followed the standard right of offset procedures, outlined in our Statements of Terms, Conditions and Disclosures, and provided to members at the time accounts are opened, we are electing to reverse the transfer of funds associated with Ms. ********* account. We have contacted our member and will work directly with her to facilitate account resolution.

We value the feedback from Ms. ********* letter and reexamining this process. We also appreciate the opportunity to respond to the BBB as we are committed to working with our members to resolve inquiries or disputes promptly and equitably. Should you have any further questions, please feel free to contact me.

Sincerely, 
**** ********

9/24/2014 Problems with Product/Service | Read Complaint Details
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Additional Notes

Complaint: Back around November of 2013 I applied to get a auto refinance loan, I was approved but another bank gave me better rates so I never used the loan -On 08/15/2014 I received a call from a Desert schools agent from number ************ asking if I was interested in getting my auto loan refinanced, she told me there was a program right now that offered as low as 2.6% and 200 cash back and no payments for 90 days, she told me she had all my info and asked me if everything on my end was still the same, she asked if I wanted to learn more about it, I told her I was interested but wanted to hear more about the program and how it worked, I was at work while I was talking to her and asked her to call me Monday 08/18/2014 in order to learn more about it. I NEVER told her it was ok to do a hard pull on my credit and she NEVER asked if it was ok to do so. The following day I received 2 alerts from my credit monitoring services that a HARD inquiry was issued on my credit file from Desert Schools. I never received a call on 08/18/2014. -On 08/22/2014 I called in to ************ to find out why a hard pull was issued as I never agreed to have my credit file pulled because I was not even sure if I wanted to go through with the credit application, I wanted to hear terms first. I also wanted to complain about the first agent never even bothering to call me back. I spoke to a very polite and friendly call center agent who got a hold of the branch manager named *****. I spoke to ***** who asked me for my information and apologized for what happened, she asked me for my social security number and told me she was going to look into it and get back to me as soon as possible. It is now 08/27/2014, I have still not heard from ***** and I still have a new inquiry on my credit report that needs to be removed, it is affecting my credit score and is in violation of fair credit reporting act From the **** § ***. Civil liability for willful noncompliance [** ****** * *****] "(b) Civil liability for knowing noncompliance. Any person who obtains a consumer report from a consumer reporting agency under false pretenses or knowingly without a permissible purpose shall be liable to the consumer reporting agency for actual damages sustained by the consumer reporting agency or $1,000, whichever is greater." From the 1998 FTC opinion letter ********** at ****************************************... "Any person who procures a consumer report under false pretenses, or knowingly without a permissible purpose, is liable for $1000 or actual damages (whichever is greater) to both the consumer and to the consumer reporting agency from which the report is procured." Also from the Fair ****** ********* **** * ***. Civil liability for negligent noncompliance [** ****** * *****] (a) In general. Any person who is negligent in failing to comply with any requirement imposed under this title with respect to any consumer is liable to that consumer in an amount equal to the sum of (1) any actual damages sustained by the consumer as a result of the failure; (2) in the case of any successful action to enforce any liability under this section, the costs of the action together with reasonable attorney's fees as determined by the court.

Desired Settlement: I need this hard inquiry removed from my credit file as I did NOT agree to have my credit pulled, Please review call logs of the call in question and get this hard inquiry removed immediately.

Business Response: I am writing in response to a complaint you recently submitted to the Better Business Bureau regarding a credit bureau inquiry by Desert Schools Federal Credit Union. We sincerely apologize for our misunderstanding of your intent to refinance your auto loan and the inconvenience this has caused you. We have taken the necessary steps to have this inquiry removed from your credit report.

In addition, I would like to apologize for our lack of response and follow up on two separate occasions. This level of service is unacceptable and has been address withed the branch staff. We are committed to quality and exceptional member service to each an delivery one of our members and strive to exceed every member's expectations. Although we fell short in this situation, I hope that you will allow us to demonstrate our dedication to delivering quality service in the future. 

