DISCOVER BANK

2015-10-15

Bronx, NY

Shopping for a line of credit

Consumer Loan: Personal line of credit

Company Response: Closed with explanation

Disputed: No Timely Response

2015-10-14

MA

Can't repay my loan

Student loan: Non-federal student loan

Can't get flexible payment options
Complaint: To whom it may concern : I am writing this letter in an effort to bring to light how Discover handles struggling debt burdened borrowers buried in Student Loans with interest rates ranging from 7.5 - 9.9 %. As a XXXX, I am deeply concerned with Discovers inability or desire to offer help when consumers are struggling with repayments terms as a result of financial difficulty. I attended XXXX XXXX XXXX College/University XX/XX/XXXX-XX/XX/XXXX. During that time, my mom did what she could to put me through school, which included taking out private loans through Discover. While the terms of the loan were disclosed in the papers, granted she may not have understood 100 % ( Which is also a concern as the aid officers are sales people that need paying students for their success and sustainability, and how the terms are explained needs to be investigated at as well ) as she was doing everything she couldan to help me., that is not the issue. I certainly had no idea what I was getting into as the details were never explained to me. Coming out of college, I was fortunate enough to obtain a job as a XXXX, helping people every day with their finances, which makes this a little more ironic, as I see every day how Student Loan debt is crushing consumers. The payments requested by Discover once the loan came due were $ XXXX/month. Obviously, I quickly turned to them for helped and used forbearance on my loans for six ( 6 ) months. That time has come and gone with no internal solutions created by Discover to help me through a difficult situation. They at times seem judgmental as to my efforts to secure more income, ask me to turn to my mom the cosigner to make the payments, not knowing or caring what financial difficulties she might be having, and repeating the same options to me every month I call, ignoring any pleas that I have made for help or assistance to offer terms I could afford. My student loan counselor/XXXX and I have called Discover every month like clockwork to see if there 's anything that can be done. All they offer is forbearance, which I only have 12 months available for the life of the loan, of which 6 months have already been used, interest only plans ( still close to $ XXXX/month ), going to my co-signer who is overextended in her own right. They have the audacity to say they 're here to help, said they 're glad to see I received assistance on my federal loans, but turn around and do nothing to try and help. We 've offered a plan that fits my means multiple times only to hear " no, no, no '' from Discover. It is crystal clear that Discover has no desire, policy, procedure or aid to help borrowers that have limited income. Understanding how this industry works, it 's easy to see that as I continue to not makingbe unable to make payments ( {$4400.00} past due as I 'm writing this ) that it will go to charge-off, collections, lawyers, court, etc. If it reaches a garnishment stage, I am aware that a certain number can only be taken, which is the number we 're willing to work on and offer monthly now, but Discover has no desire to consider this offer, even though that is where this will go if they can not work within what I can afford.to no avail Please help!!! Respectfully, XXXX XXXX
Company Response: Closed with explanation

Disputed: Yes Timely Response

2015-10-14

Seattle, WA

Closing/Cancelling account

Credit card:

Complaint: Discover canceled my card for inactivity and they did so with a complete lack of adequate warning. Since I am a XXXX, I know that this will impact my credit score as this was my oldest open credit card and it will reduce the total credit availability to me so my utilization rate will now increase. I received an email on the day they closed my account ( XXXX/XXXX/15 ) saying that my account had been closed for inactivity. When I called customer service, they said the account had already been closed and could not be reopened without new application, which defeats the point. When I expressed my dismay that they did not provide any notice, they said two things that I can not accept : 1 ) " Well, we sent you a letter on XXXX/XXXX/15, '' XXXX it may have been XXXX ), and 2 ) " We are not required to provide any notice. '' First of all, sending me a letter 2 days before you take action is not " notice. '' I actually still have n't received this supposed letter, but even if it had the correct address or they really mailed it, I still would not have received it in time to use the card and prevent the closure. Second, the fact that they said they are not required to provide notice really irritated me. I have been a customer of theirs for 19 years and have almost an XXXX credit score. Just because they do n't HAVE to does n't mean it is n't good business to do it. So, I told them I 'd be complaining to the CFPB because maybe they SHOULD " have to '' as it negatively impacts people 's credit score when it happens. I think you should make a rule that they have to provide 30 days notice before closing a card for inactivity. It also sounded like they can define the length of inactivity that warrants closure as they see fit, so I think another component of the rule should be an industry standard for what length of inactivity has to be met before closure can happen. Because I work in financial empowerment, I know this probably happens to a lot of people who do n't understand how it will impact them. For example, I am JUST about to apply for a HELOC and this could impact my interest rate or even my ability to get approved. Could you imagine if I were in the process of buying a home and my lender had given the typical " do n't change anything with your credit '' instructions and then this happened before closing?! It could tank the whole deal for someone. I 'm making sure that someone who can do something about it hears about it. I hope you 'll make a rule so other consumers can avoid this.
Company Response: Closed with explanation

