Consumer complaint received 2022-12-30
Company: Bread Financial Holdings, Inc.
State: MI
Product: Credit card or prepaid card
Sub-product: Store credit card
Issue: Problem with a purchase shown on your statement
Sub-issue: Card was charged for something you did not purchase with the card

Complaint:
To whom this may concern, My name is XXXX XXXX and I am responding to XXXX/Comenitys request : to put in writing the incident on XX/XX/XXXX of the unauthorized {$75.00} deduction from my personal financial institution in order to start an investigation. 

I am also requesting to resolve the account ending in XXXX with a XXXX balance. 
This request is being made due to the fact that I can't trust XXXX/comenity with my financial information as I have in the past, they have illegally billed me for negative options with no explanation. 

And reporting the closing of my account during a Covid pandemic ( I ask for emergency Covid assistance, and they close my account? ). 

My account ending in XXXX was previously set up for automatic payments to be deducted on the XXXX of every month in the amount of {$74.00}. On XX/XX/XXXX XXXX/Comenity requested an additional {$75.00} from my account on top of the original payment of {$74.00}. XX/XX/XXXX disputed the {$75.00} and XXXX/Comenity received the agreed upon {$74.00}. 

Because I didn't agree to pay an additional {$75.00}, they decided to stop my auto pay XX/XX/XXXX. 
If XXXX/Comenity hadnt stopped my auto payments due to their unauthorized deduction I would not be behind on my payments, I never have been in the past outside of my Covid request. 

XX/XX/XXXX XXXX/Comenity Requested an unauthorized {$75.00} payment. 

XX/XX/XXXX XXXX/Comenity Received additional {$75.00} from my financial institution. They also received {$74.00} ( original agreement ) from the same financial institution. I only disputed the unauthorized {$75.00}, XXXX/Comenity received the agreed {$74.00}. 

XX/XX/XXXX Received letter stopping automatic payments dated XX/XX/XXXX. 

XX/XX/XXXX Contacted XXXX/Comenity in regard to the letter. I didnt understand why they would stop payments when I made the payment agreed upon XX/XX/XXXX? 
I also asked why an additional {$75.00} was taken out of my account unauthorized? I got no explanation, only to be escalated to a manager. I still didnt get an explanation or resolution from speaking to the manager.

I then asked the manager to resolve the account to XXXX  balance and send a letter in regard to this illegal activity, and to note the account. 

I was then put on hold so the manager could go over the information with her boss. I was on hold for about 10-15 min. and the only conclusion they came up with was SORRY and noted the account. There wasn't any further investigation or escalation as if they didnt care about my personal information. 

XX/XX/XXXX Received threatening letter to collect payment. Continued to look for help/answers on why this happened and what to do? 

XX/XX/XXXX Tried to resolve and get answers once again by contacting XXXX/Comenity. Spoke with XXXX ( she was very helpful, nice, compassionate, and straight to the point ). She finally escalated this incident to be investigated, Im thankful for her taking the time to listen.

Meanwhile Im stuck in the wind/lingo/process not knowing how to proceed. Incurring late fees, interest, and bad credit reporting due to this illegal process. I have been educated to contact the FTC ; I will be forwarding this information to them also. 

POOR COVID ASSISTANCE XX/XX/XXXX Contacted XXXX/comenity to ask for Emergency Covid assistance and they closed my account, not allowing me to show good faith ( I continued to make every payment agreed to, until this recent incident ). This action caused devastation to my credit score, making my financial hardship more difficult. 
The closing of this account in XXXX is still affecting my credit to this day. This also prevented me from doing business with any other lending company. 
( I asked for help, and they set me up for failure ). Many of these companies received recovery funds from the government, has anyone investigated the disbursements of these funds? Someone needs to look into this because these companies did nothing but took advantage of Americans that were already in a vulnerable state. And now they are allowed to charge us a higher interest rate because they've closed your account damaging your credibility? This is unfair!

Company response to consumer: Closed with explanation