Consumer complaint received 2023-07-29
Company: AMERICAN EXPRESS COMPANY
State: FL
Product: Payday loan, title loan, or personal loan
Sub-product: Installment loan
Issue: Struggling to pay your loan

Complaint:
The reason I am writing is because I have been a victim of fraud/embezzlement. On XX/XX/XXXX, I got approved for a business line of credit to invest in a company my friend of 30 years was working for and invested in also. I only asked for {$35000.00} because that was all I needed to invest in a company called XXXX XXXX XXXX My title I was given was XXXX because I had excellent credit and the ability to help the owner grow the company. XXXX XXXX who gave me all the documents needed to submit to Kabbage now called American Express XXXX for funding my investment. The bank used to operate XXXX XXXX XXXX was XXXX XXXX XXXX which was added to the Kabbage business line of credit. My personal checking account with XXXX was also attached to the dashboard. I have 4 credit card accounts with American Express which were also compromised when adding XXXX XXXX to the Kabbage account. This was the account the auto payments for the line of credit were set up for repayment of the line of credit which was owned by XXXX XXXX. On XX/XX/XXXX, Kabbage increased the line of credit to {$90000.00} without my knowledge or consent which is almost 3 times the amount I applied for and needed. This increase is the reason I am writing this to explain how the fraud/theft occurred which put me in fianacial debt for a company I did not own. My home was impacted and damaged from hurricane Nicole and I made a claim to my homeowners insurance company on XX/XX/XXXX. I am giving this information to support my claim that I have been a victim of fraud and embezzlement. Once Kabbage increased the available line of credit on XX/XX/XXXX, XXXX XXXX, the owner of XXXX XXXX XXXX used his bank which is XXXX to transfer the funds, and this is when the fraud occurred. I was unaware of the theft dealing with my homeowner 's insurance which was unavoidable to contain the damage and save my home. When I became aware of the increase and theft on XX/XX/XXXX, I contacted Kabbage and filed a claim. I was given an ID Theft Affidavit packet from Kabbage to help me through the process I had to do in order to report the fraud. I had a lot of pressure on me because of the XXXX and timeline given to complete the packet. XXXX week I was trying to get all this done which I completed everything except for getting a copy of the police report. Kabbage only gave me 10 days to attach copies of all documentation required in the checklist. I was told by customer care representative XXXX that all documents needed to be turned in within the 10 days or my claim would be rejected. I called Kabbage to inform that I was waiting for the sheriff 's office to release the police report I made on XX/XX/XXXX. The 10-day period was restarted, and I still was having a hard time getting my copy of the police report. The investigation was turned over to a detective XXXX XXXX whom I spoke with on XX/XX/XXXX. He explained that he was waiting on subpoenas from XXXX XXXX, XXXX XXXX, XXXX and American Express. I told him I only had 10 days to fill out and complete the ID Theft Affidavit and I had already got an extension. He called me back and told me I could get a copy of what was ready for the report to submit to Kabbage. I submitted all documentation requested from Kabbage on XX/XX/XXXX, XXXX which had to be notarized. The first payment of {$5600.00} was due XX/XX/XXXX, which was paid from XXXX  bank. This is the only payment made by XXXX XXXX XXXX. I was promised by my friend XXXX that he would make the payments since Kabbage rejected my claim without giving me a reason other than I secured the loan with my social security number. I was very upset with American Express when I was told by the company supervisor that I could not get a copy of all transcripts from the phone conversations. I asked for the transcripts to assist in getting a lawyer to handle the dispute I was having with American Express. My credit cards are suspended for use due to the loan I can not pay because I never owned or gained any profits from XXXX XXXX XXXX On XX/XX/XXXX, I received an email from American Express stating that as a result of a recent review Kabbage Funding is temporarily suspending access to my line of credit. The email also stated before we can resume your access, we need some additional information. The email read Here 's what we need from you : Organized Documents ( Articles of incorporation OR Certified of Incorporation ) color copy of my government issues ID, and a PDF of the most recent one month 's bank statement directly downloaded from my bank. It also read to submit required information by XX/XX/XXXX or they may suspend your line of credit and close my account. This is where the factors of the company American Express Kabbage now changed to American Express XXXX have tried to cover their mistake in raising the line of credit in 6 days from opening and/or established. I already provided these documents when I applied for the {$35000.00} line of credit. The only reason I am in this debt to American Express Kabbage is because of the increase I never asked for. I would never have been a victim of fraud in this case if they did not do the increase. I never owned or gained any profit from this business XXXX XXXX XXXX.

Company response to consumer: Closed with explanation