Complaints

• Initial Complaint

  28/10/2024

  Complaint Type:

  Billing Issues

  Status:

  Answered

  More info

  On April 1, 2024 Servus credit union Morinville branch gave me a print out for pay out penalty of my mortgage of $4800. I sold my house in sept and when having to pay out mortgage they charged be $12500 penalty. I contacted branch manager for explanation and I was given 3 different (wrong) reasons why and still do not have an explanation. The first 2 staff told me on oct 21 that my payout penalty should be 4800 based on their calculations. Then branch manager said it was 4800 per year of remaining mortgage (4 years) nothing added up. If staff cant provide answers and are telling me it should be 4800 and I have a printed payout penalty saying its 4800, then they shouldnt be charging me triple what I was told. To make matters worse my mortgage was paid off in full on Oct 18 and then on Oct 25 they still took out a 1000 payment for my mortgage that has a zero balance. **************** is horrible and I want my $8000 over payment in penalties and $1000 mortgage payment returned immediately or I will be going to papers, news channels and social media.

  Business response

  06/11/2024

  On Mar 28/24, we requested a mortgage payout calculation and emailed it to the member. The penalty was quoted as $4,781 and the form indicated the calculation was valid until Apr 27/24 as penalties are calculated based on rates which are subject to change. On Oct 17/24, we received a mortgage payout request from the member's lawyer with a payout date of Oct 18/24. The new penalty was $12,275. Given the increase and the member's frustration, the Advisor escalated the matter to their Branch Manager (BM). The ** investigated further by ensuring the accuracy of the quote with our internal lending team. The reason for the increase is that the prevailing rate had dropped in the time since the first calculation was done. The penalty went from 3-months interest to the Interest Rate Differential method, which is outlined and acknowledged by the member in their mortgage agreement. The payment that came out after the mortgage was closed was in-flight and unable to be stopped.The funds have been returned in full. We understand the member's frustration over these issues, however, Servus has taken numerous actions to ensure that no error was made and has been in active correspondence with the member. We acted according to the member's instructions (as delivered by their lawyer), and did so in a short timeline that did not allow for further conversation to occur such as exploring other mortgage options. This matter has been further escalated to the District Manager. He has been in regular contact with the member to hear out her concerns and work towards a potential resolution. We have offered the member $1,000 as a goodwill gesture for her frustration and will be issuing a final position letter which the member can use to escalate her concern to the Ombudsman for **************** and Investments (OBSI) if she wishes to do so. The member is considering her options and will proceed accordingly. As such, we are considering this matter closed unless a complaint is lodged with OBSI.

• Initial Complaint

  26/07/2024

  Complaint Type:

  Billing Issues

  Status:

  Resolved

  More info

  I took a loan from Servus credit union in 2017, and I defaulted with some amount of the loan , the last payment date was Nov 13, 2018 . servus credit union is reporting to the credit reporting agencies the last payment date as April ******, which is wrong ,I contacted Sevus credit union to corrected it and they refused because they say they are reporting to write of date as the last payment date(April ******) which is wrong and violates the fair credit reporting act. Also they sent the file to a collection agency called priority credit and reporting a different last payment date of April 1 *****. I Think Servus Credit Union is doing that to harm my credit, they need to correct there dates with the reporting agencies and get there collection agency to correct there dates according to the law, because the last payment date and write off dates are 2 different things.

  Business response

  07/08/2024

  Mr. ********* has also contacted Servus directly regarding this matter and we have engaged the appropriate staff/teams to investigate and respond. A manager from our Special Loans team has sent a final position letter to Mr. ********* by email and physical mail on August 6, 2024.

  The letter states the following:
  
  This letter is in response to your recent emails to ***************************************** and ************************* which outline your concern that there is an incorrect date being reported on your credit bureau.
  
  Servus has been working with you since your overdraft was opened in 2017. On numerous occasions, we have attempted to contact you to resolve the matter of your delinquent account but did not receive responses. As this matter progressed to legal action, Servus continued to contact you to arrange payment plans.
  