Disputed: No Timely Response

2015-10-14

IL

Advertising and marketing

Credit card:

Company Response: Closed with non-monetary relief

Disputed: No Timely Response

2015-10-14

Stevenson, MD

Account opening, closing, or management

Bank account or service: Checking account

Complaint: I have had a checking account with Discover Bank for over a year. During that time, I have had no issues with my account -- that is until recently. XX/XX/XXXX I went to XXXX for a few weeks. When I returned and starting going through voicemail messages, there was a message from Discover Bank 's Fraud Unit. Shortly after listening to the message, I contacted Discover Bank. I was transferred to another department after my initial contact with front line customer service. However, neither the front line CSR or the person to whom I was ultimately connected would tell me what department I was to speak to. Nevertheless, the representative informed me that my account was being closed due to being overdrawn by {$35000.00}. My first reaction was that they must have my account confused with another customer because I have never initiated {$350000.00} in transactions during a one month period. However, the representative confirmed it was my account, and he went on to tell me that in reality, my account was NOT currently overdrawn, but has a positive balance of {$2200.00}. He told me the {$35000.00} was the result of multiple online bill payments, but they were returned as NSF and my account had been closed. I told the representative that I never initiated these transactions, nor was I home at the time they were made. He told me he was going to check to see if the representative handling my account was available, but after waiting on hold for about XXXX minutes, I ended the call. I attempted to call back, but I was told that the department with whom I needed to speak was closed, and that their hours are XXXX-XXXX EST M-F. Oddly, when I spoke to the representative in the undisclosed department, it was outside those hours. In the meantime, I have tried to make contact with Discover to no avail. I am told that either the undisclosed department is closed, or I am placed on hold for excessive amounts of time, and I do not have the time to idly sit and wait to speak to someone. Since this fiasco began, I have had multiple LEGITIMATE ACH transactions submitted, only to be returned by Discover with a notation stating " ACCOUNT CLOSED/BLOCKED -- DO NOT RESUBMIT. '' Because of this, I have incurred multiple returned payment fees from creditors, and XXXX of my accounts have been reported to the credit bureaus as late even though I paid them on time and had sufficient funds in my account. This has caused my credit score to drop nearly XXXX points, and XXXX creditors have slashed my credit lines due to these late payments. I am attaching screen shots of my XXXX credit report to confirm this information. Discover clearly could care less about the fact that I neither authorized nor initiated the online payments that caused my account to overdraw by {$35000.00}, and that 's fine. Discover stated my account was closed, yet {$2200.00} sits in my account, and I am unable to access it to pay bills. I have suffered a financial loss both monetarily and by have a blemish on my credit report. At this point, I have no desire to maintain a relationship with Discover. I thought they had closed my account, but that turns out to be inaccurate because I have not been refunded for my account balance. However, regardless if my account has been closed by Discover, at this time I request Discover close my accounts and return all funds to me in an expeditious manner, preferably via express service. In addition, I am asking that Discover reimburse me for the incurred returned payment fees, which total {$140.00}. I also ask that Discover reach out to the creditor who is reporting the late payments and explain that this is through no fault of my own.
Company Response: Closed with monetary relief

Disputed: No Timely Response

2015-10-14

Anderson Township, OH

Credit determination

Credit card:

Company Response: Closed with explanation

Disputed: No Timely Response

2015-10-14

Cocoa, FL

Identity theft / Fraud / Embezzlement

Credit card:

Complaint: B DISCOVER FIN SVCS LACCOUNT NUMBER : XXXXXXXXXXXX XXXX XXXX, XXXX XXXX XXXX, UT XXXXPHONE : XXXXDear Sir or Madam : I am a victim of identity theft. An identity thief used my personal information without my permission to open an account several account in my name this debt is not mine. I have enclosed proof of my identity and a copy of my Identity Theft Report. In accordance with the Fair Debt Collection Practices Act, I am asking you to stop collection proceedings against me and stop communicating with me about this debt, except as the Fair Credit Reporting Act allows. I also ask that you notify B DISCOVER FIN SVCS L or any company associate with this account # XXXX and tell them the debt is the result of identity theft. I have enclosed a copy of the Federal Trade Commission 's police report Notice to Furnishers of Information. It explains your responsibilities under the Fair Credit Reporting Act ( FCRA ). The FCRA requires that debt collectors give an identity theft victim documents related to an account if the victim asks. Please send me copies of all records relating to the account, including : date account open all sign original contract Account applications made on paper, online, or by telephone Account statements or invoices Records of payment or charge slips Delivery addresses associated with the account Records of phone numbers used to activate or access the account Signatures on applications and accounts Investigators reportPlease send me a letter explaining what you have done to : B DISCOVER FIN SVCS L or any company associate with this account that the debt is the result of identity theft Stop collection proceedings against me Stop reporting information about the debt to credit reporting companies Provide me with the records I requestThank you for your cooperation. Sincerely, XXXX XXXX SS # XXXX XXXX # XX/XX/XXXXADDRESS : XXXX XXXX XXXX XXXX XXXX XXXX, FL XXXX
Company Response: Closed with explanation

Disputed: No Timely Response

2015-10-13

Antioch, TN

Billing disputes

Credit card:

Company Response: Closed with explanation

Disputed: No Timely Response

2015-10-13

Belle Center, MO

Closing/Cancelling account

Credit card:

Company Response: Closed with explanation

Disputed: No Timely Response

2015-10-13

Chula Vista, CA

Loan servicing, payments, escrow account

Mortgage: Home equity loan or line of credit

Complaint: I am currently in the process of a refinance. Very clean /easy process, except ... the company I have a XXXX mortgage with XXXX Discover XXXX is listed XXXX on the deed of trust. Their mistake. My loan needs to go to funding like yesterday and ca n't move forward until a letter of re-conveyance is done by Discover. They said they ca n't get one out for another 3 weeks or so. This is causing me a financial hardship and not to mention, now discover will get another months interest/payment since we can no longer pay off the loan on time. As a matter of fact, my loan will not go through.
Company Response: Closed with monetary relief

Disputed: No Timely Response

2015-10-13

Nyc, NY

Dealing with my lender or servicer

Student loan: Non-federal student loan

Having problems with customer service
Complaint: XXXX XXXX XXXX, XXXX XXXX of XXXX I requested to have my co signer released from my Discover Student Loans which were originally disbursed and serviced by XXXX, XXXX. I received the attached letter denying this request, stating my credit score resulted in the denial for the reasons below. My Credit Score is XXXX which is below average however I have an excellent payment history with Discover and all of my student loan servicers despite the astronomical amount and unbearably high interest rates. My interest rate with Discover is 10.875 %. 1. ) Serious Delinquency2. ) Proportion of Balances to Credit limits is too high on bank revolving or other revolving accounts. 3. ) The time since delinquency is too recent or unknown4. ) Proportion of loan balances to loan amount is too high. Please see my responses below to each numbered item. RESPONSE TO 1. ) There are no delinquencies on my credit report and to the best of my knowledge there have been no delinquencies in my financial history since XXXX. Please see my full credit report attached. RESPONSE TO 2. ) I have minimal Credit Card Debt of {$800.00} which is paid on time and I have no overdue balance over my limit. If this is referring to my Student Loan Balances, the balance to credit limit ratio is due to high interest rates SUCH AS Discover 's Rate of 10.875 % RESPONSE TO 3. ) The Time since delinquency is not recent. As previously mentioned there are no delinquencies on my attached credit report which has balances dating back to XXXX. RESPONSE TO 4. ) The proportion of my Loan Balances to Loan Amounts are too high because of high interest rates again, citing XXXX high interest rates of 10.875 %. CONCLUSION : This application has been denied because of my credit score which has been directly impacted by Discover and my other Student Loan Servicers. Given the predatory policies of these lenders it is almost impossible to achieve an average to good credit score. I respectfully request that Discover takes into consideration my excellent payment history, reverses their decision and releases my cosigner. Once my co-signer is released I will have a better chance of refinancing these loans in an attempt to build a more stable future.
Company Response: Closed with explanation

