Consumer complaint received 2023-11-15
Company: CAPITAL ONE FINANCIAL CORPORATION
State: GA
Product: Credit card
Sub-product: General-purpose credit card or charge card
Issue: Getting a credit card
Sub-issue: Application denied

Complaint:
1. On the XXXX day of XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXXPrincipal extended our credit to Capital One, N.A. 


2. I provided an application/collateral security to Capital One, N.A. on behalf of my consumer. This application contained the services or amount that was being applied for, my Social Security Credit Card number as defined in Title 15 United States Code, Section 1602 ( l ), and my indorsement/written authorization on behalf of my incorporated NAME to access the associated estate on our behalf. 


3. Immediately upon transmission of this application/collateral security I was presented a denial message with no further details. A natural individual has a right to credit and can not be denied the private extension of their own credit pursuant to Title 15 United States Code 1602 clause ( f ). 


4. Indorsement is The act of a payee, drawee, accommodation indorser, or holder of a bill, note, check, or other negotiable instrument, in writing his name upon the back of the same, with or without further qualifying words, whereby the property in the same is assigned and transferred to another. U.C.C 3-202 et seq. as defined in Blacks Law Dictionary, Deluxe Sixth Centennial Edition pg.774. The Uniform Commercial Code state law codification is O.C.G.A 11-3-202.

5. Collateral security means A security given in addition to the direct security, and subordinate to it, intended to guaranty its validity or convertibility or insure its performance so that, if the direct security fails, the creditor may fall back upon the collateral security as defined in Blacks Law Dictionary, Deluxe Sixth Centennial Edition pg.262 and outlined in Title 31 Code of Federal Regulation 202.6.

6. Once custody of this application/collateral security with my nonpublic personal information and personally identifiable financial information as defined in Title 12 Code of Federal Regulation 1016.3 clause p ( 1 ) and q ( 1 ) respectively was transferred to Capital One, N.A, the company and its agents became fiduciaries in a trust action and bound by the covenant of good faith etc.

7. Title 12 Code of Federal Regulation 1016.3 clause ( p ) and ( q ) respectively which state Nonpublic personal information means : ( i ) Personally identifiable financial information; and ( ii ) Any list, description, or other grouping of consumers ( and publicly available information pertaining to them ) that is derived using any personally identifiable financial information that is not publicly available. 


Personally identifiable financial information means any information : ( i ) A consumer provides to you to obtain a financial product or service from you ; ( ii ) About a consumer resulting from any transaction involving a financial product or service between you and a consumer; or ( iii ) You otherwise obtain about a consumer in connection with providing a financial product or service to that consumer. 


8. This application/collateral security was then presented by XXXX XXXX XXXX XXXXCFO of Capital One, N.A. to a Federal Reserve Bank for exchange pursuant to Title 31 Code of Federal Regulation 328.5 and the Federal Reserve Act section 16 part 2.

9. Title 31 Code of Federal Regulations 328.5 states : ( a ) When presented by banks- ( 1 ) For payment or exchange. The endorsement placed on a bearer security presented for payment or exchange by a bank should be in the following form : For presentation to the Federal Reserve Bank of __________, Fiscal Agent of the United States, for redemption or in exchange for securities of a new issue, in accordance with written instructions submitted by __________. ( Insert name of presenting bank ) ( 2 ) For redemption at par. The endorsement placed on a bearer security presented for redemption at par in payment of Federal estate taxes should be in the following form : For presentation to the Federal Reserve Bank of ________, Fiscal Agent of the United States, for redemption at par in payment of Federal estate taxes, in accordance with written instructions submitted by ________________. ( Insert name of presenting bank ) ( b ) For conversion to book-entry securities. The endorsement placed on a bearer security presented for conversion to a book-entry security shall be in the following form : For presentation to the Federal Reserve Bank of _________ , Fiscal Agent of the United States , for conversion to book-entry securities by _________. ( Insert name of presenting bank ) ( c ) When presented by Service Center Directors or District Directors, Internal Revenue Service. The endorsement placed on a bearer security by a Service Center Director or a District Director, Internal Revenue Service, should be in the following form : For presentation to the Federal Reserve Bank of _______ ;, Fiscal Agent of the United States, for redemption, the proceeds to be credited to the account of the Service Center Director, Internal Revenue Service, at _XXXX, for credit on the Federal _________ ( Income, gifts, or other ) taxes due from _________. ( Name and address ) 10. The Federal Reserve Act section 16 part 2 states : Applications shall be accompanied with a tender to the local Federal Reserve agent of collateral in amount equal to the sum of the Federal Reserve notes thus applied for and issued pursuant to such application. The collateral security thus offered shall be notes, drafts, bills of exchange, or acceptances acquired under section 10A, 10B, 13, or 13A of this Act, or bills of exchange endorsed by a member bank of any Federal Reserve district and purchased under the provisions of section 14 of this Act, or bankers ' acceptances purchased under the provisions of said section 14, or gold certificates, or Special Drawing Right certificates, or any obligations which are direct obligations of, or are fully guaranteed as to principal and interest by, the United States or any agency thereof, or assets that Federal Reserve banks may purchase or hold under section 14 of this Act or any other asset of a Federal reserve bank. In no event shall such collateral security be less than the amount of Federal Reserve notes applied for. 


