DISCOVER BANK

2015-07-27

Columbia, MD

Deposits and withdrawals

Bank account or service: Checking account

Company Response: Closed with explanation

Disputed: Yes Timely Response

2015-07-27

Kansas City, MO

Taking out the loan or lease

Consumer Loan: Installment loan

Company Response: Closed with explanation

Disputed: No Timely Response

2015-07-27

Dublin, OH

Application, originator, mortgage broker

Mortgage: FHA mortgage

Company Response: Closed with monetary relief

Disputed: No Timely Response

2015-07-27

Lake Lillian, MN

Delinquent account

Credit card:

Company Response: Closed with non-monetary relief

Disputed: No Timely Response

2015-07-27

Garrett Park, MD

Identity theft / Fraud / Embezzlement

Credit card:

Complaint: On XX/XX/XXXX, I sent through CFPB XXXX Case # XXXX XXXX, a dispute on an unrecognizable entry XXXX Discover credit card, joint account ) on my credit file that was not mine. After Discover 's investigation, on XX/XX/XXXX, I received Discover 's final response ( through CFPB ) which reads in part as follows : " Based upon your assertion that you were added to the account without your knowledge, as of XX/XX/XXXX we have removed your name from the account and sent updates to the credit bureau reporting agencies requesting that the account be removed from your credit files. Please allow some time for this update to reflect on your credit reports. The Credit Bureau Reporting Agencies that we report to are XXXX XXXX, XXXX and XXXX. " On XX/XX/XXXX, about 7 months later, I contacted XXXX to make sure they did what Discover requested them to do and that was to remove the Discover listing from my credit file. It was not done. To find out why it was not removed, XXXXat my request, XXXX sent my dispute reinvestigation request to Discover and Discover responded XXXX via XXXX XXXX which reads as follows : " We verified that this item belongs to you. Additional information has been provided from the original source regarding this item. " I do not know what 's going on here. The Discover letter XXXX dated XXXX/XXXX/2014 ) I received and the Discover representative assigned to investigate my dispute through CFPB case # XXXX, that the case was closed ( desired resolution in my favor ) and that Discover has removed my name from the account and sent updates to the credit bureau reporting agencies requesting that the account be removed from my credit files. So with all that being said, why is Discover saying that the account belongs to me when they stipulated in the closed resolution letter dated XX/XX/XXXX enclosed, that they had taken action to remove my name from the account and so forth as stated above. There seems to be communication problems within Discover for the reason this action should have been taken care of months ago. ( removing my name from account and XXXX removing Discover listing from my credit report ).
Company Response: Closed with non-monetary relief

Disputed: No Timely Response

2015-07-26

Detroit, MI

Dealing with my lender or servicer

Student loan: Non-federal student loan

Don't agree with fees charged
Company Response: Closed with explanation

Disputed: No Timely Response

2015-07-26

Bedford, NH

Managing the loan or lease

Consumer Loan: Installment loan

Company Response: Closed with non-monetary relief

Disputed: Yes Timely Response

2015-07-26

Boston, MA

Getting a loan

Student loan: Non-federal student loan

Can't qualify for a loan
Complaint: I am, as it stands currently, a student at XXXX XXXX XXXX XXXX in XXXX, MA ( at least until they drop my classes come XXXX XXXX ). XXXX is the number XXXX XXXX school in the country and costs close to {$60000.00} per year in tuition, fees and housing. As you can see, financial assistance is in almost every case necessary and I was n't born into a wealthy family. However over the course of my adult life I have taken steps to turn the tides on my family 's financial situation. So, with excellent credit, I had no need for a cosigner when I first borrowed money from Discover Student Loans in XX/XX/XXXX. Now, in XX/XX/XXXX, the only thing that has changed for my credit is the nearly {$80000.00} I have borrowed from Discover to pay for my first two years of school via their self-described student loan program. With less than 60 days before my next XXXX payment is due and after close to two years of financing me, Discover suddenly decided I am in need of a cosigner. For some students this would be a non-issue, but for me it 's a devastating conclusion. None of my friends, family or extended family have been able to get approved through Discover to be a cosigner. Not only that, but they were refused for Parent Plus loans through the university. I have utilized all of my available subsidized, un-subsidized loans and Federal XXXX XXXX options amounting to about {$8400.00} per semester ; and was depending on Discover to finance the balance, as they did in my first year-and-a-half, to cover XXXX 's tuition of approximately {$60000.00} per year. There should be no reason why a student with good credit history, who is only indebted by Discover Student Loans who agreed to lend them money in the first place, should be denied the funds to finish his or her education. With two years left to go for my XXXX degree and this last-minute demand for a consigner, I find myself too late for scholarship deadlines and with no financial options. Without my XXXX degree and the earning power it would provide me, it will be a struggle to even begin to repay the money already borrowed from Discover. I would like to see Discover Student Loans bound by 4-year degree contracts with their clients that state Discover Student Loans can not terminate financing until a degree is completed or the four years concludes, whichever comes first. Regardless of the need for a cosigner, Discover should not be able to plunge a student into debt by trying to renegotiate their contract midway through and without the promise of a degree. Discover has the right to change its policies but should not change things up arbitrarily and suddenly for students who are proven good customers and who they know have no other options. Imagine buying a house or a car and only getting half of the loan necessary so you ca n't actually buy the house or car but still have to pay the bank for something you never actually received. It is bad policy for a financial institution to renege on its obligation to a student halfway through the pursuit of a college education.
Company Response: Closed with explanation

