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'A minefield of its own making': New investigation of USAA reveals 'fundamental breakdown' with repeat compliance issues as profits vanish


Published on 2024-12-11 22:01:13 - AOL
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  • Overall, it appears USAA did not make sufficient investments in safeguards as it grew to keep in good graces with their longstanding customers and with regulators. It has also been struggling to turn a profit in recent years, reporting a pretax loss of $398 million in 2023.

The article from AOL Finance discusses an investigation into USAA, a major financial institution primarily serving military members and their families, focusing on its handling of customer complaints and potential mismanagement. The investigation reveals that USAA has been criticized for its aggressive sales tactics, high-pressure sales environments, and issues with customer service, particularly in how it deals with complaints about unauthorized account openings, insurance claims, and banking services. Customers have reported difficulties in resolving disputes, with some feeling that USAA prioritizes profits over customer welfare. The piece highlights specific cases where customers felt misled or mistreated, and it points out regulatory scrutiny from bodies like the Consumer Financial Protection Bureau (CFPB) due to these practices. The article also touches on USAA's response to these allegations, where the company defends its practices but acknowledges room for improvement in customer service and communication.

Read the Full AOL Article at:
[ https://www.aol.com/finance/minefield-own-making-investigation-usaa-113200084.html ]