Consumer complaint received 2022-10-19
Company: AMERICAN EXPRESS COMPANY
State: WA
Product: Credit card or prepaid card
Sub-product: General-purpose credit card or charge card
Issue: Other features, terms, or problems
Sub-issue: Other problem

Complaint:
This complaint is regarding American Express Company and my product is the XXXX XXXX XXXX Credit Card account. 

I signed up for a Plan It program plan for one of my purchases made XX/XX/XXXX for {$2600.00}. The monthly payment for this plan is {$210.00} with a {$0.00} promo fee ( fixed finance charge and no interest unless I don't pay the full adjusted balance each month ). After making other typical monthly purchases in XXXX I made early payments of {$1000.00} and {$160.00} to my card as usual to cover my regular monthly charges before my statement closes so my credit report will reflect the balance at {$0.00}. Unbeknownst to me, these payments were applied to the Plan It plan balance instead and I didn't realize it until just before the statement closed. The hierarchy of payments was not listed in any fine print or terms for the Plan It planthere was no indication how payments would be directed to Plan It plans if payments were made before a statement closing date and how it pertains to your other card charges. 

After several tries talking with customer service representatives at American Express I finally got someone on the phone that could help me and she refunded me so I could make the same payments again after the statement closing date ( so they would apply to my monthly charges, not the Plan It plan ). However, my recent statement for XX/XX/XXXX is showing that the charges for the difference ( taken out of Plan It amount ) for {$1000.00} and {$160.00} are being charged to me as regular monthly charges. My adjusted balance due XX/XX/XXXX is {$1400.00} when it should have only been the monthly Plan It plan payment of {$210.00} + my monthly charges/purchases which in this case is only {$5.00}. 

I called American Express on Monday evening XX/XX/XXXX after realizing this and spoke with XXXX who said there was nothing she could do and would have a supervisor call me back ( no one has called ). The next day, XX/XX/XXXX, I called again, spoke with XXXX, who then referred me to XXXX in the Plan It department. I explained the situation for the third time and that I needed my statement fixed. She couldn't help me and said all supervisors were busy and that a supervisor would call me back in 10-15 minutes. No one called. I also wrote on XXXX to XXXX XXXX asking if they could connect me with someone who could help. I wrote on XXXX and asked them to find someone who could help me. Both told me to call the number on the back of my card even though I had already done that twice. I called the number again that evening ( XX/XX/XXXX still ) and told the first person to please immediately connect me with a supervisor. They said none were available. I said I would contact the CEO and they said that a supervisor was suddenly available. They transferred me, and this person said I would have to speak to someone on the Plan It team ( again ) and transferred me. I asked that person to connect me with a supervisor. 

I explained the situation for the XXXX time in 24 hours and they said no one could help me and there was nothing they could do. Despite pointing out they created this mistake and did not determine detailed terms and conditions for Plan It, they said there was no way to fix the Plan It difference being monthly charges now. Despite the fact the previous person said I would speak to a supervisor, this person eventually said they weren't a supervisor and they could arrange for a supervisor to call me back. I said I have been told that several times and no one ever calls me back, even when the employee gives personal assurances ( this happened last month as well ). They also said a supervisor would tell me nothing can be done. 

The original agreement when signing up for Plan It was again, {$0.00} promo fee ( fixed finance charge ), no interest and monthly payments of {$210.00} over 12 months. The Plan It FAQs state that you don't pay any interest, instead " youll pay a fixed monthly plan fee for the duration of your plan that will be disclosed upfront. '' After they refunded my payments so I could pay again they immediately charged me for {$1000.00} and {$160.00} in my billing period ending XX/XX/XXXX. So if I don't pay the entire adjusted balance of {$1400.00} by the due date ( XX/XX/XXXX ) I will then be charged interest, despite the fact the Plan It is not supposed to charge interest unless you are late with payments. They did not reinstate the payment amounts into my Plan It plan ( they told me they couldn't do this a month ago, and now they are telling me those employees should have done so ). 

To emphasize the fact that American Express was not transparent in their terms, agreement or FAQ in how it applies payments, in my current statement they issued " Notice of Important Changes to Your Cardmember Agreement '', which includes " How we apply payments and creditsWe are adding additional information to this sub-section under About your payments in Part 2 of the Agreement ''. An explanation of what they told me the month prior then followed. 

This proves that they did not have this information in my cardmember agreement despite the fact that the customer service representatives insisted repeatedly they did. This lack of transparency and information in the agreement led to the issue of how my payments were applied ( and had I known in advanceand I combed through the terms, agreements and FAQs I would have handled it all differently ). Now due to their mistake AND how they tried to resolve it, I am being expected to suddenly pay over {$1400.00} or pay interest I wasn't expecting to pay ( because I make all my payments in full and on time ). 

I suggested they set up a new Plan It for the amount difference with a {$0.00} fixed finance charge, but was told they can't give me a promo offer to me anymore, even to fix their own mistake. So I would be a charged a fixed finance charge if they fix their mistake. 

I can not be expected to suddenly pay this or the interest when our original agreement was different, and they also did not inform me that if they refunded my payments I would have to pay a much higher adjusted balance in the next statement. Also, it is impossible to get help via customer service, whether over the phone or via Social Media. Chat is not available anymore and there are no other options to get help.

Company response to consumer: Closed with explanation