Consumer complaint received 2017-05-11
Company: U.S. BANCORP
State: IL
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:
On  X/XX/2017   , I spoke with  XXXX   XXXX   ( USBank ,  XXXX   XXXX   XXXX ,  XXXX  ), where I have a student checking account. We spoke on the phone, and I said that I was interested in applying for my first credit card in order to build my  credit score &  history.     I said that while I would be be graduating with my   XXXX  as a   XXXX    soon, and had substantial student debt, I wanted to begin to build  my credit score so th at some day I could purchase a house,  XXXX   XXXX , etc.     I stressed that the sole reason I was interested in applying for a credit card was to build my credit score. To that end, I wanted to submit an application with as much documentation and guarantee for a successful outcome as possible. I offered to provide proof of income, or even to bring a co-signer on board from the beginning, in order to decrease the chances of being declined. I stressed that my #  1  priority was applying for a reasonable credit card " without perks and fluff '', to maximize my chances of getting denied. I said this because it was, and is, my understanding that being denied for a credit card will negatively affect one 's credit report.      XXXX   XXXX  originally recommended some fancy Perks card. She was kind of pushy about it, going into detail about airline miles and cashback, even after I said twice that I did not want those things. I again emphasized that I was not interested in a fancy, benefits-laden credit card. Rather, I wanted something simple and low-risk, so that the underwriters would be more likely to approve it. I wanted to pay it off every month to build my  credit score,  just like my parents taught me. I 've never taken out debt for anything other than my education, and I was using this solely as a vehicle to build my credit.     I asked about secured cards, and she laughed and said we could do a lot better. That really stuck with me. She also insisted that it was unnecessary to delay the application even by a few days, in order to have it submitted with co-signers. She laughed at me again when I said that I thought I would need them to due a lack of credit history and my level of student debt. I again asked if she needed proof of income, because I had just received confirmation for my     XXXX   XXXX    position 's starting salary. She said no, that it was n't necessary. She explicitly led me to believe that a co-signer on the application, or a documentation of income, would not help my application much. I stressed that I wanted to do this right the first time. To that end, she informed me that as long as a revision to a denied credit card application were submitted within 45 days, my credit card score would not be harmed. I said I understood that part, but that I really, really did not want to be denied an application. She said that I had " nothing to worry about '', even after I told her my student debt level, my income level, and the value of my present assets.     She seemed so devoted and helpful. Even though the branch office proper had closed, she said I could come in and submit the paperwork right now. At the time it just seemed like she was trying to be helpful - I actually signed the paperwork standing up in the parking lot, after hours - now it seems quite suspect. I think I was pressured into that application, and that I signed it under false pretenses.     She called a few days later (  ~ X/XX/17   ) and asked me details about how I would be repaying my student loans during my  XXXX   XXXX . Said there was " nothing to worry about '' with my application, she just needed to fill out some paperwork.     Checked in a few days later with her by phone. I was surprised I had not heard anything back, because she originally said I would have an answer by    X/XX/2017     . So on   X/XX/17    , I asked what was going on. She said that there were some questions about my DTI ( debt to income ), and that it would help if I could provide proof of income. I said yes, and emailed it to her immediately. I was surprised that she wanted it now, because I had originally asked when I applied and she really passed off that concern. I said I was worried about this, and asked if I could include a co-signer. She said " no, you have nothing to worry about, it 's just a formality for the underwriters ''.     By this point I began taking down explicit notes of every conversation in a formal log, rather than just in my daily (  XXXX  's ) notebook.     That same date, a letter which I received a few days later denied my credit card application citing insufficient revolving credit history, and debt : income, despite my  credit score (     XXXX     XXXX , according to that letter ).     I called  XXXX  the day I received it (  X/X/17    ). She immediately launches into how I would need a cosigner. " But  XXXX , you said I did n't need one. You said I was a shoe-in for this, as a   XXXX    with a good  credit score  ''. She totally dismissed my concerns, and was solely focused on getting me to re-apply.     I told her that unless she had a different idea or a superior with whom I could speak, I would be coming in to close my checking account, because I did not trust her nor USBank. She was so focused on getting another credit card application submitted that she originally did not understand that I was no longer interested in doing business with her or the company she represents.     I then repeated what I said, and she originally said I was going to be charged a {$7.00} fee to close my checking account and take my balance out in cash!! I pointed out that this was not going to occur, that I do not pay money for my bank to give me my money. She put me on hold, and got an ok from the branch manager to waive that fee. She said she wanted to double-check details on the application and asked for a few days to speak with her branch manager, " to see if there 's anything we can do ''. She said they did n't want to lose me as a customer, and would pursue it.     I told her I 'd give it a week, and if she could not rectify this situation I would either escalate the situation with her superiors, or leave USBank, or both.     Since then I have spoken with the Asst Branch Manager (  XXXX ,     X/X/17   , X/X/17   ), the Branch Manager (  XXXX ,   X/X/17 , X/X/17  ),  and the Illinoi s District Assistant (   XXXX   XXXX   ,  X/X/17 , X/XX/17  ).   In each conversation, I said I could not believe that USBank, with whom my professional organization ( the  XXXX   XXXX   XXXX   )  has a professional agreement, would knowingly treat me this way. To coerce me with false information to submit a credit card application, then to prove correct my original suspicion that I would indeed need a co-signer, has been infuriating. They blamed it on the underwriters, but never once accepted responsibility for their employee 's outright lies to me.     I am now worse off than when I started. I have a stain on my credit report, when I sought to act responsibly and with due diligence in order to improve my  credit score .     They only offered me a secured credit card ( which  XXXX  laughed at me, she actually laughed at me on the phone when I asked about that ), or, the chance to re-apply within 45 days of the original application to avoid hurting my credit. But the problem is, I do n't trust them at all now. I have no confidence in USBank. Either their policies are bad and the employee/s have followed them, or the employees are bad yet the bank stands behind them.     Now I either need to stick with a bank I do n't trust to keep my  credit score  from getting slammed, or try it with another bank with my newly dented  credit score, o r just throw up my hands and put my money in a dented mattress with a newly dented  credit score.      It 's been very disappointing, and I 'm not sure they did n't break some rules or laws.     Tell your friends, and your  XXXX , to stay away from  USBank a nd their predatory lending practices.

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