Consumer complaint received 2022-07-24
Company: KEYCORP
State: ME
Product: Credit card or prepaid card
Sub-product: General-purpose credit card or charge card
Issue: Advertising and marketing, including promotional offers
Sub-issue: Didn't receive advertised or promotional terms

Complaint:
I opened an account with Key Bank on XX/XX/2022. The following week I received a pre-approval letter for a KeyBank Latitude Credit card, a transfer balance card. The letter said that I could place {$7800.00} of my high-interest credit card debt on this card and save money with 0 % interest for 15 billing cycles. On XX/XX/2022, I went into the bank to make a deposit and stated I had received the letter and wanted to apply for the card. The teller mentioned a 2 % Key Cashback credit card they were offering and I declined, stating I wanted the Key Latitude transfer balance card that was offered in the letter. She took my information and said the credit officer would call me either that afternoon or Monday morning. I stated that my acceptance of the card would depend on the amount I would be given because I had other offers for transfer balance cards and that I was trying to get rid of my high-interest rate cards. My credit rating at that time was XXXX. This was on a Friday morning. 

I did not receive a call and over the weekend I received an email stating that I had been approved, my card was in the mail, and I would be receiving it in within 4-5 business days. I went into the bank on Monday morning asking how that happened as I was expecting a call from the credit officer before accepting a card. I was informed that I was approved for the 2 % Key Cashback card for {$1000.00} at 22.74 %. I stated that was not the card I asked for and was expecting a call from the bank before the application was processed. I was told by my personal banker, that if I canceled the card it would impact my credit rating. She said there had been a miscommunication and that I could still apply for the Latitiude balance transfer card. I showed her the letter and she said it was interesting that there was no " offer code '' on the letter and just because it mentioned {$7800.00}, it did not guarantee that I would receive that amount. I reluctantly applied for that card and got a letter back the following week that I was qualified for {$1000.00} at 20.74 %. Not happy!!! 

I feel the pre-approval letter was misleading. I went into the bank to apply for the card in the pre-approval offer letter and was given a card that I DID NOT APPLY FOR at a very high rate and told it would affect my credit rating if I declined or closed the card. When I secondarily applied for the card that I had been pre-approved for, I was given a much lower amount than stated in the preapproval letter. 

I called the bank and spoke to my banker stating that I was not happy that I had RECEIVED A CARD THAT I HAD NOT APPLIED FOR, and when I applied for the card that I had pre-approved for, it was nowhere near the offer amount stated in the letter. I was told in the future to read the fine print because just because it said I was pre-approved and it mentioned an amount, I was not guaranteed to receive the amount stated in the letter. Again, my credit score was XXXX. 

I thanked her for the offer of credit but informed her that I would not be using either card as the rates were too high. I was looking for a transfer balance card to help me pay down my high-rate credit, not looking for another " spend '' card or seeking more credit. To date, I have not activated either onXXXX of the cards. 

Today, XX/XX/2022, one of the cards showed up on my credit report as a new line of credit, the Key CashBack Card. I have not activated either of these cards!!! 

I feel duped into applying for one card with a pre-approval letter, receiving a high-rate Cashback card that I did not apply for, and then when applying for the Latitude card in the pre-approval letter receiving a lower amount of credit than I was led to believe as stated in the pre-approval letter.

Company response to consumer: Closed with explanation