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PenFed approval/closure horror story

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Anonymous
Not applicable

PenFed approval/closure horror story

Hello, I'd like to first thank you all for the awesome advice you give in this forum.  You have helped me out so much!!

 

Now, on to PenFed. 

 

I joined Pen Fed a year and a half ago based on the reviews I'd read in this forum.  I joined by making a donation to a military charity.  I didn't use the account too much because there aren't any local branches near me, but I did make ach deposits every two weeks. At the beginning of May, I applied for and was approved for a Power Cash card with a sl of $23,500!  A few days later, the card came in the mail and I activated.  I put it away so that I could use it for travel.  Here's what happened next:

 

On Friday, 5/26 (beginning of Labor Day weekend), I logged into my account and saw that my card was not listed under my accounts.  I called and s/w a rep who stated that my account had been randomly reviewed and closed.  He didn't say why, but stated that I'd need to send a notarized copy of my driver's license, utility bill, and pay check stub.  I explained that I'm self-employed and he stated that my 2016 tax return would be sufficient.  

 

The day after the holiday, I emailed the notarized docs to them (I know it's a bit much, but I was willing for the 23k!!).

 

I called on Saturday to check the status, but was told to call back later that day because it was still being reviewed.  Called Saturday evening, was told to call Sunday.  

 

Called Sunday, was told to call Monday.

 

Called Monday, was told to call Tuesday.  I told the rep that I'd already called a few times and nothing had been done.  He stated that he emailed the person handling my file and requested that she call me with an update.  I explained to him that I was going out of town on Friday and wanted to use the card.  He stated that he'd call me on Friday if nothing was done by then.  

 

Friday came and went with no call.

 

When I got back in town on Monday, I called and explained everything to the rep who answered the call.  He called the loan officer who informed him that decision would be made by end of the business day tomorrow (Tuesday), so he suggested I call back then.  

 

I called Tuesday, nothing, the rep said call 1st thing in the morning.  

 

I called Wednesday morning bright and early, the rep who answered called the loan officer, explained everything and requested a return call. He stated that the rep was going to call me that day.  

 

I never heard from anyone, so I sent a message to member service.

 

 I did not get a reply, so on Saturday, I forwarded the email to James Schneck.  

 

The very next day, Sunday, I received a call from Jennifer who started the conversation by saying she'd visited my website, asked me questions about my dependents, about my clientele, and finally requested my 2015 tax return.  I asked if they'd have to be notarized, she said to just send over and if need be, she'd let me know.   I emailed them on Sunday.

 

On Wednesday morning, I called Jennifer's direct line and left a message requesting an update. 

 

On Friday, after no response from Jennifer, I reached out to Mr. Schneck again via email for assistance.  I explained to him what had happened and that I was not pleased with the delays.  I informed him that I'd sent over all of the documents they'd requested, but nothing had been done.  I also informed him of how Navy put my request on hold as they awaited my tax return and granted request immediately after receipt.  This was his reply, 4 minutes after my email was sent,  "I think our decision has been made and I wish you well with your financial relationships elsewhere.  James."

 

I could not (and still cannot) believe that a CEO would be so callus with a member.  I immediately closed my PenFed accounts, as did my husband, my son, my mother, my sisters, and my cousin. 

 

BTW, I was never informed why my account was closed nor informed of their decision. 

 

Oh well, I guess I'll just have to stick with Navy!!!

 

  

 

 

 

 

 

 

 

 

 

 

39 REPLIES 39
Anonymous
Not applicable

Re: PenFed approval/closure horror story

That's awful
Message 2 of 40
Anonymous
Not applicable

Re: PenFed approval/closure horror story

 

 


Lannie wrote:

Hello, I'd like to first thank you all for the awesome advice you give in this forum.  You have helped me out so much!!

 

Now, on to PenFed. 

 

I joined Pen Fed a year and a half ago based on the reviews I'd read in this forum.  I joined by making a donation to a military charity.  I didn't use the account too much because there aren't any local branches near me, but I did make ach deposits every two weeks. At the beginning of May, I applied for and was approved for a Power Cash card with a sl of $23,500!  A few days later, the card came in the mail and I activated.  I put it away so that I could use it for travel.  Here's what happened next:

 

On Friday, 5/26 (beginning of Labor Day weekend), I logged into my account and saw that my card was not listed under my accounts.  I called and s/w a rep who stated that my account had been randomly reviewed and closed.  He didn't say why, but stated that I'd need to send a notarized copy of my driver's license, utility bill, and pay check stub.  I explained that I'm self-employed and he stated that my 2016 tax return would be sufficient.  

 

The day after the holiday, I emailed the notarized docs to them (I know it's a bit much, but I was willing for the 23k!!).

 

I called on Saturday to check the status, but was told to call back later that day because it was still being reviewed.  Called Saturday evening, was told to call Sunday.  

 

Called Sunday, was told to call Monday.

 

Called Monday, was told to call Tuesday.  I told the rep that I'd already called a few times and nothing had been done.  He stated that he emailed the person handling my file and requested that she call me with an update.  I explained to him that I was going out of town on Friday and wanted to use the card.  He stated that he'd call me on Friday if nothing was done by then.  

 

Friday came and went with no call.

 

When I got back in town on Monday, I called and explained everything to the rep who answered the call.  He called the loan officer who informed him that decision would be made by end of the business day tomorrow (Tuesday), so he suggested I call back then.  

 

I called Tuesday, nothing, the rep said call 1st thing in the morning.  

 

I called Wednesday morning bright and early, the rep who answered called the loan officer, explained everything and requested a return call. He stated that the rep was going to call me that day.  

