Complaint sub-issue: Account status incorrect

Consumer Financial Protection Bureau RE : Account Type, Line of Credit Account No. XXXX Key Bank, Headquartered in XXXX, OH, subsidiary of KeyCorp Date Opened XX/XX/XXXX Status : paid, closed Sir/Madam : I write to request that the negative reporting associated with the above account be redacted in full. The line of credit account was opened with XXXX XXXX Bank in support of a checking account ( Account No. XXXX, now closed ). The purpose of the line of credit was to supplement the checking account. 

I closed the checking account in person sometime between XXXX and XXXX with XXXX XXXX Bank, the account was in good standing at closure with no balance due. At that time as well, I enquired from the account manager what if anything should be done with the line of credit account, as it was no longer needed due to the closure of the lead ( checking ) account. The individual told me that that there was no need to close the select credit account separately, adding that the select credit account would essentially become dormant in response to the closure of the lead ( checking ) account. The select credit account at the time of the inquiry was in good standing, with full credit available and no balance due. There was no use of the accounts following. 

XXXX XXXX Bank was subsequently acquired by Key Bank sometime between XXXX and XXXX. 

During that time ( as well ), I relocated to various residences, until purchasing a home in XXXX NY. I never received notice from Key Bank concerning their acquisition of XXXX XXXX Bank and/or their acquisition of my corollary account ( s ). Nor did I receive any notice of balance and/or payments due ( though such an occurrence would be unexpected due to the prior closure of the checking account with XXXX XXXX ). 

Fortunately, I happened to check my credit report sometime in XXXX, and noticed consecutive late payments being reported from Key Bank beginning from XXXX of XXXX through XXXX of XXXX for the select credit account. I immediately contacted Key Bank and paid what Key Bank alleged was due in full ( {$100.00} ).

The negative reporting, however, has continued. 

I then met in person with a Personal Banker for Key Bank at the XXXX, NY branch on XX/XX/XXXX. After consulting with Key Banks internal Bank of Answers, she discovered that the checking account ( Account No. XXXX ) was assessed with a {$10.00} Return Statement Handling Fee in XXXX of XXXX. The XX/XX/XXXX return statement handling fee initiated an overdraft advance of {$50.00} from the select credit account ( Account No. XXXX ). The advance from the select credit account mushroomed into two consecutive late payments of {$25.00} each, applied in XXXX and XXXX of XXXX to the select credit account. Please see XXXX Statements for checking and select credit accounts, attached hereto as as Exhibit A ( showing assessment of {$10.00} Return Statement Fee, and corresponding {$50.00} draft from select credit account ). The statements were provided to me by the Personal Banker on XX/XX/XXXX. 

As an initial matter, I note that the closure of the checking account with XXXX XXXX prior to their acquisition by Key Bank should have stopped all activity on the account, to include the mailing of statement by the heirs or future owners of XXXX  XXXX ( i.e., Key Bank ). 

Moving beyond the issue of the prior closure of the checking account, I was not a party to the acquisition of XXXX XXXX by Key Bank. As such, I never agreed to the new terms imposed by Key Bank, to include the imposition of a {$10.00} return statement handling fee. Indeed, there was no meeting of the minds, or agreement concerning the assessment of return statement fees between myself and XXXX XXXX  successor, i.e., Key Bank. Thus, the {$10.00} return statement fee accessed by Key Bank was not a true debt owing in the contractual sense, this in turn renders the corollary and subsequent draft from my select credit account and the late fees potentially erroneous.

Here, the fourteen ( 14 ) or more consecutive late payments that are currently being reported from this account ( select credit ) has a significant negative impact on my credit and does not equate fairly with the circumstances which gave rise to the negative reporting.