Consumer complaint received 2021-07-07
Company: AMERICAN EXPRESS COMPANY
State: TX
Product: Credit card or prepaid card
Sub-product: General-purpose credit card or charge card
Issue: Problem when making payments
Sub-issue: Problem during payment process

Complaint:
I made a large purchase on my American Express card on XX/XX/21 in the amount of {$7500.00}. I normally pay my credit card off each month to avoid interest and fees, however, Amex offers a payment plan for large purchases with a flat, fixed fee and no interest. I considered it reasonable a the time to help my own cash flow. I was approved for the payment plan, which was to pay the amount of 3 months ( {$2500.00} per month plus the fee. I continued using my card as well, so I planned to pay the plan amount plus everything I spent each month to again accrue no interest or charges. 

My payments are due on the 1st of the month, and I am enrolled in autopay - so Amex directly debits my bank account. The problems started with my 1st payment, which should have been XX/XX/XXXX. The payment should have been around {$3300.00} dollars, but they only drafted my bank for the minimum payment due of {$40.00} ( this is mistake # 1 ). I have my autopay set to " pay total bill '', but when I logged into my account after seeing the {$40.00} drafted, it had been changed ( not by me ). Since the wrong amount was taken out I assumed that it needed to be set back on total bill, but my total bill would include the payment plan. After this, I immediately contacted Amex via online chat on XX/XX/21 to figure out what happened and to offer to make a manual payment of the exact amount that should have been drafted to avoid any interest on my account. 

After talking to a representative, then a supervisor, Amex told me that there had been a mistake on their end. I again offered to make the payment of {$3300.00} that I was expecting to pay. They told me that I didn't have to do that since it was their error. They confirmed with me that I would not be charged interest and that my account was set up properly to withdraw the correct amount on my XX/XX/XXXX payment. When they told me this, I assumed my payment plan choice of " pay total bill '' was correct as they clearly told me that my XX/XX/XXXX payment would be for the payment plan and any accrued expenses. 

However, on XX/XX/XXXX, I received email notifications from Amex that they had drafted my payment, but instead of it being {$3300.00}, it was for my full balance on my credit card, which was for {$8200.00}. I only had around {$4000.00} in my account - enough to cover the {$3300.00} for Amex and my rent of {$500.00}. I immediately contacted Amex again to figure out what was going on. The first person I spoke with insisted this was my fault because I changed the autopay amount to " pay total bill '' and said there was nothing he could do. he could not understand that I spoke to Amex after that and they told me everything was set up properly for the XX/XX/XXXX payment to be only {$3300.00}. After arguing with him for some time, I spoke to another supervisor, who saw the problem clearly and recognized that Amex had made yet another mistake by telling me everything was correct after my XX/XX/XXXX payment mistake ( Amex mistake # 2 ). The supervisor, however, could not do anything since it had to do with payments. I had to then call the credit department to talk to them for a resolution. After another hour on the phone with a representative and another supervisor, they said that they could not stop the payment process since it was already sent. However, she offered me a satisfactory resolution and said that when they payment came back as " Insufficient funds '' ( ISF ) from the bank, I would automatically see a late payment fee on my account. She agreed that they would refund the fee afterwards, that once again they would not change me any interest for the month of XXXX, and they would refund me any ISF fees from my bank. However, I would need to wait until all the charges came through and I had to contact them again for them to apply they credits due to me. I was immensely frustrated with this process and the 5-6 hours total I had invested in this situation ( and that I would have to reach out to them again to get the final resolution ), but I at least thought this was nearly over. I contacted them again on Friday XX/XX/XXXX to inform them of my bank ISF fee of {$35.00}. The {$29.00} late fee from Amex was also on my account. They immediately returned the {$29.00} late fee. I uploaded a copy of an email from my bank showing there was a {$35.00} ISF fee, and they said they had to review it and then they would credit my account for that amount. I thought this issue was finally over ( This is going to be mistake # 3 - because none of the MANY reps I had spoken to at this point told me what was going to happen next. ) It was not over. On Tuesday XX/XX/XXXX, I awoke to two text alerts from my bank that my account was overdrawn and that I had a negative balance of {$4300.00}. I was furious! I first contacted my bank to figure out what was going on. Apparently Amex had sent a 2nd payment request ( mistake # 4 ), again with the incorrect full amount of my bill ( {$8200.00} ). and for some reason, my bank paid it this time even though I did not have the funds. My bank could not offer me a reasonable explanation as to why they paid it the 2nd time around, and they told me they could not stop the payment either as it had already been made. I was upset with my bank as well, but it Amex 's multiple mistakes that put my bank in this position.

Back on the phone with Amex, had to get transferred to yet another supervisor because the first rep could not help me. The supervisor explained to me that their processes are automated and they always try to get payment twice. This is mistake # 3, because the last several people I spoke with never mentioned that this process would happen a second time. I asked if they could stop this process, and again I was told no. The processes are all automated and there was no way to intervene. So we moved into resolution discussions, but again since it was a payment, the customer service supervisor could not help me. I had to yet again, call a different department XXXX the credit dept ). Another call, another rep, another supervisor only to be told there is nothing they could do. They had to wait 48 hours to recieve the payment from my bank, then they could refund the difference between what my payment should have been and what they took back to my bank ( {$4900.00} ). This would take another 48 hours. 

At this point, my rent payment had not cleared, and I have more autopayment bills coming through during this time. My family and I were also leaving for vacation that same day. Now having to deal with this issue ( again! ), have to talk to my landlord about my rent payment, likely have to talk to other providers about their payments if this isn't resolved fast enough, and now I have no way to pull out cash for my vacation or use my debit card at all. 

That is where we are today. I have spent at least 12 hours talking with people. I was so upset after not being able to get any satisfactory resolutions that I had a XXXX XXXX and had to lie down for over an hour to calm down ( again delaying our departure for vacation ). And this is still not resolved, and likely will not be until next week - if everything else goes smoothly.

Company response to consumer: Closed with monetary relief