I apologize again for your experience at our ***'s branch on ******** ****. If I can be of further assistance, please don't hesitate to contact me at ###-###-#### or via email at **********************************

Sincerely, 

***** *********
Assistant Vice President - Retail Sales & Branch Operations

9/2/2014 Billing/Collection Issues | Read Complaint Details
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Additional Notes

Complaint: When I called to check in on my savings account with Desert Schools CU, they told me that my account has been closed some time ago (they would not provide HOW long ago, as my account "is closed"). That they had a "new policy" (January 2013) that savings accounts below a certain amount, would automatically have (large) fees deducted. Unbeknownst to me, as I never received the change in policy information - my account and money were gone. I never knew of this change (otherwise I would have closed my account IMMEDIATELY!). Basically, the credit union has stolen my money from me, and only told me, "Too bad". (and I got hung up on while "researching" my account, with a call back 10 minutes later). I was also told, originally that fees "cannot be reversed" changed to "I will not reverse your fees". I feel that I was stolen from, and they are placing blame on me. I was also told, that if I 'had caught it' after a month or two, THEN they could be reversed. My last conversation was with **** (for employee protection, they "do not give out employee numbers") I also do not know how much they took out, as they would not provide that information to me. (fees for "inactivity" and "monthly maintenance fees" that started January 2013, that I was never informed of)

Desired Settlement: I would like the fees reversed from my bank / savings account, as I was never informed of the fees.

Business Response: I am writing in response to the complaint you recently filed with the Better Business Bureau regarding the fees applied to your account and the subsequent closing of your account. Thank you for bringing your concerns to our attention .

In November of 2012, all of our members were notified of a new $5.00 Limited Membership Fee that was to begin in January 2013. This fee applies to those members who only maintain savings accounts and have a combined balance of less than $200. Members whom we projected could possibly incur this fee in January , were notified again in December of 2013. The notifications were intended to encourage members to determine how they would like to manage their relationships with Desert Schools going forward. We asked those members to consider growing their relationships with the credit union by opening additional accounts or increasing the savings account balance to greater than $200. The notifications we re also intended as a reminder for members for whom the credit union savings account had potentially become an overlooked element of their financial management plan.

At the time the fee was first applied, in January 2013, you had a balance of $ 182.17 in yo ur Desert Schools savings account and there had been no transact ions recorded since an ATM withdrawal on January 3, 2012. As a result, in addition to the Limited Membership Fee, the twelve months of inactivity also triggered the implementation of an Inactive Account Fee of $5.00 per month. You should note that, while the Limited Membership Fee was new, the Inactive Account Fee has existed in our fee schedule for a number of yea rs and the appropriate prior notifications were provided before your account was classified as inactive.

From our review of your account, and the information provided in your BB B complaint, it appears you have moved out of state. However, since you had elected to receive electronic statements and notifications from Desert Schools, all of the notifications we provided were available to you with your statements. Each month, when the new statement becomes available online, Desert Schools also sends an e-mail to our members who use eStatements, to encourage them to review their accounts and to record any disputes within the 60 days allotted under our Terms and Conditions.

Our records confirm that we provided all necessary notifications and emails to inform you of the status of your account; however, we can also see that you had not logged in to online banking. Through your conversations with our Member Assistance Center representatives,  it became apparent that, although you did receive our email notifications, you were not able to access your account and did not take steps to resolve that issue until recently. I can certainly understand you may have had other priorities which prevented you from taking action on our Inactive Account and Limited Membership notifications before the fees began to deplete your balance, and, under the circumstances, I believe Desert Schools should work with you to settle your concerns. Since our implementation of the new Limited Membership Fee, in January, caused your account balance to decline more quickly than would have transpired with just the Inactive Account Fee, I have authorized the refund of all of the Limited Membership Fees that were applied to your account. This totals $90.00. A check for this amount will be mailed under separate cover to the address provided on the BBB complaint.


I hope my response adequately explains our processes and addresses your concerns. If you have any further questions or concerns, please feel free to call me directly at ###-###-####.
 
