Consumer complaint received 2022-12-26
Company: Bread Financial Holdings, Inc.
State: CO
Product: Credit card or prepaid card
Sub-product: Store credit card
Issue: Problem when making payments
Sub-issue: Problem during payment process

Complaint:
I made a purchase at Jared using their Comenity Credit card back in XXXX. It was a 6 month promotional purchase. I made XXXX {$100.00} payments XXXX in XXXX and XXXX in XXXX. At the end of XXXX I made a large purchase. My XXXX statement came to me on XX/XX/XXXX with ONLY the 6 month promotion showing on it with ONLY a payment due for that promotion. I then made a {$250.00} payment. The bank decided to allocate only {$30.00} to the 6 month promotion and the other {$220.00} to the large promotion even though nothing was even due in that promotion at the time of my payment. This is what started the downward spiral on my account. I made {$250.00} payments for both XXXX and XXXX. The min payment due on the large purchase was {$120.00} so the {$120.00} should have gone to the 6 month promotion and technically the 6 month promotion should have been paid off then. I called when I got my statement for XXXX showing I still had a significant balance. It was at that time it was discovered that payments were not allocated properly. Apparently the consumer needs to call in every month to assure how their payment gets allocated otherwise Comenity applies the payment in any way they see fit. So ... In XXXX I made a {$270.00} payment that should have paid off that 6 month promotion again. With what ever they were doing on the back end it apparently wasnt enough to pay it off so qe move to XXXX where i made a {$600.00} payment which MORE than paid it off. But then i get my XXXX statement and the 6 month promotion shows I owe still XXXX. I bit my tongue and decided to just pay it. I made a {$150.00} in XXXX. As soon as the payment posted I called in to assure that the payment was allocated properly. I wanted {$4.00} to go to the 6 month promotion so it would be paid off and the rest {$140.00} to the large purchase. I was assured they allocated it properly. I just got my XXXX statement and the statement shows my payment of {$150.00} being credited off as {$4.00} to the 6 month promotion and {$140.00} to the large promotion BUT then they decided to charge me " purchases '' in the amount of {$4.00} on the 6 month promotion and {$140.00} to the large purchase. Making it basically appear that I didnt even make a payment. Then they charged me XXXX cents of interest in the 6 month promotion giving me now a balance of XXXX and they charged interest on the large promotion for a higher balance than what should have been charged on. I called on XX/XX/XXXX to get it fixed and they guy ended up hanging up on me and never called back despite asking for a call back number. I called today, XX/XX/XXXX because I wanted to get this fixed and when I logged into my account, the person I had spoken to on the XXXX ADDED an additonal XXXX back into the 6 month promotion this giving me now a balance of XXXX. The person I spoke to l, XXXX, indicated he was going to fix this and I would see the corrections within 48 hours. What they are doing in my eyes is illegal. They have charged me way more that what I should have been charged. Their practices are NOT ethical in anyway and I am to the point where I want to return my purchases, have my account credited for the amounts and close my account and never doing business with them again. This needs to be corrected somehow. I cant imagine how many people they are doing this too who dont know it is happening. 

Thank you I look forward to hearing from you regarding this matter XXXX XXXX

Company response to consumer: Closed with monetary relief