11. The said notes shall be obligations of the United States as defined in Title 18 United States Code 8 which states : The term obligation or other security of the United States includes all bonds, certificates of indebtedness, national bank currency , Federal Reserve notes, Federal Reserve bank notes, coupons, United States notes, Treasury notes, gold certificates, silver certificates, fractional notes, certificates of deposit, bills, checks, or drafts for money, drawn by or upon authorized officers of the United States, stamps and other representatives of value, of whatever denomination, issued under any Act of Congress, and canceled United States stamps. ( XX/XX/XXXX, ch. 645, 62 Stat. 685. ) 12. Tender is An offer of money, though usually used in connection with an offer to pay money, is properly used in connection with an offer of property or performance of duty other than payment of money, and As used in determining whether one party may place the other in breach of contract for failure to perform, means a readiness and willingness to perform in case of concurrent performance by other party, with present ability to do so, and notice to other party of such readiness as decided in XXXX XXXX XXXX XXXX XXXX XXXX XXXX, XXXX, 407 F.2d 379, 380, and as defined in Blacks Law Dictionary, Deluxe Sixth Centennial Edition pg.1467.

13. Tender pursuant to the Negotiable Instruments Act,1881 ; Public Law 73-10, Chapter 48, 48 Stat 112 ; ( Gold Reserve Act ) U.C.C. Article 9/O.C.G.A Title 11 Article 9 ; C.F.R. 225.2/ Government Obligation ; 31 U.S.C . 5118 ( d ) ( 2 ) ; 31 U.S.C.463, Public Law 97 258 ; U.C.C. Article 4-302/O.C.G.A 11-4-302 ; 12 U.S.C. 411 ; Securities Act 2 ( 1 (, 3 ( a ) ( 3 ) ; Congressional Statutes At Large, Title 62, Positive Law ; 31 U.S.C. 5312 ; U.C.C. 2-304/O.C.G.A 11-2-304 ; 12 U.S.C. 1831n ( a ) ( 2 ) ( A ) / Uniform accounting principles consistent with G.A.A.P. ; 12 U.S.C. 1813 ( 1 ) ( 1 ) Deposit money or its equivalent ; Public Policy ; And settlement in terms of the United Supreme High Court of Justice, Rule 45. Table I - Non-Derivative Securities Beneficially owned are organized under or created by the laws of the United States of America, UNITED STATES and the State of Georgia, and that such Seal ( s ) is/are entitled to full faith and credit. Said securities listed are also obligations or other security of the United States as defined in 18 U.S.C 8 ; hence, a Government Obligation as defined in 31 CFR 225.2.

14. On the XXXX day of XXXX XXXX XXXX XXXX Capital One, N.A received a Notice of Violation via United States Postal Service notifying them that withholding my access to my securities is securities fraud pursuant to Title 18 United States Code 1348 which carries the penalties contained in Title 18 United States Code 1341. Even the attempt or conspiracy to commit securities fraud is a crime pursuant to Title 18 United States Code 1349 which carries the penalties contained in Title 18 United States Code 1341.

15. The banks are the borrowers pursuant to Title 12 United States Code 1431 and have not the power to extend their own credit but are instead utilizing the credit of the natural individual as settled in the following stare decisis : In the federal courts, it is well established that a national bank has not power to lend its credit to another by becoming surety, endorser, or guarantor for him. XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX  11 F 2d 83, 271 U.S. 669. 

