Credit Union Cuts Rates RETROACTIVELY To Beginning Of Month

Firefighter's Community Credit Union recently cut the rates on their rewards checking account from 4% to 3%.  As of Friday, 9/24, the rate on the website still showed 4%.  On Tuesday 9/28, the rate was 3% on the rates page (and still had 4% in the text on the checking account page).

When checking my interest today, they only gave 3% for the entire month.  Are they allowed to do that?  They say they are.  Who can I complain to?  What is to stop them from cutting the rate to 0% at the end of one month and making it retroactive?



 

Update:  I'm being told that the Board of Directors met last week and decided to change the rate.  The people that I've talked to so far don't seem to think that doing it retroactively is wrong.  I'm waiting for a call back from the CEO of the credit union to discuss the matter before I escalate to filing a complaint (thank you Ken for the link!).  I'm going to ask where in the disclosure it states that rate changes may be made retroactively (the people that I have talked to so far just keep saying that rates may change at any time, but didn't understand that I don't have a problem with that part of it).

As soon as I fund my PenFed 5% CD in January, this will likely be the first rewards checking account to be cancelled.

(Ken, yes I am aware that it is not NCUA insured.  I am ok with the risk I am taking on that matter, but thank you for pointing it out just in case.)

Yes, I will post the final resolution here.  Thank you to everybody for your comments so far!

Sorry, not sure why it duplicated itself.