USAA continuing to limit access post-discharge

[zingabot]

Hello everyone, it's been a while since I've been here since it was quiet while hanging out in the 60-day club. We are now discharged and the case is closed. Woot!

USAA, however, apparently will continue to limit my online access to my accounts for the next seven years, according to a conversation I had with one of their account reps. As she put it, that is one of "consequences" of filing for bankruptcy. She said they do that because their site isn't able to weed us out from their "regular" customers and we could therefore open other accounts with them which they don't want us to do since we're a bad credit risk. I can, however, do all of that stuff over the phone.

I don't get it. I don't get how USAA is protecting themselves by limiting my online access, and I have to admit it feels discriminatory. The rep really wasn't able to provide a concrete answer that satisfied me as to why they find this necessary.

Anyone else have this happen?

[Pinkrose]

I could never understand, how can one be a credit risk? Hell what more can you do after Chapter 7. You can't file bk for several years and getting more credit is probably limited. I don't get it. I wish I could answer your question, but I like to know the answer myself.

[Logan]

zingabot, you'll like this. I was discharged 2.5 years ago and cancelled/lost all USAA accounts except my very small Roth IRA ($300).
I was recently married and at the beginning of the year I heard USAA was now accepting people who bk'd them to use USAA for auto insurance. I called and recieved a quote for my wife and I. The quote was twice as high as my current insurance.

Forward to about a month ago and my wife recieves a credit card offer in the mail. I get her to sign up and we'll get cash back and a very good credit card. She was approved for 25K and signed me up as an authorized user so I now have a 25K credit card.

I also talked her into opening a USAA checking account and when we went to sign me up as a joint account holder there website would not let us check the box next to my name. I called USAA and they said that I cannot have a checking account for 7 years after discharge.

So now I have a USAA credit card, a ROTH IRA that they send statements on every quarter but I'm not allowed to have a checking account. I added my wife to my checking account at another bank so we can now transfer money in and out of USAA from my checking and use USAA for our billpay.

Bottom line---they give me a credit card with a 25K limit but won't allow me to open a checking account.

Logan

[angles]

why stay with USAA if they treat you so poorly?

[SeattleBK]

Navy Federal Credit Union is the same way

I BK'd close to $25,000 with them which included 20k in credit card debt and 5k in other loans.

In my case, I really can't blame them. I'm just glad to be done with the debt and Navy Federal Credit Union at least to that extent.

They closed my checking account, and I no longer have online service either.

However, they won't allow me to close my savings account because I still have student loans from them, and I have to keep a $50.00 balance in it or they will charge fees. I'll sure that's not legal, but I'm not worried about it since it is only $50.00.

I opened two other checking accounts at two separate credit unions that are just as good or better than Navy Federal Credit Union right before I BK'd so it's not really an inconvenience for me that I don't have online access or a checking account at Navy Federal Credit Union. Also, Navy Federal Credit Union is further away from my house anyway.

[RuthCB]

Will they close access to members who BK, but not on anything from them?
I have my home and auto insurance with them, but have no credit or checking accounts with them.

[debtsucks]

Will they close access to members who BK, but not on anything from them?
I have my home and auto insurance with them, but have no credit or checking accounts with them.

I sure hope not. I have them too for both of my autos.

[Logan]

why stay with USAA if they treat you so poorly?

I was never treated poorly, their policy is not to due business with someone who BK'd them until 7 years after discharge.

Can you blame them?