Disputed: Yes Timely Response

2015-07-25

Hinkley, CA

Taking/threatening an illegal action

Debt collection: Credit card

Sued where didn't live/sign for debt
Complaint: I am being sued by Discover Financial Services in the state of XXXX. The debt I created with Discover Financial Services was created in the state of XXXX. I did not sign for the debt in the state of XXXX. Why am I being sued in the state of XXXX? Also, I received a letter from XXXX XXXX , Executive Office of Customer Advocacy for Discover, dated XXXX XXXX, 2015. This letter was pertaining to an investigation that discover performed concerning my previous CFPB complaint. She stated that XXXX XXXX group reported that there were XXXX repayment options offered to me which I declined. This was a false statement made by XXXX XXXX XXXX. I was offered only XXXX payment option which was a 60 % reduction of the balance in a XXXX lump payment or XXXX monthly installments. I declined the offer because I thought the debt had passed the statue of limitations to be sued on in the state of XXXX. So, I decided to make a complaint to the CFPB for relief of this debt. Additionally, the XXXX XXXX XXXX stated to XXXX that I declined another offer of a XXXX year repayment plan. The law group never made an offer of a XXXX year repayment plan to me. This is false. When I spoke to XXXX XXXX, a lawyer at XXXX XXXX XXXX, I told him that they never mentioned more than XXXX option of repayment to me ; however, if there is another option for me, I would prefer a 60 % reduction of the balance with a first payment of {$3100.00} and the remainder to be divided into XXXX monthly installments of {$260.00}. XXXX agreed that this was a doable arrangement ; however, I did not hear from him anymore on the matter. I faxed him a copy of XXXX XXXX ' letter for his records. I received a letter from XXXX XXXX XXXX dated XXXX XXXX, 2015 stating that they have verified my debt with Discover and it is their intention to continue with collection activity. I was instructed to consult an attorney if I have any questions about my liabilities. I have made two attempts to make a financial arrangement to settle this debt ( my XXXX offer was a lump sum of {$3000.00} dollars ) and XXXX XXXX XXXX does not appear to be willing to settle this debt in a civilized manner. I am trying to avoid payroll garnishments and unauthorized withdrawals from my bank account. As a consumer, what can I do to protect my assets when I have tried to make repayment arrangements?
Company Response: Closed with explanation

Disputed: No Timely Response

2015-07-25

San Gabriel, CA

Can't repay my loan

Student loan: Non-federal student loan

Can't temporarily postpone payments
Complaint: I am currently enrolled in Discover Student Loan system. When I signed up, I was aware that I have grace period of 6 months after estimated graduating ( to find a job to start repayment ). However, As soon as 1 year mark ( which I was enrolled in school, when I did n't have to pay back ), I got a notification from XXXX, collector saying my first bill was due this month. I have n't finished my degree, therefore, I 'm still a XXXX student, and I can barely get my ends meet. And couple days ago, I heard that Discover was fined and as I was reading through, I found that I have to contact CFPB.
Company Response: Closed with explanation

Disputed: Yes Timely Response

2015-07-24

Nyc, NY

Customer service / Customer relations

Credit card:

Company Response: Closed with explanation

Disputed: No Timely Response

2015-07-24

Boston, MA

Taking/threatening an illegal action

Debt collection: Credit card

Seized/Attempted to seize property
Complaint: when i went to refinance my home, I was told that Discover placed a judgement on the title for credit card debt that i did not incur. my husband who i have been legally separated from for 3-4 years did have a Discover card that is delinquent. my ex will file a separate complaint as he says Discover never notified him of any of this.
Company Response: Closed with explanation