Sincerely,
*** ******
Vice President - Contact Center Operations

8/11/2014 Problems with Product/Service | Read Complaint Details
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Additional Notes

Complaint: My mother who had passed away in 2010 had banked with desert schools for many years she had a checking and savings account with them and had opened a savings account under my name when I was a minor child. In addition the joint savings account which is in my name was also linked to a safety deposit box of hers. You’d think that Desert schools would try to help their customers when someone loses a loved one but they do the opposite. I had went to the bank and explained to the banker ****** about my situation with the safety deposit box. Shortly after my mother’s passing the safety deposit keys ended up missing. There is a possibility that they were stolen by a family member but I have no way of proving that and the person who may or may have not taken them was a signatory on the box. I explained that to ******. I had originally went to desert schools to simply ask for a deferment on my safety deposit box payment. I explained to ****** that I was a college student waiting on my financial aid to come in. The teller and ***** both said there was nothing they could do. I am tired of having to pay this thing every year and the price of it keeps going up and there is nothing I can do about it . just asking for a deferment is not an option and I feel that this is not right since this savings account and safety deposit box were opened when I was a minor I never even used that savings account until I was an adult and started working. I don’t have the keys I don’t have access to the box and I simply can’t afford to pay 200 to have it opened and desert schools refuses to help what’s even worse is that my deceased’s mothers bank account is still active as I can transfer funds to it online if I choose to. I explained that to ****** as well. I had asked him to check the ledger to see if anyone else besides me had accessed the box. He said that none one but me had entered it since 2010. I am truly angry with deserts schools and there lack of compassion. I lost my mom and I want to move on with my life and this safety is causing my more hurt. There is nothing of value in that box anyways but the bank doesn’t care. I told the bank there may not be funds in there on the first of august. And I want to make this clear that the bank will not only pull the money but they charge a 35 dollar fee. If the bank does this I will not have money to eat and will have to go without having something to eat as my food money will be gone. That is why I am asking for a deferment I did not ask to have this box in my name I did not ask for the keys to get lost/ stolen. It has been hard since my mother died and I just want to move on with my life and this bank is no help

Desired Settlement: I would like the bank to do one of two things I would like them to drill the box at no charge or issue a replacement key. Or my first offer is a deferment until the 20th of august. I feel that is fair since this box has never not been paid and I am more than willing to pay the 75 on the 20th but I can’t afford to do it on the first. These 2 options are more than reasonable and if the bank cannot do either on of these two options than I will not be satisfied with my complaint and I will close my account with desert schools and I will never bank with them again.

Business Response: Let me first offer my sincerest condolences for the passing of your mother. I am writing in response to a complaint you recently submitted to the Better Business Bureau requesting that Desert Schools defer our annual Safe Deposit Box rental fee of $75.  You previously addressed this issue at our 44th Street & Thomas Road location and through social media on our Facebook page.

I can clearly see your frustration and truly apologize for the inconvenience this has caused.  We have fallen short of our commitment to provide you with exceptional service and an immediate solution. This situation does not represent the standard of service on which we pride ourselves.

I understand that, since writing your letter, you met with **** *******, our 44th Street & Thomas Road Branch Manager, on August 4th and a solution was agreed upon. In summary, Desert Schools will incur the expense associated with having the Safe Deposit Box opened, provide you with its contents and terminate the lease agreement on August 5th. In addition, we have reversed the $35 non­-sufficient funds charge that you incurred as a result of the application of the original Safe Deposit Box fee.

We are committed to quality and exceptional member service to each and every one of our members and strive to exceed every member's expectations. Although we fell short in this situation, I hope that you will allow us to demonstrate our dedication to delivering quality service in the future.

Thank you for taking the time to tell us how we are doing and I apologize again for your recent experience. If I can be of further assistance, please don't hesitate to contact me at (***) ***-****.

