Navy Federal Credit Union — Backdated overdraft fees cause more overdraft fees
Navy federal has gone from a "member-first" philosophy to a "cover-our-###" paradigm in the past few years.
My problems started when they changed their policy on their sharedraft visa card. It used to be that the account would be debited from the account when the transaction posted. Now they backdate it to the time the card was swiped. Why? To collect more fees, of course. Even if you swipe the card, put gas in the car, get home and transfer the $5 difference 5 minutes later... When that transaction posts you'll get the $25 fee. Wait, it gets better. That $25 fee will be backdated, so if you went to, say, starbucks, the supermarket, and drive-through and used your card... You'll get another $25 fee for each transaction when they shoehorn the backdated fee in. Even if your account never went below $0. Why? Well, that is how ceo cutler dawson makes his money. How much money does he make? You won't know as a member and part-owner of the credit union because they fear that kind of transparency. But i digress...
Know what is interesting? Many places don't let you use it as a debit card, only credit. It was explained to me that this was a choice made by the card issuer and not the merchants' systems. Now, why would they restrict that usage? Well, it's hard to rack up overdraft fees if folks are using their pin number and the money is coming directly out at that time. Do you think nfcu would deliberately set up a system that would make them more money?
I've read many of the complaints about navy fed on this board and have seen the responses from alleged employees of nfcu. Maybe they are the same people who revel in schadenfreude at the folks on here who lost their jobs and can't pay their bills. Maybe they were involved in the lawsuit nfcu lost when they continued to harass a former member:
Maybe they are the ones who look at my account on their computer screen and talk to each other in tagalog so i don't know what they are saying. Maybe it's the supervisor who, after only refunding half of their ill-gotten fees, offered to "take the money back out if i don't like it".
Maybe, just maybe they don't realize that the unprofessional behavior they exhibit here and the vitriol they spew is being presented to the world. This undoubtedly will make their corporate overlords unhappy, but they don't realize that they are only small cogs in a giant money-making racket that chews up the little guy. So i can't really blame them for what they don't know.
Final words of advise, take it or leave it: avoid navy federal. Find a small local credit union that will treat you well, kind of like how nfcu used to be.