Consumer complaint received 2021-09-22
Company: DISCOVER BANK
State: CA
Product: Credit card or prepaid card
Sub-product: General-purpose credit card or charge card
Issue: Getting a credit card
Sub-issue: Application denied

Complaint:
XXXX XXXX XXXX XXXX. XXXX XXXX # XXXX XXXX XXXX, CA XXXX SS # last XXXX XXXX XXXX XXXX, President US Card Discover Financial Services XXXX My hard-earned, rehabilitated ( over the past eight or so years ) credit-worthy credit profile reflected by my FICO score on XXXX was decreased yesterday by nine points due in part to Discovers rejection of my application for a new opportunity for a credit card from Discover Financial Services. 



Like most Americans in XXXX, I personally experienced some troubled times financial ( crisis in XXXX ) and it reflected badly on my credit profile and creditworthiness. However, I have worked hard to restore my credit profile as being excellent and as yesterday my FICO score on XXXX was XXXX. 



However, Discover Financial Services has retaliated and discriminated against me by failing to issue me a card a new account to start over like everyone else in America. You declined to issue a card even though my FICO score was XXXX. You also knew that the credit inquiry stays on my credit profile for 25 months. And further, you know that if no account is established and no card is issued by Discover Financial Services that the inference is that it was declined by Discover and it was. Further, it is a surreptitious, and underhanded way of signaling to other potential credit grantors that no card was issued to this person with a FICO score of XXXX. So, you ( credit grantors ) should not extend credit to this individual either. 



Moreover, you have solicited me for my business through numerous mail solicitations ( to the point that I had to write a letter to ask you to stop ) for me to open up an account with Discover when I knew I was not ready, even though my credit score and personal finances were ready to handle a new card with Discover.

I wanted to wait and get stronger financially and I am now.

However, to be candid the only reason that I apply for a card from Discover was my creditworthiness profile was matched up with Discovers creditworthiness criterion. 



I would like to amicably resolve this problem by Discover Financial Services removing the credit inquiry from my credit profiles on any and all credit reporting bureaus today. 



Thank you for your cooperation. 



Sincerely, XXXX XXXX Please see the attached support information. 


XX/XX/XXXX XXXX Executive Office of Customer Advocacy On XX/XX/XXXX, I received a letter from Discover Financial dated XX/XX/XXXX. Application Number XXXX XXXX When I received and read it, based on your email to me dated XX/XX/XXXX, I took it as an oversight on your part. 

My overall credit utilization ratio is below 30 %. I keep it below 30 % to maintain an excellent credit score. 

As of XX/XX/XXXX, XXXX XXXX XXXX XXXXnstallment loan ( auto loan ) reported over 11-year history of Paid Exceptional. ( XXXX ) The amount ( about {$18000.00} ) owed on revolving accounts is not too high based on my demonstrated ability to pay more than the required minimum payment each month on every account over an extended period of time ) and my income. 

On XX/XX/XXXX, Discover Financial made a hard inquiry as a normal course of business to determine whether to extend credit to me. However, Discover counted their inquiry own against me when evaluating whether to extend credit. That impacted my credit scores and thats 100 % wrong!

Moreover, of the multiple ( 4 ) hard inquiries ( one being Discover Financial ) on my credit profile report in the past 12 months.

Two of those inquiries are from the same mortgage lender for the new home that I purchased and closed escrow on XX/XX/XXXX, which are technically and essentially XXXX hard inquiry. And the following is the reason why. 

In XX/XX/XXXX, I entered into an agreement to purchase my new home from my sister and arranged to have the mortgage finance by XXXX  XXXX XXXX, managed by XXXX XXXX. And everything was fine, and we were ready to close escrow when my younger sister unexpectedly passed away in XXXX, leaving the family devastated. 

As noted, the purchase was in escrow ready to go with deposited funds in escrow, and a loan commitment from XXXX XXXX. I was committed to going forward with the purchase. 
However, I had to wait for the expedited approval from the probate judge which was granted in XXXX. In the interim in XXXX XXXX Solutions placed another hard inquiry on my credit profile which is now affecting my FICO score. 

At this point, my new home must be completely rehabbed, and I am starting that process by using my creditworthiness to apply for a XXXX XXXX credit card from XXXX to fix up the property. I was approved however my FICO score was decreased by 9 points today. When I apply the same day for a card from Discover I was declined, and my credit score decreased 9 points. My credit profile through no fault of my own was adversely impacted by Discover Financial. 

In reality, there should be only three hard inquiries ( one being Discover Financial ) on my credit report in the last 12 months.

Two to three inquiries on my report are not excessive in 12 months. One being Discover Financial and the other being my mortgage lender. 

A point of fact : For XXXX Americans, and particularly XXXX American women, it is one of the most important factors in establishing a level playing field in XXXX which have traditionally discriminated against XXXX Americans in all manner of things. 

You know and I know that XXXX Americans were/are still being systematically discriminated against when it comes to accessing credit. 

Were traditionally cut out of the normal channels of accessing credit for the purchase of the home for mortgages, and for business formation, for installment loans, and for an automobile loan, or for any type of loans for anything without paying higher interest rates compared to our white counterparts in another section of town. 

Sincerely, XXXX XXXX XXXX. Please see the attached XXXX Report Summary and Court Order

Company response to consumer: Closed with explanation