5/30/2014 Billing/Collection Issues | Read Complaint Details
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Additional Notes

Complaint: I have been a member of Desert Schools Fed Credit Union for several years now. Currently, I have a money market savings account there as well as a CD. Prior to 2009 I had an advantage checking and money market savings there in which the majority of my money was in the savings (both accounts combined approximately $6,000). 2009 is when the customer service rep convinced me that a CD was better option than having that much in a money market savings. So at that time (2009), I closed and transferred out my money from the advantage checking and most my money from the savings to the CD, leaving $1260 in my money market in which the minimum was $1,000. She also switched me to paperless statements at that time. Well understanding that everything was taken care of, my plan was to leave both the accounts as investments and emergency money in my savings. A year later, in 2010 the minimum balance for my money market changed to $2000. Since then my account has been debited $15 monthly in which I was unaware of this entire time. I discovered this was happening this month (April 2014) when I called to ask about unlocking my account online to check on my CD. The representative informed me at that time that my account was having money taken out. The total that Desert Schools has drained out of my account is $687. I did not receive any notification of the change through email, phone call, or mail. If the notification was online, I have not checked my statements online for years because I would always get locked out so I just let it go thinking I don’t need to monitor my savings since it is a saving. I do understand it is my responsibility to check on my account. Still, I feel that I should have received proper notification and it would have been a simple fix on my end. I just want my money back. I went into the Ahwatukee branch on Thursday, April 10, 2014 to speak with someone about this situation. I spoke with ********* ***** (member solutions representative) who told me that he would have to speak with ***** ******** (branch manager) because there are too many fees and he could not help. He continued to tell me that it was my responsibility to have come in to check and that I should have changed my address since I moved a year ago. He was extremely unfriendly although I remained composed. He said that he would contact me in a couple hours to let me know what was going on. He did call me back that same day and stated that ***** would have to speak with the regional manager about the situation and that they are working hard to resolve the matter. On Tuesday, April 22, 2014 I called *****’s direct line and left a detailed message asking her to return my call since it had been 12 days later and I had not received any updates or info as to what was going on. There was no call back. I then called the Desert Schools customer service line on Thursday April 24, 2014. She informed me that the manager (*****) was on vacation and that she would be returning April 25, 2014. She also said that if I would have read the policy information I would have seen that I have to file a dispute within 3 months to get my money back and that this should be a lesson learned. I am frustrated now especially from how condescending she was toward me. I understand that if I was acting irrational and irate over the phone or in person this may give the customer rep a reason/justification to speak to me like I am 5 years old, but I was not acting anything other than professional. The call was supposedly recorded as well to verify for quality assurance. She proceeded to inform me that the manager would contact me on Friday, April 25th to update me. Tomorrow my account will be debited again and I mentioned this to the customer rep. I said I am not sure if I should close the account because then I may not be reimbursed. She gave an unclear response saying the manager will call you. I am asking that the fees be reversed so that the entire amount taken ($687), be reimbursed back. This is wrong and I wonder how many others this may be happening to. I also ask for an apology on how I was spoken to. It was uncalled for.

Desired Settlement: I am asking that the fees be reversed so that the entire amount taken ($687), be reimbursed back. This is wrong and I wonder how many others this may be happening to. I also ask for an apology on how I was spoken to. It was uncalled for and degrading.

Business Response: I am writing in response to a complaint you recently submitted to the Better Business Bureau regarding $690 of fees that were charged to your Money Market account over a 46 month period.  The $15 “Low Balance Fee” was assessed monthly from June 25, 2010, through March 25, 2014, as a result of your account balance being below the required $2,000 minimum to avoid a fee.  As a clarification, you state that $687 of fees were charged in total while our records indicate $690.

When you enrolled in online banking and e-statements you also agreed to receive notifications through that online channel.  In your letter, you acknowledged that you had not attempted to resolve the issue which   resulted in you being locked-out of online banking and, as a result, had not checked your e-statements “in years”.   Your choice to not check your e-statements is presumably the reason you also claim in your letter that Desert Schools did not provide appropriate notification of the change in the minimum balance requirement from
$1,000 to $2,000.

In fact, this change was communicated to all accountholders in a notice which accompanied the March, 2010 statements.  Additionally, Money Market account holders with balances less than $2,000 received a second notification concurrent with, or just prior to delivery of the April, 2010 statements.  Both communications occurred well in advance of the May 1, 2010 effective date, but in your case, as with all other e-statements users, those communications were delivered through the online banking channel.

