ComplaintsforRim Country Federal Credit Union

• Initial Complaint

  07/28/2023

  Complaint Type:

  Billing Issues

  Status:

  Answered

  More info

  For the life of this loan my payments have been set up as direct withdrawal (this began June 2021), from my checking account during a time of disability a 3rd party disability benefit insurance **** (CUNA mutual now ************************* *** {this policy was sold to me by Rim country federal credit union}) is to make payments on my behalf 1 month after the start of the disability during the disability the payment are to be made by the insurance *** outside of the disability, the rim country federal credit union is to direct withdrawal the payments from my checking. Rim country federal credit union failed to automatically withdraw payments from my account which has caused several late payments between 30 and 60 days since July of 2022. I was never contacted by phone postal service or Email nor when I was in the office conducting business to tell me that by loan was in arrears. I have brought all payments up to date the late fees were removed (in effect saying that they should not have been claimed as late in the first place) but rim country federal credit union refuses to correct the false records that were installed by rim country federal credit union. there error has caused great harm to my credit report.

  Business response

  07/31/2023

  This statement is true up until the time *** went on disability at which time his payroll stopped.  At that point, he was reminded that he needed to pay the *************************************************************************** he could fill out a subsequent action form and have the payment deferred to the end of the loan.  He did neither of those things.  He at some point went back to work for a few weeks then went back on disability but did not contact me to start his payment again.  His disability made some more payments but *** was still behind from the original non-payment of the required 30 day deductible.  It is our policy not to charge late fees while a member is on disability but it is the member's responsibility to make sure their payments are current.

   

  Thank you

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

  Manager

  Customer response

  07/31/2023

  each of the "late" payments were at the beginning of each span of disability. Before each disability span rim country was notified that I would have an insurance claim yes 30 days before but it does not change the fact that  payments were direct withdrawal from my Rim country federal credit union check account and because they are automatically withdrawn by Rim country without my action "automatically" the payments were not taken out during the elimination periods yes in September i did return to work and notified Rim country that I had return and they pulled the money out then but failed to take it out in November.

  Beyond all that I never received any notice of late/missing payments ever

  Business response

  08/01/2023

  When we are notified that a member is going on disability, the auto pay is stopped to prevent double payments.  ***************** knows this.  He also knows that if he does not have the funds in his account because he is not getting his regular payroll, we cannot transfer a payment. Also, on a disability claim before, we mistakenly sent him a late notice, he got very upset. We try to hold late notices when someone is on disability because the insurance will almost certainly pay late.  In this case, we were following procedure in not sending late notices because ***************** has issues when he receives them.  In this case, when I was contacted by the insurance company that ***************** had filed a disability claim, I contacted him and reminded him of the 30 day deductible.  This payment was never paid until recently.  That is why he is showing 30 days for several months.

  Customer response

  08/01/2023

  
  1) if a member is going on disability why would Rim country FCU stop deduction of payments, BEFORE the insurance kicks in? I assure management I'd much rather clean up over payments on my part than this mess that was caused by RCFCU.
  2)I have disability insurance that comes from my employer, and was direct deposit the entire time, until i was terminated in April 25 23 (Due to the original disability) well after the "late" payments. the funds were in the checking account when RCFCU says that payroll stopped deposits.
  3)Yes most people have issues, when they get late notices threatening of further changes and repossession. Especially when the party sending them knows the circumstances, and that the ***************** that they sell policies for pays late.
  4)I was never notified that I was late if I had been notified it would have been payed immediately like of my other payments.
  5) Rim country FCU called and asked to settle this outside of 3rd party. I called the manager, and I thought we had this matter settled. I was promised that these records would be deleted from my account, and all would state "OK".
  I hope RCFCU , It was management that requested that we speak, one on one and leave out the 3rd party. The last comment is nowhere near what was discussed on the phone. But if management agrees, to follow through with what was agreed on the phone, this morning August 1st 2023 ( removing ALL, derogatory remarks from my credit report since June of 2022) I will be satisfied with the out come, but nothing less.
  Thank you
  ***************************.

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