09-05-2012 07:08 AM
Logged into account this morning and had a NEW MESSAGE. Anyone else receive this message, wondering if it's standard for all members or account specific ...
To emphasize the security interest in your Navy Federal Credit Union Credit Card Agreement and Disclosure, the following language is being added to Section 5:
Security Interest Specific for Credit Cards. I/We acknowledge and pledge, specifically as a condition of my/our use of the credit card, that I/we have voluntarily granted NFCU a security interest in all of my/our individual and joint share accounts at NFCU. If my/our credit card loan becomes delinquent, this security interest may be used without further notice to pay all or part of such delinquency. This security interest does not apply to shares in an Individual Retirement Account (IRA).
09-05-2012 07:34 AM - edited 09-05-2012 07:40 AM
I got the same message too.
It basically means that if you have a savings account or a checking account with funds available in it, should your credit card or loan payments become deliquent they will use money from your available NFCU bank account balances to offset the deliquent payment amount without notifying you of their intent to do so. And indeed they do. I can attest to this because 9 years ago when I had a vehicle loan with them and it became late/delinquent (gosh I hate that word), the instance money was deposited into my checking account, they sucked it right out to take care of that past due amount.
I suppose this message was sent out to cardholders because the agreement did not specifically state they'd do this so to clear up any confusion they sent it out as a "blast fax/message" of sorts to all customers that have a credit account with them.
09-05-2012 07:38 AM
I received the same message last night and it had me worried that they would hold all my funds so I started looking up their credit card disclosures and that paragraph was also added to that (along with the info about signature visas being issued for limits of $5000 or more) so I felt better. At first I thought it was directed at me..lol and my unsecured was going to be turned into some secured card.
09-05-2012 11:44 AM
Just logged in and I have it too.
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