Disputed: No Timely Response

2015-07-24

Grand Prairie, TX

Delinquent account

Credit card:

Company Response: Closed with explanation

Disputed: No Timely Response

2015-07-24

Baldwinsville, NY

Incorrect information on credit report

Credit reporting:

Account status
Company Response: Closed with explanation

Disputed: No Timely Response

2015-07-23

Haymarket, VA

Application, originator, mortgage broker

Mortgage: FHA mortgage

Company Response: Closed with explanation

Disputed: No Timely Response

2015-07-23

Flemington, NJ

Problems caused by my funds being low

Bank account or service: Checking account

Company Response: Closed with explanation

Disputed: Yes Timely Response

2015-07-23

NJ

Dealing with my lender or servicer

Student loan: Non-federal student loan

Received bad information about my loan
Complaint: I co-signed a student loan for $ XXXX for my daughter that originated from XXXX and subsequently sold to Discover ( we never received any notice of this takeover ). After the takeover neither my daughter nor myself received any statements about loan payments due ; then earlier this year Discover started sending notices the loan was 6 months past due and also started the negative reporting to the credit bureaus ( XXXX, XXXX, etc. ). Due to the ineptness of Discover my credit numbers have taken a nosedive by approximately XXXX points. Is the penalty against Discover cover anything about restoring my credit numbers? If so how much time are they allowed to get it corrected? If there is no provision about credit rating restoration why not? Thank you.
Company Response: Closed with explanation

Disputed: Yes Timely Response

2015-07-23

Falls Church, VA

Billing disputes

Credit card:

Company Response: Closed with explanation

Disputed: Yes Timely Response

2015-07-23

Oak Grove, MO

Dealing with my lender or servicer

Student loan: Non-federal student loan

Trouble with how payments are handled
Complaint: I am paying my daughter 's student loans to discover because I co-signed with her. I have repeatedly asked for a monthly statement and do not receive one. I guess at the amount due each month. Also, when my daughter went to their website to to see if a payment had been received, it showed past due. She called and was finally connected to a real person and was told the payment had not been received. This was XXXX/XXXX/15. The check cleared my account the following XXXX XXXX/XXXX/15. My daughter checked the website again and it said the check had been received on XXXX/XXXX/15. When I looked at the back of the check, it cleared Discover 's bank on XXXX/XXXX/15. I just want a monthly statement sent each month. Also, I guess they sold one of my daughter 's student loans to XXXX XXXX. XXXX XXXX sends a statement each month. My daughter 's school was XXXX ( XXXX In XXXX ). She graduated and has not found a job with compensation sufficient to pay the loans.
Company Response: Closed with non-monetary relief

Disputed: No Timely Response

2015-07-23

Cedar Hill, TX

Customer service / Customer relations

Credit card:

Company Response: Closed with non-monetary relief

Disputed: No Timely Response

2015-07-23

MO

Dealing with my lender or servicer

Student loan: Non-federal student loan

Trouble with how payments are handled
Complaint: My XXXX student loan was bought out my Discover a few years ago. the first contact made my discover, was after they sent my loan to a collector agency. After I paid my loan for six months, Discover bought my loan back from the collection agency but did not inform me of this until after I called Discover because the payment was no longer going through my account. Discover was unwilling to lower my payments, and added penalties to my loan. Discover would not give me information for my taxes, until after the filing date of XXXX XXXX.
Company Response: Closed with explanation

Disputed: No Timely Response

2015-07-22

Dania Beach, FL

Other

Credit card:

Company Response: Closed with explanation

Disputed: No Timely Response

2015-07-22

Palmerton, PA

Can't repay my loan

Student loan: Non-federal student loan

Can't get flexible payment options
Complaint: From XX/XX/XXXX - XX/XX/XXXX, I attended graduate school at XXXX Washington University. I took out federal and private student loans to pay for school and housing needs. The total amount of private loan debt that I had taken out during that time was {$26000.00} with XXXX. After school, I had difficulty making payments since the interest rate was variable ( although I was almost certain that I agreed to a fixed rate only ). To make the payments smaller, I had consolidated the private loan with a fixed rate of 10.50 %. The loan was eventually transferred over to Discover Student Loans and I am currently in good standing with them. The current loan balance is {$33000.00}, in which I have paid {$18000.00} in principal and interest to date. I have tried to refinance my loan with several institutions, but I am continually denied. The reason that is given to me is that I do n't make enough money. I just had my XXXX child, and making these payments is extremely difficult. I would like to see the light at the end of the tunnel. I do not want to go into default, but I feel that I will be paying these loans forever unless I can get them refinanced to a reasonable rate. I do n't know what to do. I have sought the advice of an attorney and an accountant - both who feel that I do n't have any options except do very detrimental things to my credit and ultimately not be able work out a better deal for myself. I am desperately seeking advice on this! PLEASE HELP!
Company Response: Closed with explanation

