Consumer complaint received 2020-09-27
Company: AMERICAN EXPRESS COMPANY
State: NJ
Product: Credit card or prepaid card
Sub-product: General-purpose credit card or charge card
Issue: Closing your account
Sub-issue: Company closed your account

Complaint:
Dear CFPB, I'm writing to enlist your help with a major problem I am facing. Recently, I've had two American Express Platinum Cards Cancelled without any notice, via mail, email, etc. I've been a member in good standing for over 20 years. My recent credit limits ( two cards ) was nearly {$18000.00} and another {$35000.00} " Pay as You Go '' credit limit. Both accounts have zero balances! I did not ask AMEX for help during the pandemic even though my business and family have been severely impacted, instead, I've used our savings and credit cards to make ends meet. 

The issue which caused this nightmare was a returned payment ( paid the next day in full ) due to an inadvertent oversight on my part. 

I changed banks from XXXX - to a local bank that helped us process our XXXX application and funding. Our banking relationship and our operating account are now with them. I updated the AMEX payment interface with the new bank account but I forgot to delete the old XXXX account which was the default bank account for all payments for years. When I made our last payment, approximately {$5000.00}, it was returned NSF as I had transferred the funds to our new bank. The next day, I immediately reprocessed the payment using our new operating account and it was paid. I have XXXX balances on both cards. I logged on two weeks ago to find that both accounts were canceled. No warning, nothing in the mail, no email, nothing! I logged in to my AMEX account one morning and I was devastated to see both cards were canceled. 

The cancellations caused my credit utilization to rise over 90 %, naturally, my credit rating took a dive to XXXX. I tried reinstating my personal account last week, via customer service, and it was denied. Guess why? Low Credit Score and High Credit Utilization! 

I have no idea what to do. You can't get to anyone with any authority to actually review the situation and make an informed decision. You can only ask for reinstatement, hope for the best, if denied, then ask again. I'm worried about payroll, our clients, and vendors. I've paid vendors via AMEX for years and due to the cancellation, they had to wait to get paid through a personal credit card I luckily had available. 

I've always used AMEX for everything, I always paid, and the use of the cards have become part of our business processes. I don't know what else to do, the stress is overwhelming and AMEX shows no sign of doing anything, even after I wrote the CEO directly and he responded that " someone in his department would contact me '', I received an email and nothing else, I've even called the department directly, still nothing, and it's been a week. 

Initially, I was told the following from AMEX. 

AMEX REP : " Mr. _____ we know how hard things have been during the COVID Pandemic and we are here to help, let us look into the issues. In the meantime please know that we can help by waiving membership fees, monthly fees, lower interest charges, and even offer payment holidays '' On the AMEX site, they are clear about helping those in need during the pandemic. 

AMEX SITE : If you are experiencing financial difficulties due to the effects of COVID-19, please get in touch with our Customer Care team to discuss your situation by calling the number on the back of your Card. Together we will work to find a solution for your particular situation, which could include waiving late payment fees and a payment holiday. 

LETTER TO AMEX CEO : Dear XXXX XXXX, I'm writing respectfully, in desperation that you'll be able to help me or connect me with someone that can help save my business by reinstating my Platinum accounts ( both in good standing with XXXX balances ) that were abruptly canceled without any notice from Amex which has devastated my credit rating ( over XXXX points ) and any hope of closing the funding needed to save our company. 

I've been an American Express fan and Platinum Cardholder for close to 20 years, I was even a Centurian member for three years ( XXXX ). Over those twenty years, our AMEX spend ranged from $ XXXX {$40000.00} per month, it was certainly well over $ XXXX in total. 

I love AMEX and used it exclusively! In fact, your company enabled me, via AMEX points to send my cousin to XXXX on two separate occasions, to pick up her adopted daughters. First-class round trip! I can't tell you what that meant to my family and how it made me feel about AMEX. 

That was over ten years ago, and things have drastically changed. 

In the middle of the biggest fight of my life, steering our company through this insidious, destructive COVID Pandemic, Amex decides NOW I'm not a suitable customer? How could this happen? 

I've tapped our savings and personal credit cards to make ends meet. I trimmed salaries but I haven't let anyone go, because I was confident that I would secure the funding needed to get back on our feet, but now it's all in jeopardy. 

Due to the cancellation of my AMEX accounts, my credit utilization jumped to over 90 % and my credit rating ( FICO XXXX ) is XXXX and my XXXX score is XXXX! You don't need to be a credit analyst to know what's coming and it's not good. 

I'm still stunned, I'm angry and confused, but most importantly, I don't know what to do. What do I do? 

This will destroy us without intervention by someone at AMEX. I know you're extremely busy and if it wasn't for the extremely unusual circumstances I wouldn't need help, but I do, desperately. I don't expect a personal phone call, although it would be a nice touch and a stellar PR move : ), but can you please have someone, anyone that can help contact me? 

Thank you and I'm sorry about the novel. 

Respectfully, XXXX I don't want or need AMEX 's help waiving fees, etc., I just need our accounts opened so our business can function as usual without the stress on cash flow. Our clients are late paying so the 30-day term we had to pay AMEX is critical for us. We're getting by with major sacrifices by my staff, my family, and myself. 

Any guidance would be greatly appreciated. BTW I have never in 20+ years of owning my own business, I have never complained to anyone about anything, but I don't know what else to do. 

Thank you for all you do at the CFPB. Please let me know how I can help. 

Best Regards, XXXX

Company response to consumer: Closed with non-monetary relief