I purchased a vehicle with USAA for my brother, who did not have any established credit and he really needed a vehicle (I know that was my first mistake). However, I purchased the car and he set up automatic drafts coming out his account. He paid without any issues for nearly two years and later became a USAA member and opened a checking account. We set up his new account for automatic drafts.  Two months past and my brother calls me to tell me that USAA put holds on the money (as if it is paid) and after 7days reject the payment. He later tells me there is late fee added to the account.


I called USAA and they tell me that he can not paid from his account because his name is not on the account. Then the represenative gave me options to pay it without me pay out of my account. I've tried 7 different options, four of them resulted in us paying from my brother's account on the day the payment is due and the money cleared after ten working days which resulted in late fees.


The last time I talked to a representative was the 23rd time I personnally have called them with no answer to my problem.


The first suggestion would be don't make major purchases for or with family. But USAA does not have systems to allow consumers flexibility to pay in a timely manner if you need a third party to pay your bill. One cannot pay their bill with a debit card online, you have to call. And it takes longer to process (4 business days).


I've tried placing his account on loan, refinancing, calling representatives Im in the same situation.


I've purchased my last five automobiles with USAA without ever a problem.


I take it that the loan is in your name and not your brothers.


If that is the case, then you should be paying on the loan, not him.  The easiest way is just set up automatic drafts from your account and have your brother pay you.  Better yet, have him get his own loan and pay you off.

Dear Cpt Smith EA,

I am disheartened to hear about the difficulty you are having with our bank. If you could please email us here at with the details you provided above and your member number, we will have the right member service representative reach out who can make sure you and your brother can work out an effective payment schedule.


Thank you for taking the time ot post here in the community.

I have called reps over 20 times. Tuesday my brother was told he can not pay on my account. I will pay on the account and collect the money from him which a huge hassle. And I will never use usaa for another major purchase.
Since your brother has a USAA acct why doesn't he just transfer the money into your USAA acct and then you make the payment? Also I use my debit card from a local credit union to make payments on my USAA account, not sure why you stated you aren't able to do that.
Cpt Smith EA
06-18-2015 02:14 PM
I'm glad you have had great experiences with them. I've been a member since 1998. Their insurance is hands down the best. I have auto, life, homeowners and purchased my houses through usaa. I'm not someone that is just complaining to bash usaa but the auto loan departments has some serious problems. From the time the first mistake was made, my attempts to fix the issues caused more problems. Of course the obvious this is get my brother to pay me and I pay on the account. The representatives gave me all these other options that resulted in more problems.

For instance, usaa has acount recovery department that call to collect past due payments. My brother on two occasions paid this group on the 15th of the month. Both times the payments did not clear until the 28th. The result is a late payment. Of course I asked my brother to provide proof that he paid and both time he was given confirmation numbers. The bigger issue is the regular account personnel from the loan department is not communicating with the recovery department and cannot see the payment has posted. I can even see it on the website where I manage all my other usaa accounts

Thanks for responding with additional information.  I'm sorry, I don't have any loans with USAA, my only experience is with auto/HO insurance, savings/checking/cc accounts, so my answer was really based on that.  I've only had one semi-bad incident and when I hung up and called back, I got someone on the line who was much more knowledgeable and was able to assist me; so I just passed that up to a one person issue, not the company policy. 


Didn't think there would be such a vast difference between departments.  It does seem rather strange that it would take almost 2 weeks to clear a payment - that would irritate/aggravate me too!  I truly hope someone from USAA is looking at this and will be able to assist you in getting the situation rectified.  It sounds as if their computer system between loan and recovery needs to be aligned.  Good luck!

There must be a bit more to this.  File this with the BBB, I'd be interested in seeing USAA's response.