Consumer complaint received 2021-07-28
Company: HSBC NORTH AMERICA HOLDINGS INC.
State: AZ
Product: Credit card or prepaid card
Sub-product: General-purpose credit card or charge card
Issue: Other features, terms, or problems
Sub-issue: Other problem

Complaint:
Summary : I feel that I have been treated unfairly and unreasonably by HSBC Bank, USA, N.A.. I hope with your involvement, they will be reasonable in accessing my experience with their organization and reaching a fair resolution. I am getting your organization involved as HSBC has continued to act unreasonably and unfairly with the involvement of the Arizona Attorney Generals Office, XXXX XXXX XXXX, and the various Credit Reporting Agencies. 

Given your organization federal mandate to focus on the fair treatment of consumers by XXXX XXXX, lenders, and other financial companies I feel you may be best equipped to help us reach a resolution to this matter. Thank you advance for your assistance. 

I opened an HSBC Credit Card account on XX/XX/XXXX to take advantage of 0 % APR promotion that they had solicited to me. After opening the account, I immediately draw the {$5000.00} balance of the card to take advantage of the promotion 0 % APR offer. I also immediately attempt to set-up an online profile and payment but am unable to access any account information or set-up automatic payments as HSBC requires a unique PIN that is provided via USPS mail.

I request the PIN from HSBC on numerous ( at least three ) occasions, yet never receive it. On one of those occasion ( XX/XX/XXXX ) I am told that the extenuating circumstances of my case would be escalated to management and resolved, but never received any follow-up from HSBC.

The account becomes out of sight and out of mind as there is no follow through by HSBC. Eventually, my account is assigned to a debt collector,XXXX XXXX XXXX XXXX. HSBC is unreasonable in admitting their contribution to the situation. I pay off the account in full on XX/XX/XXXX and immediately report the payoff to HSBC. HSBC responds stating the information they are reporting is accurate, although they are continuing to incorrectly report the account with a balance. I am denied credit by XXXX XXXX on XX/XX/XXXX. I launch a complaint through the Credit Reporting Agencies which HSBC reports to ( XXXX, XXXX, and XXXX XXXX on XX/XX/XXXX. HSBC finally updates the inaccurate reporting of the {$4100.00} balance, however, XXXX  still has {$4100.00} write-off in the account status ( when the account was paid in-full ), and XXXX  and XXXX still has charge-off as the account status. ( Credit Reports Attached ) The details of my case are below and attached. 


Timeline : On XX/XX/XXXX, I opened a HSBC Credit Card account in response to a promotional 0 % APR mailing I received. I used the full $ XXXX balance given the attractive offer to invest in markets. Immediately after receiving the credit card by mail I attempted to register online to set-up automatic payments, but was unable to do so as setting up an online account with HSBC requires a unique individual four-digit PIN that they send you via United State Postal Service and I had not received mine. 


On XX/XX/XXXX I proactively reached out to HSBC to notify them that I have not received the required PIN. I ask that they help me set-up automatic payments over the phone, which they say they are unable to accommodate. They tell me another PIN will be sent. I never receive the PIN. ( XXXX Phone Record Attached ) On XX/XX/XXXX I received a call from HSBC that my account is past due. Frustrated - I tell them I had requested a PIN on multiple occasions and have yet to receive one. I also previously asked to set up automatic payments over the phone, but their systems/policy wouldn't allow it. I asked for another PIN to be sent so I can access my account online and set-up payments. They tell me they will send me one in the mail. ( XXXX Phone Record Attached ) On XX/XX/XXXX - I received a call from HSBC that my account is now in collections. Incredibly frustrated, I explain that I have requested the PIN to be able to access my account on numerous occasions and have never received it. Additionally, I have requested automatic payments be set-up over the phone they have been unable to accommodate my request. The collections agent said that he apologies for the error and that my case would be escalated to management/supervisor where it would be fixed/resolved. Assured that this would be corrected, I make a payment in the amount of {$1200.00} to bring my account current and make an additional payment of {$750.00} as a token of good will, explaining I am willing and able to pay the balance in-full based on the follow-up of the escalation. Again I never received a PIN, nor any follow-up from HSBC. ( XXXX Phone Record Attached ) ( Attached Credit Reports reflect payment ) In XX/XX/XXXX, I received a letter from XXXX XXXX XXXX XXXX that my account was assigned to them to collect the debt on my HSBC credit card. ( Letter Attached ) In XX/XX/XXXX, I received another letter from XXXX XXXX XXXX XXXX offering me to resolve my indebtedness for {$2800.00}, versus the account balance of {$4100.00}. ( Letter Attached ) In or around XXXX XXXX, I reached out to XXXX XXXX  XXXX  XXXX  explaining there is likely a misunderstanding around my account. I always had the intention, ability, and willingness to pay the account in full and on-time. XXXX XXXX XXXX XXXX states they will contact HSBC. 