 

I never heard from anyone, so I sent a message to member service.

 

 I did not get a reply, so on Saturday, I forwarded the email to James Schneck.  

 

The very next day, Sunday, I received a call from Jennifer who started the conversation by saying she'd visited my website, asked me questions about my dependents, about my clientele, and finally requested my 2015 tax return.  I asked if they'd have to be notarized, she said to just send over and if need be, she'd let me know.   I emailed them on Sunday.

 

On Wednesday morning, I called Jennifer's direct line and left a message requesting an update. 

 

On Friday, after no response from Jennifer, I reached out to Mr. Schneck again via email for assistance.  I explained to him what had happened and that I was not pleased with the delays.  I informed him that I'd sent over all of the documents they'd requested, but nothing had been done.  I also informed him of how Navy put my request on hold as they awaited my tax return and granted request immediately after receipt.  This was his reply, 4 minutes after my email was sent,  "I think our decision has been made and I wish you well with your financial relationships elsewhere.  James."

 

I could not (and still cannot) believe that a CEO would be so callus with a member.  I immediately closed my PenFed accounts, as did my husband, my son, my mother, my sisters, and my cousin. 

 

BTW, I was never informed why my account was closed nor informed of their decision. 

 

Oh well, I guess I'll just have to stick with Navy!!!

 

  

 

 


 

 

Sorry to hear about the outcome of your recent experience with PenFed.

 

As this is your first post, there is specific information missing that we use as a basis for further evaluation.

 

 

What are your FICO 8 scores?  What is your current total overall Utilization?  Are any of your revolving charges > 30%

 

What specifics do we know about your self-employed business?

 

 . . . . * she'd visited my website, asked me questions about my dependents, about my clientele

 

 

As a personal disclosure, I have have EXCEPTIONAL experience with Pen Fed in the past year.

 

Thanks in advance!

.

 

 

Message 3 of 40
Anonymous
Not applicable

Re: PenFed approval/closure horror story

That is terrible.  They are required by law to provide you a reason in writing so you have a basis for a complaint to the Consumer Financial Protection Buereau, I would file a complaint if for no other reason than to make them review the case and provide a written response.  I have never heard of something like this from Penfed but it is clear they are particular (far more than NFCU) about who they give unsecured credit to because I cannot get them to approve me and pretty much everyone else is willing to give me a decent card with decent rates.

Message 4 of 40
Anonymous
Not applicable

Re: PenFed approval/closure horror story

sorry for the closure, definitely is strange. Is there anything that crosses your mind at all that might have spooked them? There just has to be reason....

Message 5 of 40
Anonymous
Not applicable

Re: PenFed approval/closure horror story

@Anonymous

 

Welcome to MyFICO

 

I moved your thread from approvals to the credit card forum as your post deals more with the closure.  Sorry to hear that this happened to you.

Message 6 of 40
Anonymous
Not applicable

Re: PenFed approval/closure horror story

Very sorry to hear that. While Penfed can be particular, they're usually very good to existing customers and great on phone/in-person reconsiderations from initial computer denials. In addition to your current FICO 8's (particularly Equifax) and your overall and specific card utilizations, we also need to know what your most recent/current Equifax NextGen 2 score is; this is a variant of the EQ FICO score that's used exclusively by Penfed and can differ, sometimes strikingly, from the usual FICO 8. If you've received the denial letter yet make sure to let us know what the specific reason(s) were for you being turned down. Also it would be helpful to review your credit reports again, if you haven't already and see if there are any "baddies" there that didn't jump out at you at first look. By "baddies" (the usual informal term of art here) I mean late/delinquent payments, charge-offs, and even past bankruptcies.

Message 7 of 40
AverageJoesCredit
Legendary Contributor

Re: PenFed approval/closure horror story

Sorry to hear this Op, that was one big runaround. Is there anything you are leaving out here as i have a feeling this thread will get big but with only speculation. For a Ceo to just flippantly be like sorry nothing i can do, something surely spooked them. Again sorry for your troubles.
Message 8 of 40
Anonymous
Not applicable

Re: PenFed approval/closure horror story


@AverageJoesCredit wrote:
Sorry to hear this Op, that was one big runaround. Is there anything you are leaving out here as i have a feeling this thread will get big but with only speculation. For a Ceo to just flippantly be like sorry nothing i can do, something surely spooked them. Again sorry for your troubles.

What AJC said. Lenders never do this sort of thing without a reason, and that's why we need more information and need you to look at your credit reports. There has to have been something there that made Penfed decide, on further review, that they didn't want to take the risk - and it's always a risk - on issuing you a card after all after they'd already generated it for you.

Message 9 of 40
longtimelurker
Epic Contributor

Re: PenFed approval/closure horror story


@Anonymous wrote:

 

 


 

 

 

Sorry to hear about the outcome of your recent experience with PenFed.

 

As this is your first post, there is specific information missing that we use as a basis for further evaluation.

 

 

What are your FICO 8 scores?  What is your current total overall Utilization?  Are any of your revolving charges > 30%

 

What specifics do we know about your self-employed business?

 

 . . . . * she'd visited my website, asked me questions about my dependents, about my clientele

 

 

As a personal disclosure, I have have EXCEPTIONAL experience with Pen Fed in the past year.

 

Thanks in advance!

.

 

 


While a lot of people want this sort of data (so they can pretend to be underwriters!) that's not really the point of the OP's post.  She wasn't really asking "Why do you think they closed it?" more complaining about a bad and broken process.

Message 10 of 40
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