PSA: USAA completely locks accounts for 7 days after applying for a car loan
I'm in the middle of a PCS from Europe to the United States. There was also a death in the family. I needed to take some things unexpectedly from a western state to an Eastern State, and because I needed a car, I thought I would buy one and just drive it with all of the stuff to the next duty station. So I went through the USAA app and applied for a car loan because that's the easiest way to buy a car on short notice. I have enough cash as I had planned on this purchase.
After submitting the application, USAA immediately froze my online banking access, I cannot log in on the app or online, nor will any of the banking Specialists talk to me. I'm told that this is for fraud prevention. I submitted a copy of my driver's license and as requested within about 5 minutes of receiving the email saying that they needed to verify my identity. I am told by the security specialist at USAA that it will take about 7 days for my account to be unfrozen. Although they assure me that I have full access to my money, I actually cannot log in and see my accounts, move money, pay bills, get an insurance quote for a vehicle that I could purchase in any other manner such as a dealer loan, nor will any single person at USAA speak to me about my accounts or move money for me within my accounts over the phone. I am told this is all part of the policy on fraud prevention. I asked if this freeze was disclosed and I skipped moved it and the security specialist was not sure.
Imagine this - death in the family, international move, major purchases, changing car insurances, deposit on a house, none of this is currently possible because all I can use is my credit cards.
I've been a customer for all 23 years that I have been in the military and I will be leaving as soon as I have access to my accounts to move the money out.
I will also cancel the full range of my insurance products: home, renters, auto, valuables, and umbrella.
And I will be sure to encourage people to take their business elsewhere, just as I am doing here.