You also mentioned that our Ahwatukee branch team at 4940 East Ray Road did not respond to your issue in a timely manner.  I agree that we could have handled your situation more effectively.  We fell short in our commitment to help you resolve your issue in a timely manner and, as a result, your low-balance situation continued for another month, resulting in a further low-balance fee. I would, once again, like to offer my sincere apology for that delay.  As you are already aware from a voice mail message of April 25, 2014, I initiated a  credit of $400 back to your account as a gesture of apology for our ineffective member service.

However, you informed our branch manager on May 5, 2014, in a telephone conversation, that you were not satisfied with this gesture and wanted a refund of the remaining $290.  We are not prepared to do that.  Desert Schools stands by its decision that the minimum balance increase in May of 2010 was more than adequately communicated and that all of the fees charged from June 2010, through March 2014 were appropriate.  Had you resolved your online banking access issues, and reviewed your e-statements and our notices, this fee change would have become apparent, and you could have taken appropriate steps to avoid incurring low balance fees on your account.

You should also be aware that your Money Market account balance is currently below the $2,000 minimum and will continue to be assessed the $15 low balance fee each month until that situation is remedied. Our Ahwatukee branch manager, ***** ********, indicates she has already contacted you, on May 12, 2014, in an effort to offer solutions and assist you in taking steps to avoid this.

Thank you for allowing us to respond to this matter and if I can be of further assistance, please contact me at ###-###-#### or via e-mail at ****.*****@*************.org.

3/30/2014 Problems with Product/Service | Read Complaint Details
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Additional Notes

Complaint: In late January 2014, I applied for a car loan and was approved. Due to the fact that the car I had found and reserved was valued well below its ***** **** **** Value, I asked the representatives if it would be possible to do an immediate cash out loan. I was very specific as to my goals. They were: 1. Purchase the vehicle 2. pay the taxes and registration 3. due to the car being purchased "sight-unseen" have a little excess to ensure it could be put in to tip-top condition 4. pay off and consolidate excess debt, resulting in having one large payment, but no others. The representatives explained that they were unsure, and wanted to be 100% positive that the desired solution could be obtained, thus she took it to the managers and/or underwriters for confirmation. It was confirmed that this was possible. After over a month of dealing with out of state title issues, and this was not the fault of desert schools, I had finally, with the help of desert schools and the dealership from which I purchased the car, managed to get the title to an acceptable state, i.e. arizona would now accept the transfer of the Texas title. On the day that I am supposed to finalize my paperwork and have the car shipped, I was told that desert schools could not do what they had promised, but would still be able to obtain the loan to purchase the vehicle. Unfortunately, I had, after a month of planning and hours of due diligence, I had already set my financial situation up for what had been promised. As a result, I am now scrambling to reorganize again. This requires hundreds of hours and is not what I was looking to do. The personal and financial strain that this has created is unprecedented. I hope that a reasonable solution can be obtained.

Desired Settlement: I would like what was promised to me. A $36,000.00 dollar loan resulting in the agreed upon cash out and purchase of the vehicle.

Business Response:

Dear Ms. *******:
 
This letter is in response to the Better Business Bureau complaint submitted by our member ***** *. **** dated March 5, 2014.
 
We contacted Mr. **** to discuss his letter and explain the reason for our actions. From this conversation it was clear that a miscommunication did occur between our staff and Mr. ****. As a result of our discussion, we were able to explain the credit union's position and meet his needs with  alternate financing.
 
We appreciate the opportunity to address this issue. If you have any questions, please contact me at the number below.

2/20/2014 Problems with Product/Service | Read Complaint Details
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Additional Notes

