I am a member since 1992 and recently started to have extended holds on my transfers and mobile deposits, so I contacted USAA numerous times requesting an explanation why my deposits and transfers have been on long holds for release and as USAA member service is clearly declining, I got no reasonable answer or explanation. I placed a complaint with the CFPB about my concern with USAA deposit policies and received a call from Jessica on behalf of the President's Office. It was clear to me that Jessica was only interested on responding back to CFPB, as business are required to do, but didn't offer any reasonable explanation on my specific situation, other than using a generic answer that deposits are under a systematic process and the computer determines what type of holds deposits are going to have, based on member's financial behavior. With that said, USAA doesn't take into consideration your years of relationship with the bank, and you can be punished if you had an oversight and forgot to make a transfer to cover a transaction with USAA. So, since we are living on days with a pandemic and USAA is treating members as if life would be normal, I am not going to keep my financial services with them, since I need to be able to trust my financial institution and need reliable services and cannot afford extended holds on small deposit amounts. I like to feel valued as a customer/member and be treated with respect and consideration, something USAA cannot offer on the bank side.

3 REPLIES

Hello @Member long term. I'm sorry to hear of this experience you had with us regarding your account. Per the USAA Depository Agreement, any deposits that are made into an account using Deposit@Home or Deposit@Mobile are subject to a hold. When using the Deposit@Mobile feature, there is a notice that advises you of a hold. We use holds to protect our members, it gives us time to confirm that the funds are collected. For future transactions, you can make deposits without a hold by using direct deposit, cash advances or wire transfers. These options allow us to confirm the funds are collected instantly. I understand the seriousness of the situation. I have located your information and will engage a specialist to review the details. Thank you for speaking up today. ~Sarah 

I have experienced this issue as well. And while it does notify you of the hold and hold time before you submit the transfer or deposit just as the USAA rep stated in their reply. But just because you say you’re going to place a hold that isn’t sufficient justification for the actual hold. <br>For example, I transferred an amount under $100 from an external bank account that has been linked to my USAA account for well over a year or more. USAA placed a 6 day hold on the transferred funds. That same day that exact amount was removed from my account at the external bank. Now even if there was some sort of lag, certainly 24-48 hours would be sufficient to clear anything up. <br>So the transfer was clearly completed and verified. No question, as to whether the amount transferred was valid and available because it was removed 2 days prior and placed in my USAA account. However, there are still 3 days left on my hold. I called customer service to try to get them to remove the hold and release the funds and they wouldn’t do it. Which is absolutely ridiculous and unacceptable. Not to mention, it totally contradicts their standard justification of hold , protecting their members from unauthorized or invalid transactions. <br>They should just be honest and say what it really is upfront...The extended hold times are not used to protect members but to punish them for earlier financial wrong-doings. Such as transferring funds from accounts that can’t cover the amount of the transfer immediately. <br>Because let’s be honest the whole financial industry is not interested in helping anyone unless there is profit involved. And that’s not what bothers me, that’s to be expected. What drives me crazy is how the systems used for banking and various other things have roughly the same processing times that they did prior to mobile banking and smartphones that are constantly connected and processing massive amounts of information simultaneously and at ridiculous speeds. When every other aspect of our lives has been radically changed by the technology explosion, our financial institutions still need 5-10 business days to process a transaction that was probably completed in less then a second. <br>I mean the most simple thing a computer can do is manipulate numbers. It receives input, processes the information and reveals a solution in less time than it takes to blink. But somehow us as a consumer can not access those results until several days later. It’s so ridiculously absurd but happens on such a large scale that we all just accept it as the way things are. <br>Everything from a tax return to a simple account transfer takes no less time than before digital access. While the rest of the world has benefited tremendously from the technological advances of the internet and mobile applications... the financial industry is still allowed to operate as if it were still receiving massive amounts of hand written deposit slips and tax return forms. It seems odd that the transition from a handwritten paper, person to person mailing system to electronic transactions that travel as fast as light doesn’t result in shorter processing times and faster funds availability Or am I just missing something causing me to be way off on my expectations
P.S.

Although I too get so angry and frustrated with some of USAA’s practices, the sad reality is that it’s not just them. I’m not sure about the credit unions, I think they might rob you a little less, but all banks are quick exploit any misstep of it customers in the form of fees and higher rates or whatever financial beat down they deem appropriate. It’s a very very flawed system on an epic scale. A system that USAA is actually one of the better institutions of. Even when it feels like they just violated you and left you for dead behind a dumpster.
Perhaps it’s the stark contrast between their most despicable and their most helpful practices that make the former feel like you just got sucker punched by Mike Tyson