ComplaintsforNeighbors Credit Union

• Initial Complaint

  10/26/2023

  Complaint Type:

  Product Issues

  Status:

  Answered

  More info

  In July of 2023 my insurance (auto) was switched to a new provider. Upon switching the insurance provider, Neighbors credit union was informed of the change as they are the lien holder on my loan. There are a number of autos on this policy and the lien holder is the same. In September of 2023 forced placed insurance was added to my auto loan with the credit union in the amount of $ 3420.00. I have provided proof of insurance on several occasions. I have also had the insurance provider personally email the required documents to the credit union to clear up any confusion about my coverage. Several employees of the credit union have been contacted and each time the message they convey is that the added insurance will be fully refunded. There has not been a refund to date. The head of Lending was contacted in hopes to help resolve the problem and there has been no response. In addition, not only has my refund not been granted I am also paying interest on this added amount of $3420.00 in which they have stated will not be refunded. They have taken no action to resolve the problem. It is not fair that I have to pay interest on an add on that should have never been added in the first place. It also should not take an organization an entire month to fix the problem. The lack of accountability is ridiculous. The fact that this issue has not been resolved in over a month clearly shows that they do not want my business in the future.

  

  Business response

  12/14/2023

  Dear Better Business Bureau, 

  Regarding the above-mentioned complaint ID number, Neighbors Credit Union became aware of the automobile insurance issue around September of this year. 

  The original automobile declaration page had incorrect lienholder information, one of our representatives reached out to ******* Insurance to have corrections made to the lienholder portion of the insurance policy. 

  The lienholder correction was made and a full refund in the amount of $3,420.00 has been issued by **** ******** and Associates. The amount was posted to the loan on 10/26/2023.

  Regarding any interest that may have accrued, we will research to determine if any adjustments are needed. 

  Thank you, 

  ***** ****

  Neighbors Credit Union

   

   

   

• Initial Complaint

  07/11/2023

  Complaint Type:

  Billing Issues

  Status:

  Answered

  More info

  They are saying that after paying on this loan because of these charges. The loan should have been paid off in 03/2022. I have been paying $365.00 a month since January of 2017. I have carried full coverage the entire time of having the vehicle. They claim that they were not listed as the lien holder with the insurance company. The bank is stating I owe approximately $10,500.00 after paying on this car for six years. I am willing to pay any late charges, but is that $10,500.00 worth? The bulk of the balance is I think their high price insurance they placed on to my loan which includes late charges. I have proof from all of the insurances that I have had on the vehicle that they were listed as the lien holder. I have sent them stuff from the insurance company. I would like a refund for the charges that are not legit on the loan.

  

  Business response

  07/24/2023

  Complaint received and under review. We will provide an update with the findings. 

• Initial Complaint

  06/22/2023

  Complaint Type:

  Service or Repair Issues

  Status:

  Resolved

  More info

  In November 2019, I took a loan out with Neighbors credit union for my car. Since then they have lost several thousand dollars of payments. When *** contacted them about my lost money, they said they do not give confirmation numbers with payments. *** sent them bank statements multiple times proving Ive made payments but they refuse to acknowledge them. When I spoke with them earlier today, they claimed that Ive not made a single payment since September 2022 even though I have bank statements proving otherwise. They then told me that per their policy, they only apply payments towards the interest and not the loan itself and that if I wanted to have the loan paid, Id need to pay more per month than the agreed upon amount from my contract. My contract shows that my interest is included in my monthly payment of $485 but they refuse to acknowledge it and are now trying to repossess my car for lack of payments toward my loan.

  

  Business response

  06/23/2023

  We are in receipt of your complaint and will review and respond. Thank you for your inquiry. 

  Customer response

  06/26/2023

  Better Business Bureau:
  
  I have reviewed the response made by the business in reference to complaint ID ********, and find that this resolution is satisfactory to me.
  
  Sincerely,
  
  *******************************

• Initial Complaint

  03/28/2023

  Complaint Type:

  Service or Repair Issues

  Status:

  Answered

  More info

  I have been with this bank for 20 years. In January my account would be overdraft and I turned off the overdraft. I asked them why would they let other people overdraft my account when I am not able to overdraft my account up to $500.00. I went into the bank to try to resolve this issue. I was informed that I threatened one of the workers and I apologized because I was upset. This lady called and stated that she is a Equity office and she heard me threaten a employee back in January. I informed the lady that this issue has been resolved. This lady took one of my deposits and closed my checking account and closed my debit card so, I could not withdraw from my saving. She also she took my from my saving and a cd to pay a future loan that is not due until 04/08/2023. I want all my money back . I want my sons social security, money for my cd, and money from refunds that will be returned to the institution. 

