Consumer complaint received 2022-06-19
Company: CAPITAL ONE FINANCIAL CORPORATION
State: WY
Product: Credit card or prepaid card
Sub-product: General-purpose credit card or charge card
Issue: Fees or interest
Sub-issue: Problem with fees

Complaint:
I have three credit cards with Capital One ( XXXX XXXX, XXXX, regular card ). A family member helped me by paying these cards off using her bank account. The payments were accepted and processed and all three credit cards were paid in full on XX/XX/2022. 

Capital One accepted these payments and when I logged into these accounts, there was a zero balance. 

Capital One froze all three credit cards. Their Fraud Department contacted me in early XXXX, asking for information about the payment origination bank account ( belonging to my relative who paid the balances on these cards ). They could not provide me with a reason, except that it was " for my protection ''. 

In XXXX, I was charged interest on two of the three credit cards : XXXX ( ending in XXXX ) - {$110.00} Quicksilver ( ending in XXXX ) - {$56.00} In addition, my three credit cards were placed in " restricted '' mode, preventing me from using them. 

On XX/XX/2022, I spoke with a Capital One representative in their Fraud Department ( name ). She reiterated that they needed to speak to the bank of my relative ( who paid the balances ). My family member is not comfortable doing this. The payment was accepted and funds were withdrawn from my family member 's bank account ( XXXX XXXX XXXX XXXX ) and applied to the Capital One credit cards ( all paid in full ). Please note that XXXX XXXX XXXX XXXX does NOT have an issue with the funds transferred to pay off my Capital One credit cards. The Capital One representative, hung up on me when I informed them that charging me interest on a ZERO balance is illegal and I planned to pursue legal action unless they removed the interest charges immediately. She refused to remove the interest charges until she spoke with my family member 's bank ( family member uncomfortable with that ). She stated it was " Capital One 's policy '' to get verification from the paying financial institution and until they had that, they would continue to charge interest ( again, on a zero balance - these cards were paid off XX/XX/2022 ). I informed them that it doesn't matter what their policy is. It is illegal to charge me interest for a credit card with a zero balance. Either they took the money from my family member 's account and did not apply it to pay off these cards ( where is the money? ), or they used the funds to pay the balance in full and are charging me interest ( on what basis? ). Neither representative I spoke with could answer any questions about the status of my account. 

To date, I have had two conversations with Capital One representatives attempting to resolve this matter. My requests for information about my account ( why they are charging me interest ) have gone unanswered. This month ( XXXX ), I was charged nearly {$170.00} ( see above and attachments available ) in interest. And as of this writing, I have been charged a {$40.00} late fee ( XXXX XXXX card ).

Company response to consumer: Closed with explanation