ComplaintsforFarmers Insurance Federal Credit Union

• Initial Complaint

  07/08/2024

  Complaint Type:

  Billing Issues

  Status:

  Answered

  More info

  I am writing to formally lodge a complaint against Farmers Credit Union and Farmers Insurance Company for unfair trade practices that have severely impacted my business operations and financial stability. I purchased a book business for $500,000 with an annual revenue of $240,000. My monthly payments are approximately $5,500. However, Farmers has systematically harmed my agency in several ways:Software and Process Delays: Farmers acquired companies without adequately understanding their software and processes, causing significant service delays.Failed CRM and ERP Implementation: Farmers' implementation of a new CRM and ERP system has been disastrous, requiring extra staff to manage billing and document issues.Increased Rates: Farmers has significantly increased rates, making it difficult to attract and retain new clients.Reduced Commissions: Farmers reduced commissions by 30%, making it challenging to maintain staff. Although they claim commissions can be earned back, only a small percentage of agencies, mainly large ones, are able to do so.Lead Cost Participation: Farmers stopped participating in lead costs, further straining resources and hindering new business generation.Elimination of Skip Payment Option: Farmers Credit Union discontinued the skip payment option, which allowed us to skip a payment when revenue was low, coinciding with the commission reduction.These actions by Farmers Insurance Company and Farmers Credit Union have harmed my business and put undue stress on my financial well-being. I request the Better Business Bureau to investigate these matters and take appropriate action to ensure fair business practices.Thank you for your attention. I look forward to your prompt response.

  Business response

  07/19/2024

  Hello, the only aspect of the complaint that refers to Farmers Insurance Federal Credit Union (as opposed to Farmers Insurance) is regarding the skip a payment.  Please be advised we discontinued offering skip a payment due to a business decision effective on 4/8/2024.

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