ComplaintsforPenFed Credit Union

• Initial Complaint

  08/09/2023

  Complaint Type:

  Service or Repair Issues

  Status:

  Resolved

  More info

  I contacted PenFed customer service on 7/16/23 as I no longer could access my online account. I was told my account was locked due to potential fraud concerns and that I needed to call back the next day. I called again multiple times on 7/17/23, as either the phone system or the CSR I was working with hung up on me. I finally got through to someone helpful named *****. She informed me that I would need to submit personal documents containing sensitive information to prove my identity to PenFed's security team. I declined and explained that I wanted to cancel my membership and close both my credit cards anyways, so I shouldn't have to submit any personal information. She spoke with her supervisor, and told me I wouldn't have to do that, and that she would cancel my membership and close my credit card accounts. Fast forward a few weeks later, and I can see nothing has been closed. I reach out to customer service again via chat on 8/5/23. I'm informed nothing has been closed and that I need to send in the personal documents to prove my identity. I explain the situation, and that I spoke with ***** prior to this. He says I will get a reply within 48 hours. And naturally, I received nothing. I'm done calling and wasting my time. I'm not sure why this is so difficult or why any scammer would attempt to have credit card accounts closed. It just sounds like maybe we're being a little unreasonable and stubborn, as nothing about this is logical. I am not providing any proof of identity, you are not getting anything from me. I am not handing over sensitive information for a company I don't want to even have a relationship with anymore. Cancel the membership and the two credit cards I have with you. Please ensure to notate to credit bureaus the credit cards were closed by request from account owner.

  Business response

  08/29/2023

  Dear member, 
  
  We received your Better Business Bureau complaint on August?25,?2023. We appreciate the opportunity to address your concerns. 
  
  Security is one of our top priorities. We take seriously our responsibility to protect our members accounts and information, as well as our financial institution as a whole. 
  
  We regret our identity verification requirements led you to request to close your accounts and membership. I apologize for our delay in completing your membership closure request until August 19, 2023.  
  
  We hope this information is helpful.  
  
  Sincerely, 
  Vice President, Enterprise Fraud Operations 
  

  Customer response

  08/31/2023

  [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 is satisfactory to me. 
  
  Regards,
  
  *************************
  

• Initial Complaint

  07/12/2023

  Complaint Type:

  Billing Issues

  Status:

  Resolved

  More info

  I am unable to remove my old ****** external account that is setup in the PenFed online bank account. Any time I try to remove it, it will error out. I can't add a new external account either...... so I can't pay bills.

  Business response

  07/27/2023

  We received your Better Business Bureau complaint on July 16, 2023. We appreciate the opportunity to address your concerns.
  
  I am grateful for the trust you have placed in PenFed to meet your financial needs. For security purposes, an external account cannot be deleted through PenFed Online. Instead, members must call PenFed so a representative can delete the account. I apologize for any inconvenience this caused you.
  
  Thank you for speaking with us on July 25, 2023. We deleted your external account per your request.
  
  I hope this information is helpful and our actions have resolved your concerns. Thank you for being a PenFed member.
  
  Sincerely,
  
  Senior Vice President, Operations Support 

  Customer response

  07/30/2023

  [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 is satisfactory to me. 
  
  Regards,
  
  ***************************
  

• Initial Complaint

  07/05/2023

  Complaint Type:

  Billing Issues

  Status:

  Answered

  More info

  On 6/30/23, I initiated a Bank to Bank transfer from my ** **** checking account to my PenFed credit union checking account. The funds left my ** account on 7/3/23 and were displayed as a balance in my PenFed checking account (but not available) the same day. On 7/5/23 Pen Fed started rejecting automatic ACH debits from my PenFed accounts for unavailable funds at $10 each. I immediately called and was told the funds would not be available until 7/7/23 but if I provided proof that the funds cleared my ** account they would release the funds. I printed and forwarded my online activity from my ** account but Pen Fed would not accept it. IT'S A SCAM!!!!!! They're holding my money and charging me fees. On the same day I made several other external transfers that were immediately credited to my account. If I uploaded mobile check deposits, the funds would be available. WHAT'S THE DIFFERENCE! SCAM!!!!!!!

  Business response

  07/24/2023

  Dear member,
  
  We received your Better Business Bureau complaint on July 14, 2023. We appreciate the opportunity to address your concerns regarding your recent ACH transactions.
  
  ACH deposits initiated through PenFed Online are made available by the 5th business day following the date of transfer.This is disclosed in your transaction confirmation and also mentioned in our Membership Disclosures that are available on our website at ************************************************************************************.
  
  The two deposits you initiated on June 30, 2023 were available on July 7, 2023, as per our policy. Our hold policy is to protect our members and PenFed from potential losses and may vary for external transfers, direct deposits and mobile deposits based on the inherent risk of these transactions. Unfortunately, we were unable to accept the transaction history you provided as evidence the funds had cleared your other financial institution. 
  
