January 2019, my wife received two 1099-Cs from USAA for cancellation of debt on some account. The problem was she had never had a USAA account. I called to find out what it was for, and then she took over. The first day she called she was on the phone for 4 hours, spoke to 9 different people, the last of whom hung up on her. She was (justifiably) livid because nothing was accomplished. Believe it or not, these phone calls continued all year long. Each time my wife would call, she'd have to provide copies of her driver's license and go through everything multiple times, then would get transferred to someone else, and go through it all over again. She wasted hours and hours on the phone last year, and the stress and frustration she endured during these calls was unbelievable, all to no avail.


My wife finally discovered that she had been a victim of fraud (ID theft) by someone who opened an account with her name and social security number, which is why when my wife gave my name (as her husband) and our children's names, she was told that the information was not correct. Again, so incredibly frustrating to be told you don't know your own family. She finally ended up speaking to an agent named Liesl, who took pity on her and could not believe how much time and energy she'd invested in trying to simply get the corrected 1099-Cs sent. After a few phone calls with Liesl, my wife seemed to think it was finally going to come to an end as Liesl had promised to work with her until it was resolved, and said that the corrected 1099-Cs were on their way. If my wife didn't receive them by September 11th, she was to call Leisl to let her know.


My wife was busy with travel and called Liesl in November to let her know the paperwork STILL had not arrived. Nothing arrived in December, either, so my wife called at the end of the month leaving a message on Liesl's voicemail saying she'd been more than patient as it was almost a year that she'd been calling. She heard nothing, so she left another voicemail last week. Crickets.


This sort of treatment is beyond ridiculous. Leisl had supposedly even spoken to her supervisor numerous times, however, nothing has been resolved. I would like my wife to charge USAA for her time that she has wasted attempting to obtain her corrected 1099-Cs which would add up to thousands of dollars at this point.


Not only was she a victim of fraud by the person who opened the account using her information, but has also been victimized by USAA because they allowed this account to be opened in the first place (with incorrect information) AND each time she called, she was treated as though she was the person who committed the identity theft. My wife has had to put a freeze on her social security number with all three credit bureaus because of this.


At this point, it seems that we have no alternative than to report this to the IRS as USAA has been willfully withholding two corrected 1099-Cs for over a year. NEVER, have we had such horrible customer service, especially from a company that supposedly prides itself on award-winning support and legendary service! What a farce: members beware!


@AudioBob, I regret to hear of the difficulty you have had in resolving your concerns this past year. This is certainly not the experience we want our members to have when contacting USAA. I understand your frustration and the urgency in having this taken care of. I am forwarding your concerns to a subject matter expert for further review. 

The same humma-humma comments that we see on member statements.  No offense intended for you personally, but only time will tell if USAA management starts actually providing customer (member) service.   This memo above is all too common here.  Wake up, USAA!!   

Hope they actually correct this in a professional manner.  No one should go through this...especially when the potential exists for long term financial and personal damage.   I recall having to prove to USAA that I wasn't in Australia (never been there), and didn't make an in-store purchase of a power tool at a local, individually-owned hardware store.  Later, I had to prove the reason my credit score dropped because of not paying my truck payments had slight flaws: I didn't own a truck (never had a truck prior to missing its payments); I didn't have a truck loan; I didn't live in the city about 100 miles from where I lived; and my name wasn't the name on the truck loan.  The name on the title and loan wan't even close!!!  So I pray you and your wife get this resolved quickly and without the potential damages it can cause.

I totally agree with what has happened to USAA.  They used to be for the member and now they are just like any other car insurance company.  As members, lets vote out the current board and bring back those who meet our needs.  It is OUR company.  As for me, I am not concerned with being the biggest, I am concerned about being the best.  I have noticed over the past few years, it is not about the members, but about trying to grow by adding just anybody to OUR military families.  I have been a proud member for at least 50 years, but the last few years I have seen changes that and heard of member leaving because of the service.  Two incidents in the past year really upset me.  One, I was with my daughter, a USAA member, stopped at a gas station pump when another vehicle sped through along side of us and hit the half open passenger side door.  The gas station had it on camera and my daughter reported this to USAA when she filed her claim.  USAA made no attempt to get the tape, settled with the other company so that each person would pay their own repairs, then made my daughter pay the $500 deductible.  I understand it was probably cheaper to settle this way for the company, but in the old days, USAA would have waived the deductible.  In this case, they obviously were not looking out for their member.  It obviously was not my daugher's fault the other driver hit her stopped vehicle.  The other case, and this is second-hand, my grand daughter, a USAA csutomer for 2-3 years, whose father is retired AF, and a USAA member for over 25 years, could not get a credit card from the USAA bank.  Again, where is the family, member friendly service???  Should not the bank be trying its members to establish credit with, say a $500 limit credit card?  For those who have USAA home insurance, I suggest checking out Armed Forces Insurance.  They have stayed military only, don't blow millions on advertising, treat you like family and have rates that are far less than USAA.  I have had two small claims with them over the years and the service was excellent.  On one they just took me at my word about the damage.  This is how USAA used to be.


John E Mansuy

One suggestion - google USAA and Better Business Bureau - if you file a complaint they must respond and it goes on the record.  Although you have already had conversations with them, USAA may be a bit more responsive if they know that their response to you on this is being monitored by the BBB.  Hopefully you have dates, times and names of agents that you have spoken with already at USAA and the fact that you have been promised corrected 1099-Cs.  Also file a police report - your identity was stolen and it seems that perhaps USAA may help you out a bit more if there was a police report.


   If you file a police report, report the income on line 21 of your taxes and then subtract the income on line 21.  Include an explanation that the income belongs to someone else's SSN and there is a police report to substantiate your claim.  

  Important thing - document, document, document  


P.S.  You mentioned that your wife put a freeze on her SSN through the credit bureaus - did your wife also pull her credit reports to see what else this person may have done?  Also you can report this account through the credit bureau as being fraudulent and they also must investigate (they will come back and say that USAA says it is a valid account, but keep pushing back at the bureaus because they must report accurate information-it is a frustrating process)


Good luck