  In 2019, you advised us that you did not have funds to continue the payment plan as agreed upon and would pay when you could.We emailed you back and attempted to work with you to negotiate a smaller payment amount and advised that if payments were not received, the arrangement would cease. Receiving no response, we requested a write-off of the loan in March 2019. The account was closed and written off on April 3, 2019, which is the date you are stating is reporting to Equifax in error.
  
  Upon receiving your recent emails, we responded requesting copies of the documents/information you have in your possession to further assist and hopefully resolve this issue for you. You have not responded to that request, nor our inquiries about if you would be settling the debt.
  
  We reached out to ******* on July 30, 2024, for further clarification of their process around reporting dates. This was a generic conversation with the Equifax representative and no details of your personal situation or file were discussed. The Equifax representative informed us that two dates may and can report the last payment date and the write-off date. We were further advised that if a member were to initiate a dispute with Equifax and provide the required information, that Equifax would reach out to the Financial Institution to advise and request information. In this situation, to our knowledge, ******* has not contacted Servus.
  
  We have detailed records of our correspondences and any payments received and/or missed and are confident that we have adequately tried to support you through this process. As of July 31, 2024, we have received $2,000 in payments from you and the balance owing is $784.87.
  
  Servus is not responsible for the date entered into record with Equifax as it is system generated. This debt will continue to reflect on your bureau until satisfied in full. Should you have further concerns about a conflict in reporting dates, we urge you to lodge a dispute with Equifax.
  
  This letter represents Servus's final position as we have exhausted all efforts to resolve this matter with you. As per Servus' s complaint handling procedures, available at: Addressing your concerns - Servus Credit Union, you have the right to escalate your concern to the Ombudsman for **************** and Investments(OBSI) at www.obsi.ca or **************. OBSI is a dispute resolution service independent of Servus Credit Union, which members can contact as a non-legal and free avenue to resolve concerns.

  Customer response

  08/08/2024

   
  Complaint: 22045852
  
  I am rejecting this response because:

  credit reporting agency record dates of payments as they receive them from the financial institutions that what I have been told by Equifax , write off date and  first delinquency date (last payment date)  are 2 different things , I need to correct the dates with Equifax  ,if Servus  Credit Union  provides me with a letter indicating the date of first delinquency , which is the date  when the account first became delinquent and after that  was never again current( last payment date) which was on Nov 13, 2018,and the write off date which is April 3 ***** ,then I will forward it to Equifax to correct the issue. 
  
  Sincerely,
  
  Majed Al-hbaidi

  Business response

  12/08/2024

  Per your recent rejection of our response to this complaint, we agree to provide you with a letter outlining the pertinent dates related to your delinquent loan with Servus Credit Union. These details are provided here within.
  
  The date the loan first became delinquent and was transferred to our ************************ for ongoing management was June 7, 2017. We arranged a payment plan with you for $250 per month and the last payment we received from you was applied on November 15, 2018. When the payment arrangement ceased in 2019 due to non-payment, we wrote the account off on April 3, 2019.
  
  We trust that this information will satisfy your request and resolve your concern with Servus. Servus is not responsible for the date entered into record with Equifax as it is system generated. This debt will continue to reflect on your bureau until satisfied in full. Should you have further concerns about a conflict in reporting dates, we urge you to lodge a dispute with Equifax and you have indicated that you intend to do so upon receiving this information.
  
  We have detailed records of our correspondence and any payments received and/or missed. We are confident that we have adequately tried to support you through this process. As of August 12, 2024, we have received $2,000 in payments from you and the balance owing is $784.87.
  
  This letter represents Servus's final position as we have exhausted all efforts to resolve this matter with you. As per Servus' s complaint handling procedures, available at: Addressing your concerns,you have the right to escalate your concern to the Ombudsman for **************** and Investments(OBSI) at www.obsi.ca or **************. OBSI is a dispute resolution service independent of Servus Credit Union, which members can contact as a non-legal and free avenue to resolve concerns.

  We will also be emailing you a copy of this response and sending a physical letter to your address.

  Thank you.
  