Complaint: I took out a car loan with Desert Schools back in July 2009. In order to make my payment process easier, I set up an automatic payment where Desert Schools took money from an external account of mine, deposited it into my savings account with Deserts Schools and then made the payment on approx the 20th of each month. On approx October 30, 2013, the car loan with Desert Scools was paid in full. On November 20th they withdrew the car payment money from my non Desert Schools account and deposited it into my Desert Schools savings account (I had requested with my payoff that the auto payment stop). On Noevember 25th, I then went into the Desert Schools Branch on *** ******* to withdraw the money and completed the Stop Auto payment form. I was assured the auto withdrawals would stop. On December 20th, the money was again withdrawn from my non Desert Schools account and deposited into my Desert Schools Savings account. I went back into the branch and asked why this happened - which no one could answer. I was then told that they were not withdrawing the money for the car payment??? That they were only transferring it from an external account to my Desert Schools account - Which they were NO LONGER authorzied to do. I told the teller that I wished to close my account with Desert Schools and she told me if I did that then I would loose the money that was in my savings account (aprox $406). I asked why would I loose MY money and she explained that if I closed the account the money that was transferred in would go to e Desert Schools?? Which made no sense. My wife was a teller many years ago and told the gitrl that we would not loos e the money that she was to withdraw the funds first and then close the account. Which I did. Earlier inthe day, my wife contacted the bank that the car payment money was being treansferred from and they said the only way to stop those withdrawals from happening was to issue a stop payment on the Desert Schools auto withdrawal - which she did at a cost of $35. I do not feel that we should have to pay that $35 since I did and completed all forms that were necessary to stop the auto transfer. In addition, I would like to add that the customer service staff at Desert Schools are the most unprofessional staff I have ever dealt with and that I why I chose to close my account so that I would not to deal with their attitudes and sarcasm any longer.

Desired Settlement: I would like to be reimbursed for the $35 stop payment fee that I was charged from my other bank since Desert Shcools could not comply with the stop payment process that they had submitted back on November 25th.

Business Response:

I am writing in response to the complaint you recently filed with the Better Business Bureau regarding the handling of your request to stop the transfer of funds from another financial institution to Desert Schools Federal Credit Union. Thank you for bringing your concerns to our attention.
 
I would like to begin with an apology for what seems to be a miscommunication between the BBB and Desert Schools . We do not have any internal record of receiving a copy of your complaint from the BBB in January. I assure you that we take any member concerns very  seriously and attempt to resolve them as quickly and fairly as possible. We appreciate you sending a follow up letter to us so we can properly address your issues.
 
I have researched the concerns expressed in your complaint. Unfortunately we do not have any record of the request to cancel the external transfer, which you stated you sent when you paid off the loan. We did, however, receive the secured message asking for the transfer from BMO Harris to Desert Schools to be cancelled On November 25, 2013 . Later the same day and in response to that message, our representative replied asking you to call our Member Assistance Center or visit a branch to cancel the transfer. As you stated in your letter, you visited our Scottsdale  branch and completed the appropriate form (copy enclosed). We should clearly have done a better job of clarifying your intent at that time because the form did not accurately  reflect your wishes. The stop date for the transfer indicated by the form was December 21, 2013; one day following the scheduled transfer for December. From your letter, it is clear you wanted the transfers stopped at once, before the December  transaction.
 
Later in your letter, you indicated the teller you spoke to incorrectly advised you that if a transfer was received after your account was closed, those funds would not be restored to you. That is, of course, incorrect. If your account was closed while a deposit was pending, the funds would be returned to the originating financial institution. You would not lose the money. I can't explain this error; however, I can assure you we are continuing to try to identify the staff member involved so we can correct his/her understanding of this process for the future.
 

Lastly, you indicated your wife placed a stop payment with BMO Harris to ensure the transfers would not continue. The cost to do this was $35.00. Although we actually fulfilled your written request to cancel the external transfers, it is clear that transpired at least a month later than you intended. Had we managed this process more effectively , you would not have felt it necessary to incur that expense. We are truly sorry for the inconvenience you and your wife experienced and I hope my response adequately addresses the concerns you expressed. I      have enclosed a check for $35.00 as repayment for the stop payment fee you incurred. I  hope that,in spite of your less than positive experience on this occasion, you will give Desert Schools another opportunity to win your business at some point in the future. In the meantime, if you have any further questions or concerns, please fee free to call me  directly at (***) ***-****.

Consumer Response:

Better Business Bureau:

I have reviewed the response made by the business in reference to complaint ID *******, and find that this resolution would be satisfactory to me.  I will wait until for the business to perform this action and, if it does, will consider this complaint resolved.