Disputed: No Timely Response

2015-10-12

Grand Prairie, TX

Cont'd attempts collect debt not owed

Debt collection: Credit card

Debt is not mine
Company Response: Closed with explanation

Disputed: Yes Timely Response

2015-10-12

Nappanee, IN

APR or interest rate

Credit card:

Complaint: Discover has been charging me 29.99 % interest for the past five years, because I made a late payment in XX/XX/XXXX. Since that time, I asked them to lower the interest, and they did for a brief, temporary period, but then they returned it to XXXX. They explained that they " had '' to raise it again because lowering it was just temporary. Since that time, my daughter was diagnosed with an XXXX, I lost my job, and I sustained XXXX. I was unemployed from XXXX to XXXX of this year ( I am XXXX ). When I explained to Discover that I was struggling to meet their very high interest payments because I 'd lost my job, they replied that if I 'd lost my job, I was a worse credit risk, which was all the more reason they should leave my interest rate at the highest level. I ca n't imagine that charging me this rate over this period of time is legitimate.
Company Response: Closed with monetary relief

Disputed: Yes Timely Response

2015-10-12

Effingham, KS

Account opening, closing, or management

Bank account or service: Savings account

Complaint: In XXXX 2015, an account was opened with Discover Online Savings Bank in my name. This was a fraudulent account and not requested by me. I have attempted to resolve with Discover direcly, providing documentation and a signed affidavit stating that this account was not opened by me. I have requested proof that its been removed from my name and none has been given. I received a statement on the fraudulent account on XXXX/XXXX/15 still showing the account open and in my name. I called Discover again and was rudely stopped from getting any information about an account in my name, all I was asking was why this account is still showing in my name and has it been closed/marked as fraud and removed from my records. The representative and manager I spoke with refused to provide any such assurances because I would not provide my personal information to " verify '' the account. I did provide the information on the statement but apparently thats not enough. They claim to refuse to provide me with this due to their security verification protocols but its a shame that they didnt do this when opening the account with the fraudster. I have no accounts with Discover and certainly never will based on this horrific experience. Please ensure that Discover confirms that this account was opened as fraud and my information and records reflect no existince under my name.
Company Response: Closed with explanation

Disputed: No Timely Response

2015-10-12

MN

Late fee

Credit card:

Complaint: The bill for my Discover card clearly stated that my payment was due XXXX XXXX, 2015 ( see the attached ). On XXXX XXXX, 2015 at approximately XXXX XXXX Central time, I called the customer service # ( XXXX ) and used the automated system to enter my account #, the payment info, and my checking account information. The confirmation message said that the payment would post " on XXXX XXXX ''. Since the payment was due on the XXXX and I paid it on the XXXX, I was concerned. I managed to connect to a customer service representative ( CSR ), who said I was supposed to have done the payment before XXXX EASTERN time. I pointed out to the CSR that this part of the deadline does NOT appear anywhere on the statement! She said their policy is to waive the late fee, and to remove the trigger that would cause my interest rate to increase, but ONLY because I questioned it immediately. XXXX issues of concern / questions:1. Is it LEGAL for them to have a SECRET cutoff time? I.e., a cutoff time that they do not show on the monthly billing statement. I.e., they literally say " Payment Due Date XXXX XXXX, 2015 '' and " Late Payment Warning : If we do not receive your minimum payment by the date listed above .... ''. But they do NOT tell customers that it 's only XXXX XXXX Eastern time on that date!!! ( see the attached copy of the statement I received ) 2. Is it LEGAL for them to then charge late fees and impose increased interest, because customers fail to complain about the SECRET CUTOFF TIME? It seems to me that this falls under the heading of things like " bait and switch '' and certainly goes against the intent of the consumer protection act.
Company Response: Closed with monetary relief