  Customer response

  19/08/2024

   
  Better Business Bureau:
  
  I have reviewed the response made by the business in reference to complaint ID ********, and find that this resolution is satisfactory to me.
  
  Sincerely,
  
  Majed Al-hbaidi

• Initial Complaint

  04/12/2023

  Complaint Type:

  Service or Repair Issues

  Status:

  Resolved

  More info

  I have been trying to get some help me with an RESP since November 23, 2023. I can't get anyone to phone me back. I either get voice mail or "I will get someone to phone you shortly" from receptionist.

  Business response

  05/12/2023

  Thank you for bringing this concern to our attention. We apologize for any inconvenience experienced as a result of not being contacted back in a timely manner.

  Upon receiving notification of this concern, it was escalated his home branch for action. A financial advisor from our Southside Banking Centre reached out to Mr. ***** to discuss his RESP. She advises that she was able to answer his questions and she invited him to come into the branch for a meeting to review his entire portfolio. Mr. ***** indicated that he will come in some time in the new year. We believe this matter is closed as the member indicated he did not have any further concerns at this time.

  Thank you again and take care.

  Customer response

  05/12/2023

  
  ****** ******** *******
  
  I have reviewed the response made by the business in reference to complaint ID 20957187, and find that this resolution is satisfactory to me.
  
  Sincerely,
  
  ***** *****

• Initial Complaint

  20/06/2023

  Complaint Type:

  Billing Issues

  Status:

  Answered

  More info

  Good morning I wish to make a formal complaints against Servus Credit Union. I was in the process of purchasing a home in Beaumont Alberta. ******** was representing me as my solicitor. On June 6, 2023 I was contacted by ******** the ****** ******* of the ***** ****** **. She indicated that I had to go to "that" branch to show my ID for the mortgage. I advised I work out of town 337km from the branch and would not be back until Friday at about 18:00. She made an appointment for me Saturday at 11:30 to which I attended. The mortgage was to be funded June 09, 2023, Servus CU Mortgage Department refused to fund the mortgage until I went into "That" branch and showed my ID. No previous importance was in any way was demonstrated indicating that showing my ID at only "that" branch would stop the funding of my mortgage. ******** lead me to believe that it was a formality that could be completed on the Saturday. June 09 I spent the whole day trying to resolve what appeared to be a power struggle between the Servus CU Mortgage Department and ******** attempting to fund my mortgage. On March 29, 2023 I applied to open accounts to service my up and coming mortgage with Servus, I provided copies of my ID then ********** ****** ******* Apparently Servus Mortgage Department does not recognize Servus Credit Union. As such how has Servus Credit Union safeguarded my personal information? Perhaps a FOIP complaint is also in order?

  Business response

  29/06/2023

  Mr. ******* (the member) has been contacted via email by **** ***** (******** *******) and by phone by ***** ******** (****** *******) to continue to work towards resolution of the matters raised in his ****** ******** ****** (***) complaint.
  
  The member's mortgage was initiated with our Mortgage Development Centre (MDC) team and the member was asked to attend a branch to sign documents and have his identification (ID) verified, which is in line with our standard practices. There was a red flag on member's credit bureau, and our Fraud department recommended that member attend a Servus branch in person to verify identity to prevent any potential mortgage fraud. MDC supported this request, and the branch was asked to contact the member to have him attend in person – preferably prior to mortgage signing. The member was contacted by ***** ********, ****** *******, and advised that he could attend any location. The member chose to attend on June 10th in Leduc, knowing that his mortgage funding date was June 9th. He preferred to attend branch only once. Then, our Member Service Advisor followed up with him to book an appointment for June 10th and reminded him to bring his ID and $1.00 for Common Share purchase.
  
  Servus has taken the following actions to address Mr. *******'s concerns:
  - An apology has been provided over lack of clarity around which branch the member could attend to sign his documentation/provide ID.
  - The $17,400 that was advanced from the member's line of credit was returned, and the balance was brought back to zero.
  - The funding of the term mortgage has been backdated and we have reversed $378 in additional interest that was charged due to late funding.
  - We currently have a PAD agreement on file which will cover the payments for principal and interest. The member has requested that property tax installments also be collected, however we cannot amend the amount on the agreement without his signature. To include the member's taxes with his mortgage payment, we will require a new PAD agreement be signed. We have sent a new PAD agreement via DocuSign on June 28th so that the member would not need to attend a branch again. However, it has not yet been signed/returned by the member.
  
