07-27-2009 04:58 PM
I'm sorry, but PenFed has gone too far!
Last month I initiated an ACH online payment from PenFed website to pay my credit card. They put a full 10 day hold on funds (even though it cleared in 48 hours). There was no exception to this rule for "new members under 6 months" as a risk policy.
Okay, annoying but I will "push" the money next time. This time I wire transfered CASH to my PenFed checking account. PenFed took 3 business days to credit it.
3 days later I transferred CASH (from the wire) from my PenFed checking account to my VISA CC. They have now put a 10 day hold on funds. I called in and asked what this was for because I paid with clear funds from my PenFed account. They told me "we hold funds for 10 days, and up to 15 days, on all new members under 6 months regardless of the source of payment as a part of risk management."
WTF! I have never, in all my earthly days heard of the need to put a hold on cash due to some risk! I posted previously that PenFed was one of my regrets. I then eased up and said, okay I won't call it regret, I'll call it annoyed.
Well, now it's regret. This is ridiculous, not risk managment. If I pay cash, how can they have risk. It's gone from my deposit account, but not credited and I have no use or access to it.
I'm on hold right now waiting for the CSR to see if there is any way to get a one time waiver of this hold due to the fact that funds were drawn on PenFed and were derived from a wire....but she said "I can't promise anything though!"
07-27-2009 05:03 PM
That is frustrating! I'm depositing $50 a day until I can get my card and start using it, then will pay the card from a PenFed account.
I hope it works out and you're finally happy with them. I'm using them to BT.
07-27-2009 05:08 PM
Finally got off the phone with the CSR and she was able to get the hold "lifted" but told me this is a general "new member policy" that all VISA payments, regardless of source get a hold.
I went so far as to ask: "If I walked into a branch and paid with cash, not check, I would still incur such a hold?" And she said, "yes, that is correct."
Wow, somebody said PenFed was ultra-conservative. I don't think that adequately describes PenFed.
Anyway, this is now my Gas Card $200-300 per month use at most, PIF. I realize it's their card, so their rules, but I just can't wrap my head around putting a 10 to 15 day hold on cash payments from a direct wire transfer which they had in their possession for nearly a week before I made use of the funds to make the payment.
07-27-2009 05:11 PM
07-27-2009 05:47 PM
That's just crazy! I pay from a non-PenFed source, and it's credited that day.
So they have no issues with payments from outside sources, but they put the stink-eye on their own??
Like I said, I use them for credit, not for banking. sheesh
How long have you been a member? The issue is not source, they said "any source" for "new members under 6 months." The point is not how much or where it comes from or how they got it, just that I'm a new member and thus unworthy even of cash till I become a beautiful butterfly in 6 to 12 months
And I am using them for credit too....but they make it impossible to pay them in a manner that is satisfactory that the funds are released or available in less than 10 days. 10 days is 1/3 of every month!
Okay, rant over, thanks for listening. Just don't like people doing that to MY MONEY! Oops, guess I still had a little rant left in that last breath.
07-27-2009 05:56 PM
07-27-2009 05:58 PM
Okay, my PenFed is zero balance and I know what I am going to do with PenFed to avoid the annoyances of the first 6 months and still capitalize on the benefits of PenFed.
I am in the middle of home improvement. Going to put the expenses on my BoA or NFCU card then BT to PenFed at the 2.99%.
The cash I was going to pay these expenses with I am depositing into my Addison Avenue CU Dividend Reward Checking which pays 3.41%. Then I am going to collect 3.41% while I pay 2.99% and wait until I am 6 to 12 months, then decide what, if anything, I want to do from that point.
07-27-2009 05:59 PM