  As a courtesy, on July 14, 2023, we waived the two associated fees that posted on July 3rd and July 5th.
  
  I hope this information is helpful for planning future ACH deposits. Thank you for being a valued PenFed member.
  
  Sincerely,
  
  Senior Vice President, Consumer Products
  

• Initial Complaint

  06/29/2023

  Complaint Type:

  Service or Repair Issues

  Status:

  Answered

  More info

  On June 29, 2023, I attempted to perform an domestic external third party wire transfer for $850. The first person I spoke was ******** and she didnt perform any of the required 2-part identity verification to perform my wire transfer. I was very precise and explicitly explained that this was a new wire transfer, but ******** ignored my instructions. I also explained to ******** that I perform this type of wire transfer monthly, but again I was ignored. ******** said that she also did not need the routing number or account number for the wire because she had that information already. ******** disregarded every account detail that I tried to give her. When I asked for the reference number, she gave me an old(already used) reference number which was from June 1st. The reference number she gave me was ***-***-***-***-***, which is wrong since it was already used in my previous wire transfer request. ******** lied to me stating that my wire transfer went through successfully. I would like PenFed to investigate to see why ******** cannot do her job correctly. Perhaps she needs some additional PenFed training. I would also like a supervisor to call me to explain what I need to do to have a successful domestic third-party wire transfer in the future. This is the second time that something like this has occurred. On March 30, 2023, I had this same type of wire transfer that was “stuck” and never went through because another PenFed employee did not perform a 2-step identity verification on me. I also wanted to inform PenFed that I will be withdrawing my $20,000 from all of my checking and savings accounts because I will be banking with someone else in the future.

  Business response

  07/25/2023

  We received your Better Business Bureau complaint on July 10, 2023. We appreciate the opportunity to address your concerns.
  
  We regret we fell short of meeting your service expectations and would like the opportunity to discuss your concerns about your recent wire transfer request in greater detail. We understand a Member Concern & Escalation Analyst has been attempting to reach you. They have left call back instructions in a voicemail and look forward to speaking with you to discuss your concern. We encourage you to return their call.
  
  Thank you for being a member of the PenFed community. We value every opportunity to assist you with your financial needs should you allow us future opportunities.
  
  Sincerely,
  
  Manager,Executive Correspondence
  

• Initial Complaint

  06/17/2023

  Complaint Type:

  Product Issues

  Status:

  Resolved

  More info

  I applied for a credit card with PenFed CU. I received the card in the mail but could not activate it. I then received a form asking me to fund a share account -- I filled out the form and sent it back with a check. I repeatedly attempted to create an online account and to activate the card. I was never successful. I sent ~6 documents to the credit union at their request, including copies of my retired military ID, driver's license, bank account statements, social security statements, and utility bills. They still would not allow me to activate the card and/or set up an online account. I then asked for the account to be closed and to have my money returned to me. The email I received in reply asked me to upload 2 more documents, one of which included my military ID or Driver's License (which as noted was already uploaded) and a notarized statement from the Social Security Administration (they already have non-notarized SSA forms). I am only seeking $5.00 back -- realize that it's not a lot of money but it's my money and this whole process has really been quite excessive.

  Business response

  07/06/2023

  We received your Better Business Bureau complaint on June 30, 2023. We appreciate the opportunity to address your concerns.
  
  We are committed to providing superior service to our members in every interaction. I regret the service you received was not reflective of this commitment. On June 30, 2023, we closed your accounts and membership. We sent you a check for the $5 balance by ***** to your address on file.
  
  We are sorry you decided to end your relationship with PenFed. We hope you will find a reason to return to us in the future.
  
  Sincerely,
  Senior Vice President, Operations Support

  Customer response

  07/10/2023

  [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 is satisfactory to me. 
  
  Regards,
  
  ***************************
  

• Initial Complaint

  06/13/2023

  Complaint Type:

  Billing Issues

  Status:

  Answered

  More info

  Applied for auto loan on 1/26/22 with a $200 voucher incentive program if you signed on before 1/31/23. First payment due 4/1/23. I called before April asking about the voucher so it could be applied to my payment. Was told that the funds would be transferred and to be patient. It could take some time. I made the first payment late because I was waiting for these funds. Second payment due 5/1/23 and still no $200 voucher. I was told, again, that the funds were being transferred and to be patient. I waited and eventually paid the May payment without the voucher to avoid being 30 days late. I was told twice to be patient and the funds were being transferred. I called on 5.31.23 to inquire on the funds and was told that I was now ineligible for the $200 promotion because the promotion required that 2 payments be made by 5/1/23. I was encouraged to be patient in April and May which in turn made me ineligible. At no point was this stipulation conveyed to me. I would like this $200 transferred to my Pen Fed account so I can apply it to my loan as I was informed when I signed up. This seems deceitful and intentionally frustrating in order to sway customers into dropping the issue.