  Mr. ******* has also requested compensation for his time spent dealing with this matter. We have not provided this as there is an expectation of member time involved in the mortgage process. When the member first raised his concerns to branch staff, the issue was escalated to our internal teams to resolve. Our mortgage department worked with Mr. *******'s lawyer to understand what had happened and put corrective measures in place. Although this did take some additional time, we had started the resolution process prior to the member going to ***, social media, etc. and we were committed to making things right even before the member's decision to further escalate the matter.

  Customer response

  30/06/2023

  
  Complaint: 20210527
  
  I am rejecting this response because: I is an expectation that a customer expend a very small amount of time to finalize a mortgage.  However I have spent in excess of 26 hours attempting to correct their bumbling and unprofessional closing of my mortgage.  I went to Servus with the best of intentions and have been treated in the worst possible way.  I feel like I am now locked into a contract with the a provider I have no trust with.

  They say there is a "Red" flag on my credit bureau, I have no knowledge of this and they have not provided any documentation proving this.

  They say they are acting in my best interest, yet funded my mortgage using a line of credit at approximately 9% rather than the cash I provided.  Is that in my best interest?  I needed to fight to have them correct that bumbling.

  They made me drive 337km each way to go to that particular branch to show ID and solicit other products, could this not been done at a closer branch?  Is that in my best interest?

  They failed to have me sign all required documents while in the branch and now require additional signatures.  Is that in my best interest?

  Every single aspect in the funding of my mortgage has been one act of incompetence after another.  Is that in my best Interest?

  Other Credit Unions (**** ****) are offering cash back 2500.00 (Bank of Montreal 4500.00) for new normal mortgages without tortuous treatment of their clients and making as arduous as possible.  Is that in my best interest?

  If I had treated Servus and expended their time in the manner in which they expended mine, what compensation would they charge?  Look at their service charge fee list.  I expect fair compensation for my time and resources expended correcting their incompetence that exceeded what a normal client would expect from an honorable financial institution.

  Sincerely,
  
  ******* *******

  Business response

  05/07/2023

  When an individual enters into an agreement or contract for a mortgage, there is an expectation that there will be time spent discussing the mortgage, providing information, signing documentation, etc.
  
  Mr. ******* was aware that the mortgage funding date was June 9th, and he was offered an appointment on June 9th. He declined as he was unable to attend the branch until the 10th. The interest assessed due to late funding has been reimbursed by way of the mortgage being backdated to June 9th.
  
  Mr. ******* was also made aware of the reason why we were seeking to verify his identify, in-person. The member was asked if he had experienced any concerns with fraudulent activity on his ******* in the past, to which he replied that he had a credit card stolen 15-20 years ago and charges were made on it.
  
  The member was told he could attend a closer branch to save time.
  
  The funds available on the Flex-line (line of credit) were sent to the lawyer, as per the lawyer's instructions. The branch did not erroneously advance these funds. When we heard from the member that this was not actually in line with his wishes, our Retail Lending Support (RLS) team spent additional time communicating with the lawyer and arranging to have the funds returned and interest refunded. We are not charging Mr. ******* for the additional administrative work in this case.
  
  The member escalated his concerns to us in the form of messages on our social media platform on June 20th; however, we were not provided with sufficient time to investigate or respond before he further escalated the matter to the ****** ******** ****** (also on June 20th). This additional escalation was at the member's own discretion to utilize his time in this manner. We are confident we would have arrived at the same solution if given appropriate time to investigate with RLS and action the concerns.
  
  As such, we stand by our decision to not provide compensation for Mr. *******'s time. We have provided our final position on this matter. The member is welcome to escalate to the Ombudsman for further review and ruling if required.

