Consumer complaint received 2021-05-18
Company: TD BANK US HOLDING COMPANY
State: IL
Product: Credit card or prepaid card
Sub-product: Store credit card
Issue: Problem when making payments
Sub-issue: Problem during payment process

Complaint:
This complaint is related to a Target Credit Card. I had been a customer for 13 years in good standing and regularly used the card and paid the bill on-time. Normally paid through the mail on a monthly basis. 

In XX/XX/2021, I submitted a payment using a checking account for XXXX XXXX Bank that had been transferred to XXXX XXXX. The new XXXX XXXX checks had not arrived so I used a XXXX XXXX XXXX check to make payment. The payment arrived at Target approximately 3 weeks late due to delays in mail being delivered. When received and opened by Target, the check was not valid due to account transfer to XXXX XXXX. They communicated with me via mail which took several weeks to arrive to me before I was aware my 1st payment had not processed. I was not aware of the 1st payment not processing until the following month when I sent a following month payment using the same checks. Finally after this 2nd check was sent and tried to cash which did not go through, I was able to set-up autopay and have the account autopay and reconcile all previous payment errors and late charges were waived by Target. I was under the impression that all was resolved as they had waived late fees and seemed to understand that the delay in mail was their responsibility and that the transfer of the checking account from XXXX XXXX XXXX to XXXX XXXX was an extraordinary situation that had been resolved with setting up monthly autopay. 

A week later I received a correspondence that stated my account had been closed due to returned payments. This was one of my largest and oldest credit lines that had really established a strong payment history for my credit bureau profile. The closure of the account negatively impacted my credit score by approximately 50 points for both the credit line and the length of time I had the account. Once I realized this had happened, I called Target and they said this was an auto decision that could not be reversed/reinstated and that they were sorry. They suggested that I try to open a new account. I was very disappointed that they could not reinstate my account as I had been a loyal customer for 13 years and this account had really helped to establish my credit and was used regularly. I will not be opening a new account with them. 

What I would like is for them to look at the full picture of my account and not just the past two months that in my opinion was some their fault and some due to the process of transferring checking accounts from bank to bank. I would like to reinstate my account to its previous status, which is what I asked that they do when I spoke with their customer service. It was an honest situation that I am sure happens to many customers when banks purchase other banks. It was not a situation that happened regularly with my account to try to play the float game. The old bank checks can become stale and with the delay in mail and only communicating with me about the situation via mail that seemed to really slow down the process to resolve. Then, even when I felt the situation had been resolved, they went ahead and closed my account without my knowledge. 

Thanks in advance for your assistance with this matter.

Company response to consumer: Closed with explanation