Consumer complaint received 2020-01-09
Company: SYNCHRONY FINANCIAL
State: PA
Product: Credit card or prepaid card
Sub-product: General-purpose credit card or charge card
Issue: Other features, terms, or problems
Sub-issue: Problem with cash advances

Complaint:
I took advance of a 0 % balance transfer offer the credit card company offered. I was concerned that if I did that and used the card for purchases how would the payments I made would be applied to the outstanding balance. I normally used the auto pay to pay the balance in full each month to avoid interest charge. However, I was told if I did that then the first month after I got the balance transfer the amount of the transfer would be paid back defeating the purpose of getting the transfer in the first place. I asked then if I turned off the auto pay how would I pay the bill to avoid interest charges. I was told if I paid the amount of the charges made on the billing statement I would avoid the interest charges. On my XX/XX/XXXX, XXXX I had charges of {$470.00} for that billing period. On XX/XX/XXXX I made an online payment of {$500.00} figuring that would cover what needed to be made as a payment to avoid interest charges. 

On my XX/XX/XXXX statement I saw that I was charged {$7.00} in interest. I called the credit card company on XX/XX/XXXX to ask why there was an interest charge since I had paid more than the purchases made. I started to get vague answers that I hadn't paid enough, that I needed to pay the minimum payment plus the purchases to avoid the interest charges. That was not what I was told when I first inquired about the balance transfer. I proceeded to ask the rep what was the amount that I had to pay each month towards the balance transfer. She was unable to answer me. I told her I see on the statement an amount for my purchases and a minimum payment amount due but nowhere on the statement the amount ( if any ) of payment that needed to be made towards the balance transfer. At this point I am not sure if as part of the agreement the balance transfer is to be amortized over the life of the interest free period of 1 year. I asked the rep what I would have to pay for the XX/XX/XXXX statement and was told it would be {$710.00} and change. This contradicted what she told me that I would have to pay the purchases for the month and the minimum payment. On the XX/XX/XXXX statement the charges were {$560.00} and the minimum purchase was {$96.00} for a total of {$660.00} not the {$710.00} and change she quoted me. 

I have used other credit cards for balance transfers but used them only for that and not made any other purchases for them. On those cards there was a monthly payment to bring down the outstanding balance. I then had the option of paying off the balance of the loan when the interest free period ended or keep it and then pay interest at the prevailing rate. 

However no matter how much I tried with this rep to get the amount that the transfer needed to be paid off she was either unable or unwilling to give me the amount. I them asked for a supervisor to speak to. A person name XXXX came on the phone. I explained to him I had been charged interest and wanted to know what I had to pay each month to avoid the charges. Again I got a runaround that the balance changes each month and he never could give me an answer on what to pay to avoid the interest charges. I told him I knew the amount to pay for the balance transfer would vary since if it was being amortized ( like it was on the other cards I had done similarly with balance transfers ) but if I was told ( for example ) that for the month of XXXX the amount that had to be paid for the balance transfer was {$75.00}, then I would know if I paid the {$75.00} and purchases for the month I was good going forward because each subsequent month the amount to be paid to the balance transfer would be less than the {$75.00} since monies were being applied to the outstanding balance of the balance transfer. 

The call went around around for some time with me asking for the amount and the supervisor telling me he couldn't give me the information I was requesting. I asked the supervisor why I would have to pay the purchases made and payment due to avoid the interest charges. My assumption was that the payment due include the minimum payment that was due on the purchases so in effect I was paying twice. And back on XX/XX/XXXX I spoke with a rep to find out what I had to make as a minimum payment towards the transfer and was told I did not have to make anything towards it. 

I consider that not having any information on the statement telling the customer what amount has to be paid to avoid the interest charges to be false and misleading and the fact that their customer service group claims they can't give that information out or provide information that is apparently erroneous ( giving me a statement saying to avoid the interest charge is to pay the purchases made amount and payment due amount and then give me an amount to pay that is about {$60.00} more than what is on the XX/XX/XXXX statement. 

I consider this an attempt by this company and any other credit card company following similar practices to create the situation where people are hit with interest charges they would not normally have incurred and refusing to provide clear and simple answers to resolve the matter. 

Bottom line as I file this complaint, I don't know if the {$800.00} payment I made on XX/XX/XXXX will be enough to avoid interest charges on the account. It is higher than the {$660.00} that is the purchases and payment due amount and the {$710.00} and change the rep quoted me. That is not a position a customer should be in. 

I have copies of statements that support my claims and can be produced if required. However, the credit card company should have copies of my statements and payments.

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with monetary relief