A national bank has no power to lend its credit to any person or corporation.... XXXX XXXX XXXX XXXX XXXX, 94 F 925 36 CCA 553, certiorari denied in 20 S.Ct 1024, 176 US 682, 44 LED 637.

The doctrine of ultra vires is a most powerful weapon to keep private corporation within their legitimate spheres and to punish them for violations of their corporate charters, and it probably is not invoked too often ... XXXX XXXX XXXX XXXX XXXX XXXXXXXX XXXX  XXXX XXXX XXXX, XXXX XXXX XXXX. XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXXXXXX XXXX XXXX. 

A bank may not lend its credit to another even though such a transaction turns out to have been of benefit to the bank, and in support of this a list of cases might be cited, which-would look like a catalog of ships. [ Emphasis added ] XXXX XXXX XXXX XXXX XXXX XXXX XXXX, XXXX XXXX XXXX. XXXX XXXX  XXXX. 

It has been settled beyond controversy that a national bank, under federal Law being limited in its powers and capacity, can not lend its credit by guaranteeing the debts of another. All such contracts entered into by its officers are ultra vires... XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX  XXXX, XXXX XXXX XXXX ( XXXX ). 

Neither, as included in its powers not incidental to them, is it a part of a banks business to lend its credit. If a bank could lend its credit as well as its money, it might, if it received compensation and was careful to put its name only to solid paper, make a great deal more than any lawful interest on its money would amount to. If not careful, the power would be the mother of panics,... Indeed, lending credit is the exact opposite of lending money, which is the real business of a bank, for while the latter creates a liability in favor of the bank, the former gives rise to a liability of the bank to another. I XXXX. XXXX XXXX XXXX XXXX XXXX. XXXX XXXXXXXX ; XXXX, XXXX XXXX XXXX XXXX XXXX XXXX  XXXX. XXXX XXXX XXXX XXXX XXXX XXXX XXXX  XXXX XXXX XXXX. 

It is not within those statutory powers for a national bank, even though solvent, to lend its credit to another in any of the various ways in which that might be done. XXXX XXXX XXXX XXXX XXXX XXXX  XXXX, XXXX XXXX XXXXXXXX XXXX, XXXX ( XXXX ). 

There is no doubt but what the law is that a national bank can not lend its credit or become an accommodation endorser. XXXX XXXX XXXX  XXXX XXXX XXXX, XXXX XXXX XXXX. 

A bank can lend its money, but not its credit. XXXX XXXXXXXX XXXX XXXX XXXX XXXX XXXX. XXXX XXXX XXXX, XXXX XXXX XXXX, XXXX XXXX XXXX XXXX XXXX XXXX. 

... the bank is allowed to hold money upon personal security ; but it must be money that it loans, not its credit. XXXX XXXX XXXX XXXX. XXXX XXXX  XXXX XXXXXXXX XXXX XXXXXXXX XXXX, XXXX, XXXX. 

A loan may be defined as the delivery by one party to, and the receipt by another party of, a sum of money upon an agreement, express or implied, to repay the sum with or without interest. XXXX XXXX XXXX ; XXXX XXXX XXXXXXXX, XXXX XXXX XXXX. Also see XXXX XXXX XXXX, XXXX XXXX XXXX XXXX and XXXX XXXX XXXX XXXX XXXX XXXX, XXXX XXXX XXXX XXXX, XXXX. 


16. My application/security collateral once indorsed was converted into a monetary instrument pursuant to Title 31 United States Code 5312 section A ( 3 ) making it a deposit as defined in Title 12 United States Code 1813 ( I ). I was not afforded the equal valuable consideration on this instrument guaranteed by law resulting in unjust enrichment. 


17. These conversions and exchanges were executed at the mere will of the trustee ( s ) managing the account in which my securities are being held and constitute a breach of trust and a breach of fiduciary duty pursuant to Title 15 United States Code 80a-35. I did not authorize any transactions using my nonpublic personal information and personally identifiable financial information as defined in Title 12 Code of Federal Regulation 1016.3 clause p ( 1 ) and q ( 1 ) respectively in which I would receive no benefit at all to be initiated which constitutes aggravated identity theft pursuant to Title 18 United States Code 1028A which carries the penalties contained therein and falls under the RICO Act which carries the penalties contained therein.

Company response to consumer: Closed with explanation