  

  Business response

  04/21/2023

  The communication for Ms. ******* is now uploaded into BBB. We have closed and documented all outstanding member accounts. No further action is needed from Ms. *******. Neighbors Credit Union considers this matter closed. 

• Initial Complaint

  03/06/2023

  Complaint Type:

  Billing Issues

  Status:

  Answered

  More info

  I noticed I had late payments from NEIGHBORS CU on my credit report. During these months I did not receive anything stating I was late. As you can see, majority of my payments have been on time so I am requesting the removal of these late payments from my account. I am trying to increase my score to purchase a home and would greatly appreciate if you guys can submit a request to the credit reporting agencies to remove the late payments.

  

  Business response

  03/21/2023

  Please see the attached file. 

  We have researched the complaint filed from ****** ****** on 3/6/23 requesting that credit file be
  updated showing no late payments. Our records indicate that the last payment made on this account
  was August 3, 2022. We have documented multiple attempts to reach Mr. ****** at the number he
  provided on the BBB complaint form with minimal success. Messages were left in addition to collection
  letters mailed to the address he provided. A Notice of Right to Cure Default was mailed to the address
  on record, which is the same address provided on the complaint, on October 21, 2022. Our records
  indicate that the borrower contacted our office on October 29, 2022 to voluntarily surrender the vehicle
  which was securing the loan and notices were provided to him on November 8, 2022, confirming the
  repossession and notifying him of his right to reclaim any personal property.
  Our records show that the period of time in which we are reporting Mr. ****** as delinquent on his
  credit report is accurate and reflects the status of the loan correctly and therefore, it is not our intention
  to change the reporting.

• Initial Complaint

  02/16/2023

  Complaint Type:

  Customer Service Issues

  Status:

  Answered

  More info

  I went to the bank to deposit $400 in my checking account on February 15, 2023. I asked her can you tell me the balance for my savings account and she said $8,018.70. I never took any money out on February 1st. They stole my money.

  

  Business response

  07/24/2023

  The formal response is provided in the attachment. No further action is required on our part. 

   

  July 24, 2023

  To: BBB

  From:  Neighbors Credit Union

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

  Re:   BBB Complaint  -  ** ***** ********

  Ms. ***** made a transaction on her account on 02.01.23, and completed several other transactions as well. After the member left the employee that processed the transaction believed an error had been made. After unsuccessful attempts to reach Ms. ***** to seek clarification, the teller withdrew $2000.00 from members savings to correct the perceived error. Once the correction was posted to the account, Ms. ***** visited the location where her transaction was processed, letting us know her transaction was completed correctly on 02.01.23. At that time, an investigation was completed, resulting in a refund to Ms. ***** of $2,000.00 on 02.24.23. Ms. ***** was notified at that time. No further action is required. Please let us know if further information is needed. 

  Sincerely,  ******* ******

  Director of Quality and Risk

  Neighbors Credit Union

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

• Initial Complaint

  12/06/2022

  Complaint Type:

  Billing Issues

  Status:

  Answered

  More info

  I refinanced my car loan through them in 2018.. they wanted me to send info about my car insurance which I had or they would put there own on.. I sent them the necessary paperwork and they charged me for car insurance anyway.. over $10,000 worth over a few years..I contacted them and resent the paperwork..even had my car insurance rep send something over.. they refunded the amount but not the late fees and said it wouldn’t happen again..we‘lol it happened again including more late fees…trying to get something done through them is impossible.. everyone wants to pass the blame.. none is willing to help.. extremely frustrated….

  

  Business response

  01/30/2023

  1/30/2023
  
  To: BBB
  
  From: Neighbors Credit Union, ****** *********
  
  Re: BBB Complaint * ******* ********** ********
  
  Required documentation of full coverage insurance with Neighbors Credit Union shown as lienholder on
  all vehicle loans, for the entire life of the loan is necessary. If documentation is not received, three
  letters are sent over the course of three months to the address on file notifying an action of forced
  placed insurance will follow. At that time, a 1-year policy premium of forced placed insurance was
  placed on the loan balance. If documentation is not received, and the forced policy expires, another
  letter notifying an additional 1-year policy premium will be added to the loan balance will occur. If
  documentation is received indicating full coverage insurance for the entire missing period after forced
  insurance has been placed, the premium is refunded back to the loan, as outlined in the member’s
  statement.
  