  Customer response

  06/07/2023

  
  Complaint: 20210527
  
  I am rejecting this response because:  Servus was in a position of power, they called in advance of the closing.  There was no mention of delays, fees, costs when scheduling the additional signing.  As a matter of fact the Manager was advised that I work out of town Monday to Friday.  At 15:00 I was advised that they could see me at 16:30.  I was 350km from the Leduc branch.  To meet their generous? offer, I wound need to drive approximately 200km per hour to get there on time.  This offer coincides with the other listed unrealistic, moronic service I received. (Thanks for Nothing and making this a nightmare).

  Apparently Servus has Z E R O accountability for their inept actions and the extraordinary inconveniences they have caused.  Servus values client time as worthless (in may case now over 26 hours).

  I most definitely wish to escalate this to the limit of the law and have Servus charged/fined to the maximum of the law. 

  Due to their "Bulling" (as they were in a position of power), perhaps this may be also escalated Canada Rights and Freedoms with a formal complaint.

  I COMPLETELY AND FULLY REGRET ANY AND ALL DEALINGS I HAVE SO HORIBLY ENTER INTO WITH SERVUS. 

  I AM TRULY IN BED WITH THE ANTI CHRIST!

  Sincerely,
  
  ******* *******

• Initial Complaint

  14/07/2022

  Complaint Type:

  Product Issues

  Status:

  Resolved

  More info

  I am an Albertan in the UK until Sept 27th 2022, and myServus ********** (and employees) have repeatedly failed me since April 2022 - creating a landslide of problems for me. Reaching them is near impossible, even on my dime since auto system hangs up on you. I have been given countless theories as to why my card won't work - all of which have been nonsense. It is now mid-July, I am still trying to get this resolved - every time I use my card it gets blocked. I am a single woman travelling, it is beyond frustrating and I can end up in dangerous situation because of inapt bank. It is serious, and after what must be approaching twenty plus times of contact via phone, emails, I even phoned a friend who works security in the building to try and get through to Servus Credit Union! The stress, money and time they cost me - with no resolution is astounding. Please note, to even make contact with you, I have had to input the address of a friend in Alberta who is like a mother to me. To reach me in the UK direct dial *** ** **** ****** I have alot of supporting documents - even though they only reflect a fraction of my efforts

  Business response

  25/07/2022

  Hello,

  Apologies for the delayed response. I was away on holidays and my colleague providing coverage was not able to access our *** account.

  I will share the client's complaint with their home branch and ask a manager to reach out to the client to discuss the matter further. Once I have been provided with an update and/or resolution, I will provide *** with this info.

  Thank you,

  *******

  Customer response

  26/07/2022

  
  

  ***** **** ***** ******** ***** **** *** **** **** ** *** **** *** ****************** ******** *** *** **** * *** ******* **** *** ******* ******** ******** ******* ******* *** ******* ********* *********

   

  Thank you for your help! I do not think this would have been resolved without your file. I think my ********** is working now BUT will have to see in the coming days. They did finally contact me (a person with more authority I believe), so I now have some recourse if not working properly.

   Many thanks!!

   ********** ********

• Initial Complaint

  27/04/2022

  Complaint Type:

  Service or Repair Issues

  Status:

  Answered

  More info

  I am on Canadian pension plan disability MY ONLY INCOME I GET! And the home branch (WESTGATE BRANCH) decided to hold back the deposit without notifying me through email and there "reason" was because they said they didn't have my current address and phone number and that's why they held the deposit but they had no issue with the deposit last month so why this month? And why no email making me aware of this? I will never deal with servus credit union again in my life. And the lady that called from the branch was extremely rude and talked with an attitude didn't appreciate it at all and will never refer anyone to servus credit union again!

  Business response

  28/04/2022

  Thank you for your email.

  From our records, the branch had made a variety of attempted contacts via email, phone, and letter to discuss an overdraft on the account.  Unfortunately they never heard back and froze the account as the issue at hand was not being resolved. 

  Thanks.

   

*Some consumers may elect to not publish the details of their complaints, some complaints may not meet BBB's standards for publication, or BBB may display a portion of complaints when a high volume is received for a particular business. ↩