Consumer complaint received 2019-06-20
Company: Bread Financial Holdings, Inc.
State: IL
Product: Debt collection
Sub-product: Other debt
Issue: Attempts to collect debt not owed
Sub-issue: Debt is not yours

Complaint:
XXXX XXXX XXXX , XXXX is using Deceptive practices to lure customers into a timeshare under the false pretense that the enrollment is a trial and that the customer will not be charged. On XX/XX/18, I attend a presentation at XXXX XXXX XXXX XXXX to receive airline tickets, courtesy of a raffle I won at a XXXX  hockey game. Ahead of the presentation, I was directed, over the phone, that I needed to sit-through the entire presentation in order to receive the airline tickets. I asked, both over the phone and in-person the day of the presentation, numerous times if I had to purchase anything to receive the airline tickets. I was advised by the phone rep and Sales rep that I was not obligated to purchase anything and that enrollment into XXXX XXXX vacation club program was purely voluntary. 

After finally completing the sales presentation ( an hour process overall ), I declined the offer to enroll in the vacation club. Upon my refusal, another rep was brought-in to speak with me about alternative offers ( I believe she was responsible for financing ). I again, refused the offers. Given I understand Sales and knew the Sales rep depended on commission, I tried to soften my refusal to enroll by giving an explanation ; ( 1 ) I explained to the gentleman that I am a single person therefore the amount to enroll and benefits were not feasible. I then asked how often people my age ( XXXX at that time ) enroll and he stated, [ more often than I think but mostly couples ]. ( 2 ) In addition to my single income, I stated, more than once, that I had recently paid-off all installment debt with the exception of 2 large, private student loans ( this can be verified by the credit bureaus ) ; I explicitly expressed that I did Not want to take on another installment loan/trade line. The Sales rep seemed to understand but then stated had another offer he could give me before taking a moment to bring-in a third rep. This rep, XXXX XXXX, proceeded to tell me about a " '' trial '' program that offered the same perks as the vacation club but less expensive for enrollment. I informed " XXXX '' that I did not want any new trade lines on my credit report and that I could not afford enrollment. XXXX indicated that I did not have to worry about fees that everything would be covered if I was " approved '' for vacation club credit. Having a background in XXXX XXXX, I knew the appropriate questions to ask, I knew to read the entire agreement, and I knew to confirm what I knew before signing anything. To secure the sale, XXXX proceeded to answer my questions deceptively. I asked, more than once, if entering the contract would produce a new trade line on my credit report ; XXXX said no. I asked if I'd owe anything or need to put money down ; XXXX said no save for the Processing Fee.  When these answers conflicted with the terms I read to myself, I asked XXXX to clarify and he confirmed that everything was as he stated, versus the physical documents. During this entire process, XXXX was the only person present and the original Sales rep did not return until copies of the agreement were being packaged and given to me. 

I believed the entire experience to be above board until I began to receive collection calls and notices ( my mail was delayed due to Forwarding ). In today 's climate of robo calls, I typically do not answer unidentified incoming calls, however, I eventually came to realize that XXXX was claiming I owed them a debt ; roughly 60 days delinquent. I immediately advised a rep of Comenity Bank, collecting on behalf of XXXX, that I was mislead into the account and disputed its balance. The Comenity rep advised a dispute would be opened and that someone would contact me with follow-up. An estimated month goes by and I discover the dispute I requested was in-fact not opened, therefore pushing the account into greater delinquency and subsequently impairing my credit score ; after spending months to decrease my debt and build my score back up. Luckily, I was able to open a dispute on that same status call and received confirmation a case was opened. The case was opened in XXXX. Towards the end of XXXX, I received a notice and subsequent collection calls, that my case was resolved and I was obligated to pay the debt XXXX is demanding. The notice I received included a truncated copy of the contract I entered XX/XX/18, and said contract was cited as " proof of the purchase. '' With collection calls resumed, it became apparent to me that Comenity Bank would not resolve my issue because they were improperly handling the situation. This was evidenced by the continuous notion that I " made a purchase, '' after telling a number of reps that I was mislead into a timeshare. The deception becomes more blatant as I review the XXXX contract and see numerous conflicting terms ; i.e. the Truth-in-Lending Disclosure Statement reflects, Number of Payments : 1, Amount of Payment : {$0.00}, When Payments are due : XX/XX/18. Or how the " Down Payment Method '' states there was a check attached when I did not provide a downpayment, let alone a check. 

As evidenced by my credit bureau activity for the past year, I paid off my car, all of my credit cards, a line of credit with XXXX and a XXXX XXXX loan - in addition to over {$1200.00} to the XXXX of XXXX to retrieve my car out of impound and the subsequent {$800.00} to have their damage to it repaired. It literally makes no sense that I would turn around and enter into a $ XXXX installment with a hotel I have never patronized. To this day, I have not used their services. However, I have made at least one payment in an attempt to protect the fragile 600-range credit score I  worked so hard to rebuild. The payment was futile and infuriating to say the least. I am currently unemployed, with only enough saved to keep a roof over my head and my private student loans in the green. I can not afford negative credit ratings and I should not be held liable for the unfair, deceptive and reckless behavior of XXXX XXXX.

Company response to consumer: Closed with explanation