  However, when forced placed insurance is added to the loan, the action does not change the due date
  and does not charge any late fees. Late fees are only assessed when payments are made more than 15
  days past the due date. Therefore, any late fees assessed were not due to forced insurance, rather due
  to the payment being more than 15 days past the due date.
  
  
  Sincerely,
  
  ****** ********* *********** ******* ******* ********* ****** ***** **** * ********* *** ****** ** *****

• Initial Complaint

  09/14/2022

  Complaint Type:

  Customer Service Issues

  Status:

  Answered

  More info

  My husband & I had a home equity account with Neighbors beginning January 2017 when we refinancied our mortgage. We used it and made timely payments on it throughout the years. Fast forward to Monday, September 12, 2022, I discovered, purely by accident, someone at Neighbors had zeroed out our credit limit on the account on August 15, 2022. Apparently, the person/s saw my husband's obituary in the paper on Sunday, August 14 and changed the account. I received no phone calls, no letter, no email, NOTHING!. That money was to be used to pay for a new deck & screened-in porch at our house. Now I am being told I have to reapply for the account by myself. Both of our names and signatures are on all the paperwork filed with Neighbors.

  

  Business response

  09/16/2022

  Complaint is received. A formal response will be uploaded by 9/23/2022. 

  

  Business response

  10/17/2022

  It is our practice to freeze or close a credit line when we receive notification a borrow on the loan is deceased. The notification of death automatically places the loan in default on our system, prompting us to begin communication with the remaining borrower. *** ******* was contacted regarding the status of her loan and was informed she would need to reapply for the credit line. After a request to apply is received, a loan decision would then be based on individual credit worthiness.
  As of 9/20/2022, the loan has been paid off and closed on our system. Please let us know if there are further questions about this situation.
  Sincerely,
  **** *****

• Initial Complaint

  05/24/2022

  Complaint Type:

  Customer Service Issues

  Status:

  Answered

  More info

  Wife went to do refinancing and the banker basically sold her $2000 worth the warranty **** she said she did not want and the banker forced it saying she could not refinance unless she took the crap. Now trying to cancel it has turned in to a nightmare. Nobody will call back the banker who sold it lied said she could not get the refinance with out it called the banker she is unavailable for the last 11 call when she does pick up she says she will call right back. never does

  

  Business response

  06/09/2022

  See attached doc. 

  This individual's wife came in to close on an auto refinance with our Member Closing Center by herself. She was presented the option to purchase back-end product, such as GAP and Warranty. She was shown a payment/loan structure with both GAP and Warranty, with only Warranty, with only GAP, and without any product at all. After reviewing her options, she agreed to both GAP and Warranty, and signed the loan contract agreeing to both products. Later that evening, after business hours, her and her husband left a message explaining they did not want any product at all. The very next morning, the closing center representative cancelled/voided the original documents and prepared new contractual documents without any GAP and Warranty. The newest contract, without back-end product, is the only active contract that Neighbors has on file for this borrower. Because the representative acted quickly, they were never charged for GAP or Warranty, thus not warranting a refund on either product. Back-end product is presented to borrowers as an option for their loan protection and is never a requirement. 

• Initial Complaint

  05/11/2022

  Complaint Type:

  Billing Issues

  Status:

  Answered

  More info

  In 2017 I Refinance a car I paid consistently on that loan until September 2021 due to unemployment. I caught up on my payments and then I had a car accident. My insurance company paid the lien holder $9,800. My loan was due to end February 2023 at this time the finance company neighbors credit Union said I owed them $16,000 and they see the entire 9,800 and said I still owed them it's as if I never paid one dime since 2017. I was told that the increase came because the Lien company had to purchase car insurance for my vehicle over the last 5 years but I had my own insurance through **** and ***** no one ever contacted me to the contrary. They want all money and interest. Between the insurance companies and the finance company someone dropped the ball by not notifying me but I'm left holding the ball with no money or car

  

  Business response

  09/21/2022

   

  *** **** submitted proof of insurance 05/02/2022 and requested we seek a refund for premiums that were added to her loan balance. The request has been completed and a full refund for all premiums were issued 05/11/2022. *** ****’s loan has been paid in full and additional proceeds from the refund has been placed in her savings account for her access. I attempted to reach *** **** by telephone 06/08/2022 and was unsuccessful. I emailed *** **** 06/08/2022 and informed her loan has been paid in full and funds are available to her in her savings account. Thank you **** *****

*Some consumers may elect to not publish the details of their complaints, some complaints may not meet BBB's standards for publication, or BBB may display a portion of complaints when a high volume is received for a particular business. ↩