Consumer complaint received 2023-03-15
Company: Self Financial Inc.
State: NY
Product: Credit card or prepaid card
Sub-product: General-purpose credit card or charge card
Issue: Trouble using your card
Sub-issue: Can't use card to make purchases

Complaint:
On XX/XX/2023 I Was unaware that self financial sent an email telling me that I needed to verify my identity 3 years after opening my card. They are requesting that I send them a picture of my social security card picture of my ID picture of me with my ID as well as statements from Accounts that paid my self credit card bill ( I pay with two different accounts and they are only asking for one ). I didn't notice any issue until last week when I could not use my card. I called the company and they informed me that there was fraudulent activity and that I needed to let them know if I did indeed make these purchases which I did and they unlocked my card. A few days ago I realized my card was locked again I called them today XX/XX/2023 to ask them to unlock my card again I spoke to 2 customer service individuals as well as the supervisor on duty I was given multiple reasons why verification was needed. Reasons included the government wants to cut down on money laundering, security for customers, routine checks, And fraudulent transactions. Self financial told me that it was a CIP law in which it was the law for me to provide all of this information. When I looked the law up I read it as when you are opening an account verification is needed and the bank institution is to keep this verification on file for 5 years I did not at all read that years after opening an account I am to send my social security card and/or I d 's after my account has already been opened. I express my concern multiple times the 2nd time that I called the customer service agent hung up the phone on me. I told them that this seemed fraudulent and very Illegal. Before the customer service agent hung the phone up on me I ask how does the process of closing my account work. The agent told me that she would close my account. I told her I do not want you to close my account I want to know the process again she told me she would close my account. This worried me because I have a secured credit card with them and I want my deposit back so I asked what would happen to my deposit. She told me that they would keep my {$1000.00} deposit until I provided documentation of my Identity. I informed them I have never heard of this from IRS, from my XXXX XXXX  Account or any other credit Institution. I am a single mom I am in the process of trying to get preapproved for a house. I was told by the customer service agent I am to provide the verification within 8 days or my account will be closed which means my credit score will go down and I will be out a {$1000.00}. Please help I would like to sue any and all I know that may not be possible but there are so many people that are being screwed from this company they need to understand this is completely illegal and they should not be able to do this anymore.thank you for your time. I have already reported them on the XXXX XXXX XXXX and to my surprise which it shouldn't be to my surprise there were many Complaints on how self has stolen money from their customers. I would appreciate if every last customer was made whole.thank you. SELF terms of service also state verification is needed when establishing credit not 3 years later.

Company response to consumer: Closed with explanation