Consumer complaint received 2023-02-03
Company: Bread Financial Holdings, Inc.
State: NY
Product: Credit card or prepaid card
Sub-product: Store credit card
Issue: Fees or interest
Sub-issue: Problem with fees

Complaint:
In XX/XX/XXXX, I was contacted by at XXXX XXXX ( XXXX ) to settle a pass due account balance. The representative who called me, explained that the account has already been closed, and offered me a settlement to pay off the account in full, in which I accepted. The representative told me that she would remove the additional late charges, ( the fee was totaling around {$180.00} ) after the three successful payments had cleared. She explained that after the last and final payment of {$50.00} had cleared from my bank, she would credit the remaining late charges, and my balance would be {$0.00}, she said that her system only allowed her to set up a certain amount on that day, and she would personal go back and correct it once the payment cleared. I then arranged for the settlement offer, she refunded {$28.00} and {$62.00} on XX/XX/XXXX for the first {$100.00} payment on XX/XX/XXXX and the second {$100.00} payment on XX/XX/XXXX, the last payment was set up for XX/XX/XXXX for the remaining {$50.00}, this payment cleared, and the account should have been paid in full, but the representative never went back in to process the additional late fee credits like promised. I was under the understanding that I no longer owed a balance to XXXX XXXX XXXX, until I got an email that my statement was available, and I suddenly had a large balance again. I received the statement and realized that she never credits me the late fees, but instead started adding additional fees to the account, and now its reporting negative on my credit report, when it should have already settled. This error happened on their end, and they refuse to correct it. I contacted them multiple times about this issue, spending hours speaking to supervisors and the collection department, only to be told that they would take care of it as soon as possible. When I call back, to check the status, they act as if they dont know anything about my situation, they keep transferring me to different departments, no one wanted to be bothered. Finally I contacted someone that seem to want to help me, I explained what had happened, and the agreement that the representative had made with me, she found the date that the agreement was made, and said that she was going to pull the recording, I was so happy that finally they would be able to listen to the settlement agreement that was made, but after a long wait on hold, she returned, claiming that something was wrong with the recording, and she would refer my complaint to a different department, that they would take care of it. After reviewing a statement last month XX/XX/XXXX, it appears that they credited the late fees in XX/XX/XXXX but left the new late fees that was still occurring because the late fees that was added to the late fee that should have been removed in the first place. The account was closed, my original credit limit was {$250.00}, now suddenly my account is open with a credit limit of {$100.00}, and they are still adding late fees to my account. I spoke to XXXX on XX/XX/XXXX who referred me to collection department XXXX ref # XXXX and XXXX XXXX in collections, who referred me to XXXXXXXX XXXX XXXXXXXX, no one wants to help me with my issue.

Company response to consumer: Closed with monetary relief