Consumer complaint received 2023-02-15
Company: BANK OF AMERICA, NATIONAL ASSOCIATION
State: MN
Product: Credit card or prepaid card
Sub-product: General-purpose credit card or charge card
Issue: Problem with a credit reporting company's investigation into an existing problem
Sub-issue: Problem with personal statement of dispute

Complaint:
Bank Of America did not inform me of my business credit card account being overdue by mail, email or any other form of communication. Instead, they waited until the account was three cycles past due, closed my account and called to tell me it was being sent to collections. Up until that call I had no notice that the account was overdue. 

Upon being informed by telephone that there was an overdue balance on my account, I immediately paid the balance, as well as any late fees, and requested from the customer service representative that the late payment and any other negative reports related to this charge be removed from my business credit report. The representative submitted the request and I was informed by mail a few weeks later that my request had been denied. The negative mark from this incident on my business credit report has made it difficult to obtain lines of credit for my business and represents a material hardship for my business. 

Given that Bank Of America gave me no notice of an overdue balance, either by email, call or US mail, until after they were commencing collections I do not believe I was given fair notice to address the overdue balance and avoid the negative mark on my credit. I would request that the negative credit events related to this incident be removed from my business credit report. 

The pertinent details are below : I made a charge for an airline ticket on my BOA Alaska XXXX card of {$390.00} on XX/XX/2022. 

On XX/XX/XXXX an e-statement for my account was sent to my email with a XX/XX/XXXX due date. All of my other accounts with Bank of America are enrolled in autopay, and I believed this one was as well. I was under the impression that the balance would be automatically paid on the due date. 

I continued to receive my monthly statements from Bank Of America each month. There was never any indication that the amount was overdue or that there were any issues with non-payment. I assumed, given the lack of any evidence to the contrary that the account was up to date and in good standing. 

I received my final statement from Bank of America on XX/XX/2022 indicating the amount due but no information was provided about being overdue or late. 

On XX/XX/XXXX I received a call from Bank of America telling me that my account was overdue, had been closed and was being sent to collections. I immediately paid the the full balance on the account and explained that I had received no notice that the account was overdue and had believed that I was enrolled in autopay with this account, just like my other accounts with Bank Of America. In light of this, I requested that the representative submit a request to remove the late payment from my account record and from the credit reporting agency. The customer service representative said should would submit the request. 

I received a reply by mail from Bank Of America, dated XX/XX/2022, that my request had been denied. 

It is unfair for Bank Of America to commence collection actions and submit adverse reports to credit agencies without first notifying the customer. The lasting negative impact presents a material hardship for my business and Bank Of America 's bad faith practices of failing to notify customers prior to reporting adverse events to credit reporting agencies and taking punitive actions without prior notification should be reviewed by the CPB.

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 monetary relief