San Mateo Credit Union SMCO, S.M.C.U Abusing direct deposit and influencing debits to collect fees South San Francisco CA

There are times I really hate having to do one of these reports, especially when an institutuion like this has been pretty helpful in the past, but after recent changes, and way staff is handling things, this really needs to be brought to everyones attention.

Back in JUNE of 2019, SMCU had what was called a technology update. This is where issues started happening, and being lied to makes it worse for them. The bank gave notice of the upgrade, and how online banking would be down, but offices would be open. This was supposed to be 3 days, and when it took place, online notices were changed from 3 days to 5 in hopes no one would notice.

When I went to the bank to get a bank check, not only was the brance closed, they had notices on the door saying they were closed as well. Changing the dates and closing the brances did not fool anyone, as there were close to 100 angry customers that day, it made it look like their was a run on the bank. People were arguing with one another half saying the credit union gave notice, half saying the notices on the door were not dated or worded the same as what was posted prior to the bank closing for the upgrade.

I take screenshots, and showed the ones willing to look, at what was origionally posted. I actually waited to get my bank check two days after they opened their doors again, because lines basically went out the door when they reopened. Felt like waiting on line for concert tickets back in the 90s.

Their updates did a LOT more than what they admited to online. And to be honest, they have not given a hard time yet, in regards to returning unjust bank fees, but how long they own up to this, is anyones guess. What their updates have done, is similar to what big banks no longer practice due to fines and lawsuits, but despite showing them this, they feel their in their legal right to do, and only way to show them this is unacceptable, is to bank elswhere, and hope the change doesnt cause other issues.

The first thing I noticed was purchases during the weekend, they show up instantly which makes it easier to transfer funds from another account when you plan to make a larger purchase. After taking screenshots before the purchase and transfer, took a screenshot after the transfer, and then again after the purchase. What was not suprising at the time, was each trasnfer and purchase was dated for Mondays date.

Come Monday, I was completely shocked. When Monday rolled around, I went to check my account around 6pm, and found the account - $113. At first I assumed maybe I forgot something I didnt transfer funds for, but upon looking at my account, discovered what actually happened. From the time I looked at online banking, till the time and date I looked again, the figures were manipulated to show deposits coming after debits.

Despite what they showed over the weekend, by Monday night each thing was manipulated like the big banks used to do, to generate bank fees. They tried the speach of items got posted when they came in next day, which is when I showed the bank/credit union the weekends screenshots, compated to Mondays, and that the screenshot clearly shows the real time and date the transfer was done, so trying to make it look otherwise, is just plain wrong. I got ever penny in fees back, without the normal as a courtesy one time statement they tend to throw at you.

If the above isn't enough to open your eyes on this credit unions practices, the next was the final straw. Since the update, I have not once gotten my direct deposit pay check on time. Not only does their system manipulate debits and transfers, it even goes as far as to treat direct deposits simillar to the way banks once handled checks. Im still waiting for the first month of Junes paycheck that was transmitted June 20th, and discovered why I don't have it in my account yet.

When employeers transmit your direct deposit, they deposit by date is now treated as when they feel they HAVE to deposit it, not when they should. Since June 22nd, SMCU has been using my paycheck funds to do whatever they want with, and recorded phone calls clearly show they can do this as its legal, and that if I wanted my direct deposit earlier, I should talk with my employeer, and have the deposit by date changed. Second paycheck for end of June is also being held, and should have also been desposite by July 3rd, or 5th after July 4th, but again they used the holiday, to hold my direct deposit paycheck an additional week which they claim is the 8th of July.

SMCU prior to the upgrade, was once a very good credit union, and had been helpful, but even with the fee fixes that shouldnt have happened in the first place, and now having to worry when am I actually going to get paid, I need to leave them, which if enough people say enough, will hopefully open their eyes that these practices are not acceptable, and will hurt them in the long run.

Just leaving them is not going to fix this problem overnight. If you like me have had the same issues, and just learning by reading this what is going on, you need to let your employer know, and your unions if you belong to one. Unions do help, the good ones at least, and they have the power to put more pressure on not just SMCU, but also other credit unions who picked up these practices lately.

Sorry for the typos, Ill fix them up later, need to format system as spell check locks up.