Consumer complaint received 2023-11-13
Company: CAPITAL ONE FINANCIAL CORPORATION
State: CA
Product: Credit card
Sub-product: General-purpose credit card or charge card
Issue: Other features, terms, or problems
Sub-issue: Problem with rewards from credit card

Complaint:
Having been a Capital One Venture One account holder in good standing for a number of years, I was deeply troubled by how my fraud alert issue was recently handled, prompting a formal written complaint to their Corporate Headquarters by certified mail on Tuesday XX/XX/2023 What began as a potential fraud alert on my account in response to a purchase I attempted to make on XX/XX/2023 devolved into a complete systems failure by Capital One to have additional protocols in place to process identity verifications. Following a week of attempts to verify my identity, I was permanently locked out of my account, in spite of submitting numerous forms of valid state and federal identification, as well as requested support documents. 

As a result of this completely avoidable and easily remedied action, my account is now permanently restricted. I can no longer use my credit card nor access my XXXX plus hard earned awards points. 

How could this happen? 
I will recount the details of my unfortunate exchanges with Capital One Venture One as thoroughly as possible. 

On XX/XX/2023, I attempted to make a purchase in the amount of {$1900.00} for a newsletter subscription to XXXX XXXX, a financial newsletter subscription service. 
I received an alert via phone and email that I needed to call to verify that I indeed was making this purchase. 
( Typically, with past alerts, I have received a simple text asking me to respond with either a ( Y ) es, confirming the purchase, or a ( N ) o, which would signify that there was an attempted fraud on my card. I did not receive that. If I had, this matter could have been resolved in seconds. ) At that time I proceeded to call Capital One to confirm that I did indeed authorize the {$1900.00} charge, and that there was no attempted fraud. After that call was made the representative lifted the fraud alert, allowing me to access me credit card. 

However, just moments after it was lifted, the fraud alert was reinitiated and my account was restricted again.The representative did not explain why the restriction was reinitiated, which I found to be an inadequate response. After pressing the issue, the representative said that the credit card attempted to re initiate the {$1900.00} charge, which flagged another fraud alert, resulting in my being locked out again. Why did Capital One do that? If they had simply allowed me to re initiate the charge myself, I would have verified it was a legitimate charge and the issue would have been easily settled. 

I was then asked to provide more information that would once again verify my identity. 

After doing so, the representative said she would call me back on another line to verify that this was indeed my cell phone number. Unfortunately, that call went right to voicemail, as I had my incoming calls on call forward. We were then disconnected. Events began to needlessly escalate from that point forward. 

The next time I called back, XX/XX/XXXX, I was told that another layer of identity verification was now required. I was somewhat perturbed yet understood that this may be necessary in order to protect my account. Fine. A link was texted that allowed me to send a photo of the front and back of my current valid Arizona State Drivers License. After several attempts I was finally able to successfully upload my ID, but the representative apparently could not see the images. I was frustrated and said I would call back the next morning to attempt the verification again. Hours had ticked by and I had meetings to attend. 
The next business day, the representative/supervisor I reached said she could no longer send me a text for verification and that I would NOW have to respond via an email link. Ok. Fine.

Via the email link I was finally able to upload my ID. The supervisor said I should wait on the line while she scanned the my drivers license to verify it. This all should finally be resolved, I thought.

Unfortunately not.

The supervisor returned to the phone to inform me that inexplicably, my valid, current Arizona Drivers License was not able to be verified. I was flabbergasted. I told the supervisor that there must be some mistake as my license is an absolutely current and valid State ID. I tried to send it again. Same result. She could not explain why a valid current form of ID was rejected. This was more and more looking like an internal systems failure. ( I took the photos with my XXXX XXXX XXXX XXXX.which has always taken easily upload-able, readable and valid documents, including various forms of ID. ) The bar code on the ID should have been read properly. 

When I called back a bit later, I told the representative that I was also in possession of my current, valid Federal US Passport, as I was currently in XXXX for business. Would that serve as an acceptable replacement? The supervisor asked me to submit it. I did. He scanned it, and, after review told me that it was indeed a valid form of identification and that he was able to immediately reinstate access to my account. He apologized for the inconvenience. I thought, well, finally, after 3 days of dealing with this, the issue was settled. However, within minutes of my fraud alert being lifted, it was again, inexplicably locked. My patience at this point was being sorely tested. There seemed to be not only an internal systems failure, but a level of customer service confusion that was needlessly escalating an easily resolvable issue. 

When I called back to inquire as to why my account was locked again,, I was told I was now required to submit 3 separate pieces of identification : A valid State ID, a Social Security Card and a utility bill verifying my address, account # and billing details. I had access to all 3 back in XXXX XXXX, but I could not respond until I got back home Tuesday, XX/XX/XXXX. I was informed that my valid, Federal current US Passport was not an acceptable, even though after scanning it, they said it was deemed a valid Passport. ( I used the same XXXX XXXX to upload that document fyi. ) There was no reason given as to why. This was becoming a tremendous inconvenience. However I was sure it would all be resolved as soon as I presented all required documentation. 

