Consumer complaint received 2020-06-25
Company: FIRST NATIONAL BANK OF OMAHA
State: DE
Product: Credit card or prepaid card
Sub-product: Store credit card
Issue: Trouble using your card
Sub-issue: Credit card company won't increase or decrease your credit limit

Complaint:
First Bankcard cut the credit limit on my XXXX credit card from {$5000.00} to {$1600.00} the week of XX/XX/2020. Besides not informing me in a timely way so that I could do something about it, it caused a significant drop in mine and my sons credit scores, since he also has a card under my account. 

When my son told me that his credit score had dropped significantly and it had something to do with First National Bank, I checked my XXXX account online. At that point, the credit limit was still stated as {$5000.00}. But a few days later, my son went to a XXXX to refill his gas tank. His card was declined because it was over the limit. When he called to tell me this, I was puzzled because I had just seen the {$5000.00} limit a few days before, and I knew that we werent anyway near the limit. I immediately checked my online account and discovered that the limit had been dropped to {$1600.00}, and we now were a couple of dollars and cents over the limit. I called Bankcard Customer Service immediately, even though it was Sunday evening, to find out what was going on and why I had not been informed of the credit-limit drop as soon as it was done. I was told that a letter was in the mail to me. When I pressed the point that I should have been informed right away either by email or through overnight mail, I was told the bank could not, by law, do that and that they had to inform me through the U.S. Postal Service. I reminded the person that U.S.P.S. has overnight mail service. She kept saying they couldnt do it that way. When I asked whether it was the result of my choosing the option First Bankcard gave customers during the first couple of months of the Coronavirus pandemic to not pay, the representative said no, it had nothing to do with that. ( I dont believe this. ) I had a few more things to say to this rep ( who was trying too hard to defend First Bankcard ), then hung up.

Two days later, I received the usual monthly statement and bill in the mail from First Bankcard that showed the reduced credit limit, but no explanation of it. A day later ( yesterday ), I received a letter sent by Presorted Standard U.S. Postage Paid mail. According to U.S.P.S., this is bulk mail, not even first-class, presorted. Its processed by the U.S.P.S. on a time available basis. It cant be forwarded or returned if undeliverable. Also according to U.S.P.S., standard mail can take as long as two to three weeks to deliver nationwide, and it should not be used for time-sensitive mail. So apparently, First Bankcard did not care about informing me or its other customers around the country whose credit limits it cut that they were doing this. They didnt care that we would find out when we next used the card or when our credit scores took a sudden hit. Thats why I was completely insulted when I read the letter from XXXX XXXX, vice president of customer experience, that We value your business and appreciate your continued ( she spelled the word incorrectly ) use of your XXXX Personal Credit Card. How hypocritical! If that were the case, First Bankcard would not have cut my credit limit to the point at which I had used the card and would have done a much better job of informing me about the limit cut so that my son or I would not have to find out while trying to use the card and experience the surprise and embarrassment of being declined. In fact, First Bankcard doesnt care one bit about what customers experience and certainly doesnt value our business. 

I called First Bankcards customer service number again immediately after getting the letter. I asked for MsXXXX XXXX or, at the very least, a supervisor, because I didnt want to take out my anger on a customer service representative who didnt make the decision to do this. I was told Ms. XXXX doesnt take such calls, and I was given a supervisor named XXXX. He was very apologetic, but said the way it was handled was legal. Perhaps, but it wasnt fair, considerate or ethical. I told him I would have preferred starting off when I applied for the card last summer with a {$1600.00} credit limit, rather than after almost a year, being knocked down by about two-thirds ( probably why mine and my sons credit scores took a bit hit ). He assured me that the phone call was being recorded and that the people in management would hear my complaint. They better hear it! And they need to stop these underhanded business practices. 

I applied for a XXXX credit card only because my son goes to West Virginia University in XXXX, and there are more XXXX gas stations there than XXXX, XXXX and XXXX stations. When my son moves out of West Virginia, I will cancel this card. In the meantime, if First Bankcard pulls another arbitrary credit limit reduction on me, I expect to be informed faster than through standard mail. With all the money this bank makes from credit card customers, they can afford to do better than this!

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 explanation