Consumer complaint received 2017-10-28
Company: BARCLAYS BANK DELAWARE
State: VA
Product: Credit card or prepaid card
Sub-product: General-purpose credit card or charge card
Issue: Fees or interest
Sub-issue: Problem with fees

Complaint:
Two years ago, I heard from a fellow military officer that  Barclaycard was offering generous benefits to current XXXX XXXX service members who apply for their XXXX XXXX XXXX XXXX XXXX XXXX ( part of their Luxury Card line ). These benefits included waiver of the annual fee and 0 % interest on any card balances for the duration of XXXX XXXX service. I contacted the Barclaycard military  phone number and spoke to a representative, who confirmed that these benefits were provided as a goodwill for XXXX XXXX service members. He advised me that if I decided to apply for the card, I would need to call him back to provide proof of current XXXX XXXX service. I applied immediately online, was approved and called him back. He requested that I fax a copy of my current Leave and Earnings Statement ( LES ) to provide proof of current XXXX XXXX military service. I faxed this to him and my service was verified. I received a letter in the mail, from Barclaycard confirming extension of the aforementioned goodwill benefits and thanking me for my service. I was impressed by the generosity of the company and proceeded to use my card regularly with monthly transactions averaging {$1500.00}. 

I was surprised to receive a letter in early XXXX stating that my account was ineligible for benefits under the Servicemembers Civil Relief Act ( SCRA ) because my account was opened after I was already on XXXX XXXX. This was odd, because the benefits discussed during the opening of my account were referred to as " goodwill '' and SCRA was never mentioned. Further, I reiterated on multiple occasions that I was currently on XXXX XXXX and the Barclaycard representative requested verification of that status before extending the goodwill benefits for my service. Thus, Barclaycard already knew that I was on XXXX XXXX at the time that the goodwill benefits were extended. 

The same letter noted that the annual fee waiver would no longer be extended and payment of the annual fee would be required if I desired to keep the account open past XXXX XXXX, XXXX. Interest on any balances would remain at 0 % regardless of whether I decided to close the account or keep it open. 

Barclaycard 's actions represent a significant breach of trust and integrity with an XXXX XXXX military customer. To suddenly withdrawal generous goodwill benefits that were offered for the duration of XXXX XXXX service, and to mask such actions as a misunderstanding of SCRA benefits, is unacceptable. This places me in a precarious situation where I face the decision of closing the account, at significant impact to my credit score, or keeping it open with while paying an annual fee that far exceeds the benefits of the card, as compared to similar products offered by competitors. 

Barclaycard 's actions, as of XXXX XXXX, XXXX, may also  violate the Military Lending Act.

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 explanation