Consumer complaint received 2015-07-29
Company: AMERICAN EXPRESS COMPANY
State: NY
Product: Prepaid card
Sub-product: General purpose card
Issue: Managing, opening, or closing account

Complaint:
I had an American Express Prepaid REDcard. This card can be funded online using a checking account or a debit card, as well as in XXXX using Cash or debit cards. In XXXX XXXX, I was trying to add funds through American Express Prepaid REDcard website from my XXXX XXXX checking account ( ending in XXXX ), but I received an error message asking me to call American Express Prepaid XXXX Account Protection. I called the number and was informed that my Prepaid REDcard account was closed. I was first vaguely told it was because of violating Prepaid XXXX Member Agreement, and when I asked for further clarification I was told it was related to ACH activities and I should expect an email with further information. No other information was given to me over the phone and I was told that a supervisor or manager is not available. So I hung up, and while being surprised, waited for the promised email. Email showed up promptly and all the explanations it had was that my account was closed because activities were noticed that were in violation of sections XXXX and XXXX of Prepaid REDcard Member Agreement. I carefully read those sections of the agreement and could comprehend how activities on my account have been in violation of those terms. So I called Account Protection line again and this time after insisting that I need to talk to a supervisor, I was finally connected to a supervisor. He first told me the account was closed because they could n't verify my checking account information. I told him there is nothing with the checking account that can not be verified. It is a personal account solely in my name, it is already completely verified in American Express Prepaid XXXX website and I have been using this checking account without a problem, and they could have contacted me if they needed any type of further information. He told me about the emails they sent me asking further information, and I told they never sent me such an email about this issue. Looking on history of the account, the supervisor could n't find any track of an email that was sent to me regarding this issue, nor could he tell me what part of the information might have been needed for verification. Then he changed the story and told me that account activities were in violation of Prepaid REDcard Member Agreement. But when I asked him about which activities were in violation of Prepaid REDcard Member Agreement, after putting me on XXXX long holds he could n't come up with an answer and just told me some account activities were in violation of Prepaid XXXX Member Agreement, and advised me to go to Police if I need further information and initiate the process of asking for further information from there! 
So my American Express Prepaid XXXX account was closed for no clear reason, without any prior warning, without asking me for any information ( if they needed something ) and all I was doing with this account was completely within Prepaid REDcard Member Agreement. 
I have enclosed XXXX PDF files containing the Prepaid XXXX Member Agreement AND a copy of most recent bank statement for my checking account at XXXX Bank.

Company response to consumer: Closed with explanation