  Business response

  06/29/2023

  We received your Better Business Bureau complaint on June 26, 2023. We appreciate the opportunity to address your concerns.
  
  Thank you for choosing PenFed for your auto lending needs. I apologize that we did not clarify earlier that to qualify for the $200 cash bonus, your loan needed to fund by January 31st, 2023. Because your loan did not fund until after that date, we did not initially provide you with the $200 bonus.
  
  I appreciate you taking the time to speak with our Member Concern and Escalation Analyst on June 13th, and explaining that our Member Service team had provided you with incorrect information, we credited your PenFed share account with $200.
  
  We strive to take perfect care of our members but when we fall short, we appreciate the opportunity to make it right.
  
  Sincerely,
  Senior Vice President, Operations

• Initial Complaint

  05/15/2023

  Complaint Type:

  Billing Issues

  Status:

  Answered

  More info

  I find this account to be incorporated with inaccurate information, I strongly believe this to be misleading and misrepresentation of my credit history. Please investigate and remove this PAID chargeoff from my credit report immediately.

  Business response

  06/19/2023

  We received your Better Business Bureau complaints on June 5, 2023. We appreciate the opportunity to address your concerns.
  
  Thank you being a member with PenFed since 2014. We appreciate the opportunity to address your concerns.
  
  Our records confirm we are reporting a PenFed credit card and two bill consolidation loans as charged-off accounts to the consumer credit agencies. After we had not received adequate payment, we charged off the bill consolidation loans on January 18, 2019, and subsequently sold them to Axiom for collection efforts.We charged off the credit card on March 27, 2019, and sold the account to *********************  
  
  PenFed does not change information that is reporting correctly. We believe the integrity of the information obtained through these agencies is reliant on all financial institutions reporting full and accurate information. As we are furnishing accurate information to the three major consumer credit reporting agencies, I am not able to remove the accounts.
  
  We trust this response provides clarity to your concern.
  
  Sincerely,
  
  Vice President, Collections

• Initial Complaint

  04/15/2023

  Complaint Type:

  Billing Issues

  Status:

  Answered

  More info

  I noticed I had late payments from PENTAGON FEDERAL CR UN 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

  05/24/2023

  We received your Better Business Bureau complaint on May 11, 2023. We appreciate the opportunity to address your concerns.
  
  We carefully reviewed your loan payment history and determined the information we are reporting to the credit reporting agencies is accurate. We understand your desire to improve your credit score; however, we do not change information that is reporting correctly. We believe the integrity of the information obtained through these agencies is reliant on all financial institutions reporting full and accurate information.
  
  If you have any additional questions regarding your accounts, please feel free to contact our member service team at ************.
  
  Sincerely,
  
  Senior Vice President, Consumer Products

• Initial Complaint

  04/10/2023

  Complaint Type:

  Billing Issues

  Status:

  Answered

  More info

  PenFed issued me a blank check voucher, which I was to use to withdraw funds from my credit card account in order to pay bills or make balance transfers. I withdrew money from my credit card and deposited into my personal checking account based on PenFed's offer. I then proceeded to pay bills using this money I deposited. Shortly afterwards, I came to find out that the voucher had been reversed by PenFed due to some marketing error on their end. Consequently, I had over drafted, and all payments I made with money I thought I had, was reversed. I was able to convince most of my debtors not to charge me late or reversal fees except for one business, ****** *******, who charged me $25. I have since closed my credit card account with PenFed due to their incompetence, but I want my money back for a reversed payment, for which I paid the price.

  Business response

  05/16/2023

  We received your Better Business Bureau complaint on May 2, 2023. We appreciate the opportunity to address your concerns.
  
  We sincerely apologize for any inconvenience caused by your balance transfer check being rejected. On May 10, 2023, we issued a $25.00 credit to your PenFed share account to reimburse the fee you were charged.
  
  We regret this experience left you with an unfavorable impression of our credit union and ask that you allow us the opportunity to restore your confidence in our ability to meet your financial needs.
  
  Sincerely,
  
  Senior Vice President, Operations Support

• Initial Complaint

  03/29/2023

  Complaint Type:

  Billing Issues

  Status:

  Answered

  More info

  On March 29, 2023 a representative of PenFed Credit contacted a friend of mine in reference to my account. The PenFed representative left a voice-mail that was ultimately forwarded to me.

  Business response

  04/17/2023

  We received your Better Business Bureau complaint on April 13, 2023. We appreciate the opportunity to address your concerns.
  
  We are sorry to hear we have the wrong contact information for you. Please call us at ************.One of our representatives would be happy to assist you with updating your phone number.
  
  Thank you for being a member of PenFed.
  
  Sincerely,
  
  Senior Vice President, Regional Service Center

*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. ↩