Consumer complaint received 2017-10-27
Product: Credit card or prepaid card — General-purpose credit card or charge card
Issue: Closing your account — Company closed your account
Company: JPMORGAN CHASE & CO. (MI)

***UPDATE *** On XX/XX/XXXX, I received the following explanation from Chase, however, in no way did this answer my questions. As their statement only confirmed my complaint. The Cardmember Agreement does state that use of the card is based on the acceptance of the agreement, and that you have the ability to not authorize a transaction, and that you may obtain a credit report for review. What the Cardmember Agreement does not state is that the account may be closed without notice for any information obtained from a credit report review. In fact, the Cardmember Agreement states the reasons for terminating the card and none of them are the reasons Chase Bank provided. Given that they have not abided by the terms of their own agreement and contract, they are in breach of the agreement and have committed fraud. 
We sent the enclosed letter dated XX/XX/XXXX,  with enclosures, about the closure of your account. We did not advise that the decision to close the account was because it was in default. As previously explained, the reasons we closed your account were due to : Rapid increase in revolving balances. Too many requests for credit or reviews of credit. Balances on accounts are too high compared to credit limits. This account is governed by the terms of the enclosed Cardmember Agreement, which says on page 1 that Your use of the account or any payment on the account indicates your acceptance of the terms of this agreement. On page 4, the section Authorization of Transactions / Closing Your Account states that We are not obligated to honor every transaction, and we may close or suspend your account. Furthermore, page 9, under Credit Information, states that We may obtain and review your credit history from credit reporting agencies and others. We are not able to reinstate your account or remove the reporting of the account to the credit reporting agencies. Additionally, we do not offer debt forgiveness. The enclosed copies of the last three statements show that you are making payments to this account. If you would like payment assistance, please call XXXX XXXX XXXX at XXXX. They are available Monday through Saturday from XXXX XXXX to XXXX Eastern Time and on Sundays from XXXX XXXX to XXXX Eastern Time. Unless you have additional concerns, we will not be responding to another request from you concerning the closure of the account. 
XXXX Update *** On XX/XX/XXXX, I received a packet of information from Chase regarding the closing of my account. All that was included was a duplicate of a letter they had sent along with a copy of the cardholders agreement. I have reviewed the cardholders agreement and Chase is in violation of the agreement. The default clause list why the account would be considered in default and closed, this account does not match that criteria. No payments were late, I did not exceed the credit limit, I did not fail to comply with the agreement, and there were no indications that I was " unwilling or unable to pay '' my debts " on time. '' Additionally, while the cardholder agreement does state that Chase may from time to time review my credit, it does not state that any information obtained during the credit review will be used to close or otherwise default the account. At this time Chase has still not attempted to make this right or abide by their own agreement. ***Original Complaint *** I opened an account with Chase in XX/XX/XXXX. I made charges to the card. On XX/XX/XXXX I checked my balance and found out that the card was closed. I called the bank to find out what happened, why the card was closed after 3 months. They said they did a periodic check on my credit and decided to revoke the card. Now, since I had opened the account, my overall credit card balances has gone down and my credit score up. Now that they closed the card without warning, my credit took a 14 point hit. They wo n't elaborate on what changed and they are refusing to make it right with the credit bureaus.