XX/XX/XXXX, I am told HSBC 's position remains unchanged. I file a formal complaint with the credit reporting agencies and the AZ Attorney General 's Office. On XX/XX/XXXX, I file disputes with HSBC and XXXX  and XXXX  disputing the accuracy of the account. 


XX/XX/XXXX, I receive email ( attached ) that my case ID : XXXX is assigned the complaint number XXXX and assigned to XXXX XXXX. ( Email Attached ) XX/XX/XXXX - I receive the attached letter from HSBC that my complaint / dispute was reviewed and determined to be accurate. No changes are to be made and the case is to be closed. ( Letter Attached ) XX/XX/XXXX - I email XXXX XXXX ( attached ) asking for additional information regarding their conclusion. ( Email Attached ) XX/XX/XXXX - I receive the attached letter stating they did mail the PIN ( although I never received it ). And that there was no evidence of bank error. ( Letter Attached ) XX/XX/XXXX - I email XXXX explaining I never received the PIN, and was promised this matter was going to be resolved by management when I made the payment on XX/XX/XXXX, the conversation happened on a recorded line and would be discoverable under any reasonable investigation into my complaint. ( Email Attached ) Throughout XX/XX/XXXX - I work with XXXX XXXX XXXX XXXX to see if they can negotiate cleaning up the credit reporting for a full payoff of the debt. 


XX/XX/XXXX - I receive an email from XXXX XXXX XXXX attached XXXX which states that " a search for telephone records associated the number yielded no results ... our position remains unchanged '' ( Email Attached ). My phone records show the inaccuracy or incompleteness of their search. 


XX/XX/XXXX - I send XXXX XXXX and XXXX XXXX XXXX Interim Head of Customer Relations at HSBC, who XXXX has CC on correspondence ) additional details regarding my case via email. ( Email Attached ) XX/XX/XXXX Frustrated without any response or resolution from HSBC with the updated information, I pay off the account in-full {$4100.00} via XXXX XXXX at XXXX XXXX XXXX XXXX. I am provided the payment confirmation number XXXX. I immediately email HSBC notifying them of the payment. ( Email Attached ) ( XXXX XXXX Statement Showing Payment Attached ) ( XXXX XXXX XXXX XXXX Proof of Payment Attached ). 


XX/XX/XXXX - I receive a letter from HSBC stating that they reviewed my case, there's no evidence of bank error, and they consider the case closed. Additionally, XXXX 's response incorrectly references the Attorney General of Nevada, when in fact the complaint has been filed with the Attorney General Office of Arizona. Although, this may simply be an oversight I fear it shows the lack of reasonable effort their organization has taken to address my concern and correct this issue. ( Letter Attached ). 


XX/XX/XXXX - I received a letter from XXXX XXXX that my recent credit application was denied, because of a charged-off account on my credit history. I immediately pull my credit reports to find that the HSBC account is still incorrectly showing a balance of {$4100.00} and they have not updated the account to show the XXXX payment. XXXX XXXX XXXX XXXX Denial Letter Attached ) ( Credit Reports Attached ) XX/XX/XXXX I file a formal dispute with XXXX, XXXX, and XXXX ) on XX/XX/XXXX ( Dispute Letters Attached ). Each respond over the next 30-days, correcting the inaccuracy of the {$4100.00}, however, XXXX  still has {$4100.00} write-off in the account status ( when the account was paid in-full ), and XXXX  and XXXX still has charge-off as the account status. ( Dispute Letters and Response Letters Attached ) ( Credit Reports Attached )

Company response to consumer: Closed with explanation