Consumer complaint received 2018-04-04
Company: WELLS FARGO & COMPANY
State: NJ
Product: Credit card or prepaid card
Sub-product: General-purpose credit card or charge card
Issue: Getting a credit card
Sub-issue: Application denied

Complaint:
I moved to the XXXX in XX/XX/XXXX. I opened a bank account and secured credit card with Wells Fargo that year. I was informed it would take two years to build sufficient credit history to switch the secured card to a credit card. 

InXX/XX/XXXX, after speaking with a Wells Fargo online credit employee, I was encouraged to apply for a standard credit card. I asked for a {$600.00} or {$1000.00} credit line to replace my secured card that had a {$600.00} limit. I cancelled my secured card. At the time of my application, my FICO score as reported within my secured Wells Fargo online banking site was XXXX ( excellent ). I had been banking with Wells Fargo for 28 months and they were aware of my XXXX citizenship and XXXX XXXX work status in the XXXX. Wells Fargo conducted a 'hard credit ' check which dropped my reported FICO XXXX from XXXX to XXXX ( good ). 

On XX/XX/XXXX, I received a letter from Wells Fargo stating " Thank you for your credit card account application. We can approve your application if we receive and are able to verify the information requested below by XX/XX/XXXX ... send us a copy of your Social Security card so we can confirm your identity. '' There were no other caveats presented in the letter. 

I responded to the above request and provided my SSN. 

On XX/XX/XXXX, I received a letter from Wells Fargo informing me that " We are unable to offer you a credit card account for the following reasons ... Not a XXXX XXXX XXXX XXXX  ''. The letter further stated " Our decision was based in whole or in part on information in a consumer report ( often called a credit report ) ... '' I followed up in writing and by phone with Wells Fargo and was informed that they have a policy to not issue credit to XXXX non-citizens or green card holders. I was further informed that it is illegal for them to discourage credit applications so they will not publically or transparently disclose their policy to reject individuals based on their national origin ( XXXX ). 

Facts : - Wells Fargo opened an account and secured credit card in my name inXX/XX/XXXX - Wells Fargo has been my primary bank for 28 months and had full documentation that I was a XXXX XXXX and XXXX XXXX with XXXX XXXX status - Wells Fargo encouraged a credit application and conducted a 'hard credit ' check causing a 38 point drop in my FICO bringing my credit rating down from 'excellent ' to 'good ' - Dated XX/XX/XXXX, Wells Fargo sent a letter confirming my credit application would be approved upon receipt and verification of my SSN number - OnXX/XX/XXXX, Wells Fargo declined my credit application for being a non-permanent resident of the XXXX and stated that this decision was based on information in a consumer report ( a complete fabrication given their prior communication of XX/XX/XXXX which was in fact after the consumer report inquiry ) Wells Fargo did knowingly and purposefully engage in having me apply for credit knowing that their internal policy would decline credit to non-residents. They purposefully caused me personal harm by negatively impacting my credit report and declining credit despite an 'excellent ' credit rating. 

Wells Fargo did so solely for the purpose of not wanting to breach credit regulations regarding discouraging individuals from applying for credit, but knowing that they would subsequently decline and cause harm to the customer regardless of credit worthiness.

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with non-monetary relief