Disputed: Yes Timely Response

2015-07-22

East Rockaway, NY

Balance transfer

Credit card:

Complaint: Transfer BalancesDiscovercard - when you transfer balances from other cards to Discovercard they have a low rate for a period of time XXXX, but when you make payments they apply to the transferred balance and not the pervious balance on the card which is XXXX .... so there is actually an increase in interest rate to XXXX which is unfair and a fraud type of transaction. Al payment should be applied to the older balance due - first in first out. This practice was not disclosed .... the Company when called, says they have to do this by law which is false!
Company Response: Closed with explanation

Disputed: No Timely Response

2015-07-21

Rockwell, NC

Dealing with my lender or servicer

Student loan: Non-federal student loan

Trouble with how payments are handled
Complaint: Private Loan : Discover Student LoansSchools : XXXX XXXX in WI, XXXX in XXXX believe that Discover Student Loan uses student loan unethical tactics to create high interest loans to co-signers. Discover 's underhanded tactics result in high interest, large loans, to cosigners looking to help the student. They base the loan on the student 's credit rating and financial status, and then when it 's time to pay the loan back, co-signers become co-borrowers and are harassed even when the loan is not in default. My daughter has approximately {$100000.00} in student loans with Discover Student Loans. She borrowed this money, with my husband and myself, as " co-signers '' to get her XXXX in XXXX XXXX. Throughout the years of acquiring these loans, we were constantly surprised that our interest rates were so high, although we had credit scores above XXXX. Discover would give us an interest rate range of approximately 6.0 to 9.0, and then give us an interest rate of 8.99. When we asked why this interest rate was so high we were told that it was based on our daughter 's credit rating because we are just co-signers. However, when it came time to pay back the loan Discover Student Loans would harass us because we are " co-borrowers ''. So, Discover gets to assign a high interest rate based on the student, but then switches the mentality of the loan when it comes to paying it back. My daughter worked part-time during school and tried to get Discover to provide a loan without a co-signer, but they refused. After she graduated, my daughter was shocked to learn that her monthly payments would be {$1000.00}. She worked with Discover for months in an attempt to get her loan to an affordable amount, which would then increase as her work situation improved over time. We thought that Discover would take her salary into consideration but they would not because they confined the loan to a 10-year term. We finally got Discover to reduce the payments to $ XXXX/month, which is still a significant burden for my daughter who makes approximately $ XXXX/year. However, since her parents are tied to the loan, she would often times go without grocery, heating and air conditioning and get behind on her rent, ( risking eviction ) to pay Discover. My daughter was getting harassed and we were getting harassed, even when the loan was not in default. And because Discover 's first question to my daughter during these calls was " can your co-signers pay '', it became apparent that the entire scheme ... 1. Mandating co-signers. 2. Using student credit rating instead of co-signer 's credit ratings to put the interest rate at the higher end of the range. 3. Holding the loan to a 10-year term. 4. Not allowing for income considerations. 5. Harassing students and co-signers, even when the loan is not in default. ..is orchestrated to use students who are trying to better themselves to facilitate high-interest loans and go after what Discover might consider to be " deeper pockets '' of the co-signers. We became the victims of an unorganized and ruthless partnership between XXXX XXXX and a Discover Student Loan 's antiquated financial payment system that left us seeking counsel. Well, most recently my daughter was told that her student loan monthly payment is increasing to $ XXXX/month. When she asked why she was told that XXXX XXXX management of her loan was temporary. Well, if Discover Student Loan 's goal is to create homeless individuals out of students who are trying to become professional contributors to the economic state of the U.S.A., then well done indeed. There are so many people who just refuse to pay back these loans. My daughter is not one of these people. She just wants to be successful in life and right now Discover is preventing her from doing that.
Company Response: Closed with explanation

Disputed: Yes Timely Response