Consumer complaint received 2018-05-29
Company: TD BANK US HOLDING COMPANY
State: MA
Product: Debt collection
Sub-product: Credit card debt
Issue: Attempts to collect debt not owed
Sub-issue: Debt was paid

Complaint:
On XX/XX/XXXX I enrolled in automatic maximum recurring payments to my TDBank Credit Card from my checking account, also with TD Bank. On XX/XX/XXXX I called TD Card Services   and asked to be unenrolled from the automatic max payment. The customer service rep told me because I had opened up the account at a branch I would not be able to do this online and he applied a stop payment in order to stop the recurring max payment. From everyone Ive talked to since, this was an error on his behalf. He should never have used a stop payment in order to stop the recurring payment. Because of his error, every month following the max recurring payment continued to go through. The payments were taken out of my checking account and replaced 24 hours later. Despite repeated attempts to have TD Bank fix this problem, they continued to take the full payment. I was simultaneously making payments via electronic transfer from my TD Bank Checking account. Each one of these electronic transfer payments were credited successfully towards the balance. This resulted in overpayment of the account on multiple occasions. On XX/XX/XXXX, I received a letter from TD Card Services informing me my charging privileges had been revoked and I needed to pay the balance in full. On Tuesday the XX/XX/XXXX I called customer service and was told several things. I no longer had access to my account and my balance was {$3900.00}. The charging privileges had been revoked due to ten stopped payments on my account. I explained that the stop payments were applied in error by TD Bank to stop recurring max payments. They advised me to go to the branch where I opened the account and have them call TD Card Services and/or fax a letter stating that the stop payments were applied in error. On Saturday, XX/XX/XXXX I went to the TD Bank branch where I had opened my checking account and issued the credit card. They called card services, handed the phone back to me, and had me explain the whole issue. My account went into a formal account review process and they sent no fax. On Monday, XX/XX/XXXX, I received an automated phone call telling me that the account review had been completed and that I still needed to pay the balance in full. There were over 18 phone calls made since, one which included the branch manager of the TD store and a TD Card Services rep, who all agreed my payments had been made and the stop payments were applied in error, but nobody could reopen the account. They all agreed the easiest thing to do would be to pay the balance in full and reapply for a new account. On Saturday, XX/XX/XXXXI knew I would have a payment due. I called and asked to make a payment over the phone so I would at least avoid late penalties. TD Card Services  explained they would only accept a payment in full on the account. I asked what would happen if I made no payment and asked for a second corporate review in writing and was told my account would be sent to collections and my credit score would be damaged. I asked if the account would be reopened if I paid the balance in full and was told no. I was told that in order to maintain my excellent credit I would need to reapply for a new card after paying the account balance in full. I asked about redeeming the XXXX Rewards Points on my account ( the equivalent of {$510.00} real American dollars ) and was told I would be unable to redeem those points because of the credit revoked status on the account. I paid the full balance of {$3900.00} from a savings account with a separate institution. The payment was not immediately applied because it was an electronic transfer ; on Tuesday, XX/XX/XXXX another recurring max payment was made from my checking account in the amount of {$1500.00}. It was replaced the following day. Currently the account is inactive. I have reapplied for a different card, but I would like compensation for the time and hardship this has been for the past eleven months. For three days out of every month my checking account was overdrawn and I was unable to access my own money due to the ineptitude of the TD Card Services  Rep who placed the stop payments on my account in error. I would like my rewards points back and a review of my credit score to make sure no harm was done because of the massive errors on behalf of TD Bank, if not the reopening of this account. I paid less than {$23.00} in interest on this account and I would like a review of that because I believe I paid this account off in full every month. I dont think I should have been threatened into re-appying for a new card with TD Bank before anyone had resolved the problem on my credit revoked account. This should fall on them. In a rough estimate I have spent at least 5.5 hours on the phone and another 5 in person attempting to solve this problem with zero help from anyone at TD Bank.

Company response to consumer: Closed with monetary relief