Consumer complaint received 2018-11-05
Company: SYNCHRONY FINANCIAL
State: VA
Product: Credit card or prepaid card
Sub-product: General-purpose credit card or charge card
Issue: Closing your account
Sub-issue: Company closed your account

Complaint:
I have an XXXX XXXX credit card which was closed by the company ( XXXX XXXX ) without notice and under an unfair and predatory company policy. 

On XX/XX/XXXX I made a payment that was returned because of insufficient funds. Immediately after receiving my next paycheck I then promptly made the entire payment due of {$120.00}, on XX/XX/XXXX. My account was still open at that point, but about two weeks later I received a letter in the mail informing me that my account was closed. The letter was not clear about why, it only said because of too many missed payments. I had only been late twice in my 4+ years having the card. Both times I paid the full amount due, plus fees. 

I called XXXX XXXX and spoke to a representative and also to her supervisor, and they both told me that my account was automatically closed due to 2 returned payments in a 24 month period. XXXX   XXXX/Synchrony didn't tell me this would happen, didn't give me a warning/notice, and did not care that I had made all my payments - they said they couldn't do anything about the closed account because it is company policy. I've never heard of such a policy. It isn't fair to close my account when I've paid every cent they've asked me to pay. Two payment problems in a two year period does not justify closing an account, and the credit report/score problems that creates. 

My credit score has tanked over 80 points based on this situation alone. I now have a credit balance imbalance of {$4000.00} on my credit report that I can not change - solely because of this closed account. XXXX XXXX is penalizing me for having insufficient funds while they've never suffered a loss because of me. I've always paid 100 % of my amounts due. 

To add insult to injury, Synchrony has increased my monthly bill by {$30.00}. I've been paying about {$120.00} per month, but now that my account is closed Synchrony has raised my minimum amount due to {$150.00} - even though there has been no change to my balance because I can't spend on the card anymore. I don't know if my APR % has changed, or if they've expecting me to pay off the balance faster just because they closed my account. The {$30.00} change to the minimum payment due is unexpected and unexplained. 

Also, XXXX XXXX didn't help inform me even though they have a website for the card. There is a " Messages '' section of the XXXX XXXX credit card website, but I have received no messages pertaining to my closed account. I have no recollection of ever being told about this 24-month policy and the bank never warned me that my account could be closed for insufficient payments. It is now closed and I can't do anything about it. Synchrony got every monthly payment from me, yet they can still close my account and damage my credit based on an unfair policy.

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