Regards,

***** ****

2/1/2014 Billing/Collection Issues | Read Complaint Details
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Additional Notes

Complaint: In 2010 I had financial issues and as a result became late on my auto payments and my checking account became overdrawn. I did become current and made cash payments to do so through a shared banking location, when I amount owed in 2010/2011 I was told that I was current. I called Desert Schools Federal Credit Union today to get my pay off balance. My auto loan has should be paid in full of January 2014. However the Desert Schools Federal Credit Union has added more than 9 months, $4721.79 in charges to my auto loan. Since 2010 I have requested that the statements be sent to me. They have not been sent to me. I was told that because my checking status is classified as undesirable, I cannot get them electronically or has electronic access. Ironically one needs electronic access to request statements via mail. I don't understand the extra charges and no one will work answer my questions the phone. I was told that if I would like the past invoices, they will cost $3 per invoice.

Desired Settlement: I need to see the charges from the delinquency of my auto loan, as well as the payments that I made that brought me current, in addition to the extra $4721.19 that has been added to my auto loan. I need an explanation of the charges. I also need to receive a statement sent to every month at no cost to me.

Business Response: Your recent concerns lodged with the Better Business Bureau (BBB) have been forwarded to my attention for response. I have reviewed your accounts and the situations you described as well as Deserts Schools' practices as they pertain to your accounts and have summarized my findings below.

Your complaint indicates that you believe your loan is scheduled to be "paid in full" in January 2014. Your loan opened on 1/31/09 with a 72 month term and is scheduled to mature on 2/15/15. Please see the enclosed copy of your loan contract which confirms the loan term. The payoff amount of your loan as of today's date is $5,254.03. ($5,201.28 principal, $40.72 interest to date, $12 .00 accrued late fees) Continued and timely remittance of monthly payments throughout the remainder of your loan term will satisfy the remaining balance.

The loan payments which were scheduled and due for October, November, December of 2011, and January and February of 2012 were not paid until 2/29/12.  Due to the stage of delinquency during this time frame, the vehicle had been assigned for repossession. Our records indicate that you contacted our office on 2/29112 to discuss your loan delinquency and to make arrangements to bring the loan current.  Funds in the amount of $2,726.50 were remitted by you via shared branching. A total of $2,563 .50 was credited to your existing loan balance and $162.00 was credited toward the accrued repossession assignment fee.

Working with you to rectify the delinquency for your auto loan in February 2012 we also advised you of the condition of your checking account. Your checking account f irst became negative on 9/22/11. On 9/30/11 there was a deposit of $502.00 via shared branching. However, on 10/17/11 we received a returned check for non-sufficient funds from Arapahoe Credit Union. The return check caused your account to be overdrawn by -$516.14. We have enclosed a copy of the return check notice for your reference. Your overdrawn checking account was never resolved; as a result the credit union was forced to charge off the loss on 12/29/1 1. I have enclosed account statements from 10/11/11 through 3/11/ 12 which will provide the transaction detail that I've summarized above.

Typically account services are restricted when Desert Schools incurs a loss on any account. Online access, monthly statements, and some branch services are restricted. Additionally, alerts are placed on the account in an effort to mitigate the risk of any further loss. These types of actions are outlined in The Statement of Terms, Conditions and Disclosure which govern all accounts at Desert Schools. Additionally, they are within the regulatory guidelines outlined by the NCUA and established business practices.

It would appear from a review of your account statements that Desert Schools was not notified of your 2011 address change until you contacted our office in February of 2012 at which time you stated you resided in *********** **. As you can see from the statement copies, we began sending them to your Centennial address at that time. However, the address referenced on your complaint to the BBB is in ********** **. We have never been notified of your change to that address. If we should now be sending statements to that address, please call us to confirm that.

We appreciate the opportunity to respond to your concerns.  We are hopeful that this information has provided the details you require for clarity regarding the present status of both your automobile loan and the charged-off checking account. Please contact me directly to make arrangements for repayment of the checking account. We are happy to work with you to re-establish your access to online services and monthly statements.

12/3/2013 Problems with Product/Service | Complaint Details Unavailable
11/11/2013 Problems with Product/Service | Complaint Details Unavailable
11/3/2013 Billing/Collection Issues | Complaint Details Unavailable

Customer Review(s)

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Customer Reviews Summary

15 Customer Reviews on Desert Schools Federal Credit Union
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