USAA Bank "Needs to Improve" Rating by the Office of the Comptroller of the Currency

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Prolific Contributor

Just saw a news report of USAA Federal Savings Bank's evaluation by the Office of the Comptroller of the Currency which uncovered 600 violations of the Community Reinvestment Act (546 of them of the Servicemembers Civil Relief Act and 54 of the Military Lending Act). This is not the first time USAA has run afoul of regulators. USAA members deserve a description of this issue that is free of financial doublespeak and clear to everyone, as well a roadmap of what corrective actions the Bank is taking.

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R_S - We are committed to serving every USAA member with excellence and in accordance with all applicable laws and regulations. The rating by the OCC does not reflect our ongoing commitment to lend to and invest in local low-and-moderate-income communities. Our mission calls us to help ensure the financial security of all our members. We have higher expectations of ourselves and are focused on restoring our CRA ratings to previous levels. - Jason

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I too am disappointed in USAA Bank over this news.  For years, I've been proud USAA member and always discussed the organization as the pinnacle of honesty, integrity, and service.  These findings by the Office of the Comptroller of the Currency say otherwise.  Why have USAA's standards sunk so low?  You've joined Wells Fargo at the bottom.  

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@Golf Daddy, Thank you for sharing your concerns. We are committed to serving every USAA member with excellence and in accordance with all applicable laws and regulations. The rating by the OCC does not reflect our ongoing commitment to lend to and invest in local low-and-moderate-income communities. Our mission calls us to help ensure the financial security of all our members. We have higher expectations of ourselves and are focused on restoring our CRA ratings to previous levels.- Tricia

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Your official statement, which has already been used twice in this thread and was provided in the news article as well, tells members nothing; absolutely nothing.

"The rating by the OCC does not reflect our ongoing commitment to lend to and invest in local low-and-moderate-income communities."

Actually, from all we can tell, the rating reflects a lack of commitment. If this is the best that members can expect in response, it's woefully inadequate.

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Excellent information, thanks for bringing it to our attention.  Sure am happy that I got out of the banking activities at USAA.  They are just my auto insurance company now.

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BrownieBug, Same here. I left that part three years ago. USAA Banking was a joy to work with back in the 80s-90s. Reliable and helpful. Then things changed. The words were the same but the actions and attitudes changed. It's easy to drop a few words on paper or a commercial, but do they really mean it? Unfortunately, I think USAA's leadership believes they can continue writing the words without putting the action behind it. These violations along with violations of the Consumer Financial Act of 2010, Electronic Fund Transfer Act highlighted by federal regulators, shouldn't sit well with the membership. What a shame.
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CWOAvn - We are committed to serving every USAA member with excellence and in accordance with all applicable laws and regulations. The rating by the OCC does not reflect our ongoing commitment to lend to and invest in local low-and-moderate-income communities. Our mission calls us to help ensure the financial security of all our members. We have higher expectations of ourselves and are focused on restoring our CRA ratings to previous levels. - Jason

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Oops, that's the same boilerplate response from USAA Social Service three times in this thread -- time to get out the thesaurus and craft another one.