Week 2 : XXXX XX/XX/2023 I called Capital One that morning, and after being connected with yet another Supervisor, I explained what had happened the previous day ; that my account was unlocked after uploading a copy of my US Passport and then inexplicably restricted again. She had no explanation. Instead she reiterated that I should upload all 3 forms of previously requested Identification. I alerted the Supervisor that my valid Arizona Drivers License had been previously rejected. She could not explain why. No worries, I told her, I also had a valid, current recently issued California Real ID card that I could send instead. I now had multiple forms of identification. She requested I submit both my Arizona Drivers license ( again ) and the California Real ID Card. I did so. My Social Security Card was also uploaded, scanned and verified. My utility bill was sent, scanned and, after calling the utility company with me on the line to confirm, also verified. However, not only was my Drivers License once again rejected but so was my legal, current California Real ID card!

I could not believe that this was happening. I told her that this must be an internal issue. She did not respond. I then suggested that I would be happy to upload my valid Federal US Passport again, ( the same one that a previous supervisor had accepted on XX/XX/XXXX, which had been scanned, verified, and approved, resulting in the initial lifting of the restriction on my account ) At that time the supervisor placed me on hold and then confirmed that a current valid Federal US Passport was not an acceptable form of Identification. It was shocking to me that a valid current US passport was not an acceptable back up form of acceptable Identification.

This customer service response represents perhaps the single most egregious example of what was becoming more and more apparent ; that Capital One has a confusing, contradictory and deeply flawed identity verification process that does not provide for an effective alternative method of identity verification ; In this case, a valid, current Federal US Passport.

How could 2 valid state IDs be rejected and a valid Federal US Passport not be acceptable? Baffling. Not one supervisor had an answer for me.

Over the next two days, I spoke to several more supervisors who said that my account would remain locked and that no more attempts to upload documents would be accepted. There was nothing more they could do. At that time I was still able to access my account online. I asked the representative how I could access or redeem my XXXX plus accrued award points if my account was now permanently restricted? The supervisor said that I could not and would not be able to access them. Again, I could not believe what I was hearing. Infuriating. 

On Friday XXXX XXXX, I received an email from Capital One informing me that a new document was available in my account to review. However, when I attempted to sign in to my account, I found my user name and password was not accepted. I was locked out. When I called Capital One to ask why I could not gain access, the representative said that because my account was permanently restricted I could no longer access it. I told him I needed access to my statements so that I could properly prepare expenditures for my 2023 tax returns. He said that was no longer possible ( but confirmed that my Autopay was still in place and that my bank account would still be debited, as always, for the full payment due ).

I was stunned beyond words. Literally stunned. And furious. 

On Friday, XXXX XXXX..over one week since this debacle began, I called and asked the representative where I could mail or email a formal written complaint. She wasnt sure. She said she would try to find out. A supervisor came on the line and informed me that there was no email, or mailing address available to file a formal complaint. Really? She suggested I sign in to my account and send a message. I almost burst out laughing. Obviously, as I could no longer access my account, that would be impossible. She had no response. It was as if I was speaking to a bot. 

On XX/XX/XXXX, I called again, and told the representative that I had received an email from Capital One informing me that an outstanding balance would be withdrawn from my checking account via Autopay on XX/XX/2023. I told the representative that I needed to access to my statements to confirm that the charges were accurate. THIS time, the representative said, no problem. XXXX XXXX would email me my statements for review. I was extremely surprised, because the week before a representative told me that as my account was locked, I would not be able to access my statements.. 
Within the hour, the statements were sent to me via email. 
Again, confusing and contradictory customer service responses. 

When I called the next day to attempt to apply my XXXX plus awards points to my balance due, I was told that as my account was permanently locked, I would not be able to access my awards posts and that my balance due would be extracted from my bank account on XX/XX/XXXX. 

I made one more attempt to ask if I could upload my ID 's and supporting materials to see if perhaps this time they would be accepted. I told her that I would even use a brand new XXXX XXXX XXXX camera to upload to see if that might make the difference. She was kind enough to send me a link to do so. She sympathized with my situation however she said she could not guarantee that the department that reviews documents would permit another attempt to upload current, valid documents and ID 's. I told her I thought that was extremely unfair, and that I would be unfairly penalized, resulting in the forfeiture of my Award Points. Was there any recourse.? She could not answer. As of this date, I have not received a response. 

This frustrating and truly degrading series of events is why I sent a formal letter of complaint to Capital One Corporate Headquarters, detailing what has been an exhausting, chaotic, unprofessional, incompetent and utterly unacceptable customer service experience. Again, this should have been an easily and quickly resolved issue on day one, call one.

By the way, I used another credit card to process the same {$1900.00} charge. It took 10 seconds to approve. 

The issue that now remains unresolved is how I will be reimbursed .... or able to apply my XXXX Award Points against future purchases, if I no longer have access to my Credit Card account? 

I am requesting that the CFPB investigate this issue. 
I should be given every opportunity to re establish my account and claim my Awards, or receive financial compensation equalling the full value of my accrued awards. 

Thank you.

Company response to consumer: Closed with explanation