Consumer complaint received 2019-06-14
Company: DISCOVER BANK
State: MI
Product: Credit card or prepaid card
Sub-product: General-purpose credit card or charge card
Issue: Problem when making payments
Sub-issue: Problem during payment process

Complaint:
Around XXXX XX/XX/XXXX, I accepted an offer from Discover Card via their website to have my interest rate reduced. My understanding was that my interest rate would be reduced for a period of twelve ( 12 ) calendar months beginning XXXX XX/XX/XXXX and ending XXXX XX/XX/XXXX. As a condition of the agreement, it was my understanding that I needed to bring my account current and make an immediate payment. I made the payment amount as scheduled per the attached payment schedule. I believed that my payment due dates were now modified per the agreement such that they would now be due at the end of each month. 

My account was current as of XXXX XX/XX/XXXX and my understanding per the one-page enrollment confirmation I received was that I needed to have money in the account by the due date. I believed that the due date was no commensurate with the pre-scheduled payments. 

Around XXXX XX/XX/XXXX Discover attempted to make an ACH debit in line with the attached schedule. The debit was declined by my banking institution on XXXX XX/XX/XXXX. I would not become aware of the issue until Discover reported adverse credit history marking my XX/XX/XXXX payment thirty ( 30 ) days  past-due. 

Around the beginning of XX/XX/XXXX I contacted Discover and explained the situation to the customer service representative. He responded by telling me that he wished I would have entered into the interest rate reduction on the phone rather than online. Because the scheduled payment dates per the attached were not actually the due dates for my account, and that my payments we still due at the beginning of each month. What he additionally explained is that the interest rate is apparently reduced by increasing the amount of the first payments due on the payment schedule, effectively spreading a single estimated payment over multiple other payments. He then admitted that the system can sometimes assign a date at random that is not commensurate with the due date, but that when entering into the program over the phone, that option doesn't always exist. I explained to him that the practice seemed predatory and if as an XXXX   with advanced degrees I was fooled by the quantitative manipulation, I could imagine that others would be as well. I asked to be transferred to a supervisor and he obliged. 

The supervisor I spoke with identified herself as XXXX. My understanding was that I was speaking to her on a recorded line. I explained to her what my experience had been and how I was blindsided by the adverse credit history given the payment schedule. My payment was due XXXX XX/XX/XXXX and was returned XXXX XX/XX/XXXX -- it was therefore factually inaccurate to report my account as being thirty ( 30 ) days past-due. 

I further explained to XXXX that I was a XXXX XXXX and as such I am required to dispute any factual inaccuracies within my credit files with the CRAs. I told her that it I would rather solve the matter with Discover Card, than resort to disputing thru the CRAs. I explained that I had no idea that the due date of my payment was entirely different than the scheduled payment date and cited the payment schedule and letter I'd received regarding the modified payment schedule. I cited the prior representative I'd spoken with and his explanation that enrolling in the program thru the website didn't make what was going on clear. 

XXXX became defensive. She began yelling over and over again about how she and Discover Card would continue reporting the adverse credit history to the CRAs and that I was in violation of my card agreement. I tried to explain again how what I was being told by her didn't make sense. She continued to yell. 

I asked XXXX to transfer me to another supervisor that would be able to assist me further -- she refused, stating that " Discover Card '' internal policy would not allow her to transfer me to a supervisor. I asked again o be transferred to another supervisor and stated that I would be filing a complaint. XXXX again refused to transfer me to another supervisor. I informed her that I would be disconnecting the line and calling back XXXX continued to use every tactic possible to keep me on the line, berating me for being alleged violation of the card agreement. She continued to yell into the pone telling me that I could file a complaint against her all I wanted to and that Discover Card would continue to report the adverse credit history. I disconnected the line with her still yelling and me continuing to say " good-bye, ma'am. '' I called back within half an hour later. I explained to the representative what had just happened and additionally that I have never been treated so poorly by Discover Card in the fifteen ( 15 ) years I've held a card. This representative apologized for the ordeal, stated that she would take my complaint against XXXX and file it. She stated that I could be transferred upstairs to speak with a supervisor again. She stated that she didn't know why given the issues with enrollment within the program I was speaking of, and it being an issue card holders have raised before, that XXXX and I couldn't reach an agreement. She did offer at her level to apply a one-hundred dollars statement credit for my trouble. I declined, indicating my concern that such an offer would constitute satisfaction and accord with my ultimate concern being the adverse credit history. Ultimately I told the representative that I wasn't even sure I'd be keeping a credit card with the Card side of Discover Bank because of the interaction. I thanked the representative and disconnected the line. 

Around a month later I called Discover to inquire about the status of the complaint I'd filed. The representative stated that she could see where a complained had been filed against XXXX on my behalf. I additionally explained to the representative about the underlying issue and she too stated that I was not the only one to  complain about the program. I requested that a supervisor contact me regarding my experience. The representative update the information and acknowledged my request for a call back regarding the issue with XXXX. Six months later I have yet to receive a call from Discover regarding either my underlying concern or experience with XXXX. 

Discover Card touts its standing as the credit card issuer " Ranked Highest in Customer Satisfaction with Credit Card Companies as reported by XXXX. XXXX. '' Furthermore, in its prior advertising campaigns it touted its customer service in that " it treats me like I treat me. '' Let me clear in that no card holder should be treated like I was treated by XXXX. Furthermore, as a customer service supervisor I would not treat a long-time card holder in such a disrespectful manner. Lastly, given the issues that Discover Card apparently has with the APR reduction program, I would offer to remove the adverse payment history. 

Per the attached statements, the adverse history reported to the CRAs is inaccurate. The payment at the time was four ( 4 ) days late according to the payment schedule -- not thirty ( 30 ). 

If individuals like XXXX are whom Discover intends to keep around as supervisors to handle their customer service, especially with long-time customers, they might find customers leaving in droves -- it's happened with other banking institutions that use similar tactics, while purporting an understanding of what it means to serve. 

Whether in a personal or business sense, I know how I'd treat me with respect to the ordeal with XXXX, and with the broader APR reduction program and adverse credit reporting -- It would not be how I was treated by Discover Card. 

Finally, from a business standpoint, I would not allow someone such as XXXX to continue to work for Discover Card, or any of its affiliates such as Discover Bank, since that business involves branding that is in stark contrast to XXXX 's poor behavior -- she's bad for business.

Company response to consumer: Closed with monetary relief