Consumer complaint received 2021-09-09
Company: Bread Financial Holdings, Inc.
State: PA
Product: Credit card or prepaid card
Sub-product: Store credit card
Issue: Fees or interest
Sub-issue: Problem with fees

Complaint:
On XX/XX/2021, I received an email from XXXX implying that I owed a balance of {$86.00} which is due by XX/XX/2021. When I logged into the account to check this inaccuracy I found that I have been being billed a finance charge five days after my billing cycle is complete. 

For example, in XX/XX/2021 the online portal indicated I had a balance of {$95.00} due XX/XX/2021. I separated this payment into two paying {$35.00} immediately and then scheduled the {$60.00} payment for the balance a few days later. That payment came out on XX/XX/2021. On XX/XX/XXXX, unbeknownst to me, I was charged a finance charge. I was not made aware of these charge, via email, text or mail notification. As a result Comenity applied a {$35.00} late fee to this balance. 

When contacting them on XX/XX/2021 the first representative reviewed the card history and stated he did in fact find the issue and could see that that {$60.00} payment was received on the XXXX which should have left no balance. He removed the late fee and the finance charge but found that there was an additional late fee applied previously. He stated his manager could take care of this one because he only had authority to remove one late fee. 

In speaking with two Managers ( XXXX and XXXX ) I was told that the late fee was applied to a balance from XXXX. I explained to them that I have not been receiving any billing communications which is why I logged into the portal myself and made the two XXXX payments. I explained that I recognized that late fees were being applied to finance charges that are being submitted five days after my bill cycle is due and that there should have been a XXXX balance after the {$60.00} payment because I paid in full what the online portal said was the total balance. After doing a review of what she could see on their end and what I could see in my account portal I was able to confirm that there is a clear discrepancy in the reporting. Nothing in my account indicates that I had a balance of {$140.00} in XXXX. XXXX offered a {$10.00} credit and said the total of {$45.00} was the best they could do to resolve this matter. After asking to speak to someone else 9 times, I was transferred to XXXX. 

XXXX also went through the same review as XXXX, I read to her the dates, balances, payments and finance charges that were in my visible view through the online portal, she confirmed that what we were seeing was different and stated that the home screen should be reporting the correct balance, despite the fact is was not each supervisor refused to remove the frivolous late fee and did not take into consideration the fact they drop the ball on providing invoices or text alerts which I am signed up for. 

I asked for the card to be closed and I want this balance to be cleared. It is absolutely ridiculous that I have maintained a great credit rating with XXXX XXXX, XXXX and XXXX XXXX only to have a subpar clothing company impact my credit through frivolous practices such as billing for a finance charge outside of the scope of normal use to obtain additional late fees from customers. This practice has to be illegal.

Company response to consumer: Closed with monetary relief