Disputed: No Timely Response

2015-10-12

Marvin, NC

Billing disputes

Credit card:

Company Response: Closed with monetary relief

Disputed: No Timely Response

2015-10-11

Wilmington, DE

APR or interest rate

Credit card:

Complaint: I made XXXX balance 0 % interest transfers with Discover Card in XXXX and XXXX 2015. When my XXXX statement arrived, the balance transfer of {$3000.00} and the fee of {$90.00} were listed in the " ACCOUNT SUMMARY '' section, but the amount listed in the " BALANCE SUBJECT TO INTEREST RATE '' table was {$2500.00} instead of {$2900.00}. The Discover representatives I spoke with ( five phone calls were made ) could not explain what happened and could not tell me which balances my payments were applied to. First I researched previous Discover 0 % balance transfers, found errors ( approximately {$300.00} plus interest ) in allocation of payments ( payments not applied lawfully in accordance with the CREDIT CARD ACT ) and I wrote two letters of dispute to the correct address for complaints. I did not get a response. On my XXXX statement, the second 0 % balance transfer of {$1200.00} and the fee of {$36.00} were listed in the " ACCOUNT SUMMARY '' section, but the amount listed in the " BALANCE SUBJECT TO INTEREST RATE '' table was now {$4100.00} instead of {$4000.00}. I wrote two more letters of complaint. These were mailed and submitted online. I got an online message with a local number to call. After numerous phone calls, I was finally able to speak with someone about my disputes. I was informed that Discover Card is calculating the 0 % balance transfer using the " daily balance '' method of interest calculation and that my minimum payments were applied to the balances. Another letter of dispute is going out this week. First of all, Discover Card can not apply this method of calculation to my 0 % interest balance transfer when there is no interest to calculate! The INTEREST CHARGES section on page XXXX of my CARD MEMBER AGREEMENT clearly states, " How we calculate interest charges, '' and since the APR is 0 % there is no interest to calculate. Secondly, I calculated the 0 % balances using the " daily balance '' method and could find no evidence of my minimum payments in the amount of {$100.00} ( XXXX minimum ) and {$160.00} ( XXXX minimum ) having been allocated to the 0 %. I am currently paying more than the minimum each month and I am not able to check my bill to make sure that the 14.99 % balance is correct. Finally, if things continue in this fashion, Discover will continually not report to consumers the beginning and ending statement balance for the 0 % and the 14.49 %. As a result, Discover 's customers will have absolutely no way to see if the law is being followed with regards to payment allocation and Discover Card 's customers will continue to be in the dark with regards to their balances. I have no way to calculate how much money I have lost and if Discover continues to apply interest calculation methods to balances do not require interest calculation/that have 0 % APR, I will never know how much money I will lose.
Company Response: Closed with explanation

Disputed: No Timely Response

2015-10-10

Billing disputes

Credit card:

Company Response: Closed with explanation

Disputed: No Timely Response

2015-10-10

Las Vegas, NV

Customer service / Customer relations

Credit card:

Complaint: Discover Bank is reporting my old account which was closed in Chapter XXXX BK as open. I am not disputing the information that they have provided. However, I am asking that they review this account a make a business decision to have the Consumer Reporting Agencies adjust the reporting from open to closed.
Company Response: Closed with explanation

Disputed: Yes Timely Response

2015-10-10

MI

Credit line increase/decrease

Credit card:

Complaint: The history : I have been a loyal Discover Card customer since XX/XX/XXXX ( 9 years ). My spending behavior is I normally charge up the card near its credit line and pay the balance off, in full, within six months. This has been true for the last four years. I have high balances on other credit cards, but have never missed a payment with them. My credit score is just over XXXX. What happened : I made a nearly {$11000.00} payment XX/XX/XXXX to pay my full balance, again this is common behavior ; just in XXXX of this year I made a {$7000.00} payment in full. We were doing a lot of immediate spending as we had a zero percent offer on new purchases. We logged into our credit card account on our mobile app to find that on XX/XX/XXXX we were some {$500.00} over our credit line, but our balance was only {$4300.00}. How could this be when we had an {$11000.00} credit line? Turns out, Discover reduced our credit line from {$11000.00} to {$3800.00} after our {$11000.00} payment without even telling us. We immediately called customer service and they upped our credit line to {$4500.00} so that we would no longer be over our limit since they allowed the spending to happen after reducing our credit line. How generous of them. We asked to have our credit line restored to the {$11000.00}. They said that based on my soft credit pull I was at 94 % of my available credit card limits for all of my cards, and I had recent credit inquiries from three months ago so based on that information they would not restore my credit line, nor increase it from my {$4500.00} limit. Never mind the fact that if Discover Card reported my {$11000.00} payment ( thus {$11000.00} lower balance ) then I would be at 74 % of my available credit limits with my credit cards. Instead they dropped my line to keep me at 94 %. I escalated the matter and received a callback on XX/XX/XXXX from the credit department manager, XXXX. I was irritated about the situation but was respectful throughout the conversation, which is more than I can say about that manager. XXXX kept cutting me off midsentence, kept repeating herself instead of answering my questions, and simply refused to listen to what I was trying to tell her. I explained we had been customers for 9 years and are going to close our account if we can not come up with a solution. She did not care the slightest of our relationship with the company. I asked her if she understands that without customers to serve, she would be out of a job? But apparently Discover is too big for XXXX to care about XXXX customer. At this point I was not even trying to restore our credit line, but asked out of a good relationship that they extend the limit by some amount, {$2000.00} perhaps, just to keep me happy and keep my business. All throughout XXXX kept up her unprofessional attitude cutting me off and belittling me. I asked her if the phone call was being recorded and she conveniently said it was not. I asked to speak to her supervisor ; she said she was the top of the line. I told XXXX that her behavior towards me as a customer was unacceptable and I was going to report it to her. Then she became nice all of a sudden and said she would gladly forward my request to speak with her supervisor, who is XXXX XXXX. XXXX XXXX called me the following day, but I was not able to take her call. She left a message saying she was out of town and would try me the following week. It 's been four weeks since her first call and I am still waiting for a callback. I just called Discover customer service and had them email XXXX XXXX asking her to follow up with me. So what can we do : My car needs new tires, we have a {$2000.00} medical bill to pay ( and growing ), and I need {$1000.00} work done at the dentist 's office. We have no savings and discover card chopped our credit line by {$8000.00} after we did the responsible thing of paying the balance we owed. We are now in a bind thanks to Discover.
Company Response: Closed with explanation

Disputed: No Timely Response

2015-10-09

Tibbs, MS

Identity theft / Fraud / Embezzlement

Credit card:

Company Response: Closed with explanation

Disputed: No Timely Response

2015-10-09

Cincinnati, OH

Identity theft / Fraud / Embezzlement

Credit card:

Company Response: Closed with explanation

Disputed: Yes Timely Response

2015-10-09

Royal Palm Beach, FL

Identity theft / Fraud / Embezzlement

Credit card:

Company Response: Closed with explanation

Disputed: No Timely Response

2015-10-09

Jackson, MS

False statements or representation

Debt collection: Credit card

Attempted to collect wrong amount
Company Response: Closed with explanation

Disputed: Yes Timely Response

2015-10-09

Simi Valley, CA

Taking/threatening an illegal action

Debt collection: Credit card

Threatened to sue on too old debt
Complaint: Received a letter from XXXX XXXX XXXX, XXXX to take me to XXXX of California for a debt that is XXXX years old! The collection company or attorneys are XXXX XXXX XXXX, XXXX XXXX in XXXX, CA XXXXThe Credit Card is Discover Bank.
Company Response: Closed with explanation

Disputed: No Timely Response