Consumer complaint received 2024-10-29
Product: Credit card — General-purpose credit card or charge card
Issue: Problem with a purchase shown on your statement — Credit card company isn't resolving a dispute about a purchase on your statement
Company: DISCOVER BANK (CA)

I submitted 19 disputes on XX/XX/year>, initially thanks for promising with two of 11 looking like they're gon na be in my favor then something changed discovery was not transparent despite my daily colon, they refuse to knowledge my disputes being claims not billing errors and as such they we're asking the merchant to verify transaction data. They never acknowledged or gave clarification on. That's why there were such variances in policy and legislation that discovered shows to follow, setting many different numbers from three different sources. 

They cut my credit after a " routine " review which was right after I started calling in on my dispute, from XXXX to XXXX basically XXXX my XXXX. Not a good look. Then they proceeded to fraud alert my account into a non-usable status under the guise of security. 

Failure to escalate my dispute at request as I felt like I was being Stonewalled by the billing dispute department. They were just repeat the same rhetoric and not offer any explanation to the actual question of why they couldn't provide documentation, why they couldn't provide justification, and why they couldn't provide clarification. 

1. Credit Limit Reduction : Discover reduced my credit limit from {$4000.00} to {$500.00} during active disputes, causing an inflated credit utilization ratio that damaged my credit score and made it appear as though I was over my limit.

2. Misclassification of Disputes : By treating my breach-of-contract claims as billing errors, Discover shortened the investigation timeline, preventing a full and fair review and leaving my claims inadequately addressed. 

3. Failure to Submit 8 Disputes : Discover neglected to submit eight of my disputes without explanation, delaying resolution and exacerbating my financial hardship.

4. Restricted Access to Provisional Credits : Although Discover offered provisional credits, excessive fraud controls blocked or limited my ability to use these funds when I needed them most, impacting essential payments like rent and bills.

5. Bias from Merchant Input Reliance : Discover relied heavily on the merchants response for my breach-of-contract claims, which biased the outcomes against me by neglecting an independent investigation of my evidence. 

6. Timeline Compression : Discover applied a shorter billing error timeframe to my breach-of-contract disputes, compressing the allowable time and creating delays in processing that hampered a thorough investigation.

7. Failure to Shift Burden of Proof : Despite providing evidence, Discover did not shift the burden of proof to the merchant, placing an unfair and ongoing responsibility on me to continually validate my claims.

8. Reversal of Provisional Credit Without Explanation : Discover reversed my provisional credits without adequate justification, causing additional financial strain and creating instability in my available funds. 

9. Lack of Response to Documentation Request : Discover did not respond to my request for supporting documentation regarding their decisions. This lack of transparency limits my ability to verify the accuracy or fairness of Discovers actions. 

XX/XX/XXXX Event : Official submission of 19 disputes to Discover, totaling {$11000.00}. 
Action by Discover : Misclassified breach-of-contract claims as billing errors, resulting in shortened timelines and incomplete review. 


XX/XX/XXXX Event : Discover reduced your credit limit from {$4000.00} to {$500.00} amid active disputes. 
Impact : This reduction artificially inflated your credit utilization ratio, significantly harming your credit score and creating the appearance of an over-limit balance. 


XX/XX/XXXX Event : Realized that some disputes appeared unaddressed and initiated inquiries with Discover regarding the status of all submitted disputes. 
Impact : The missing disputes created concern over Discovers handling of the submission and raised transparency issues in dispute processing. 

XX/XX/XXXX Event : Sent a fax to Discover with supporting documentation to ensure that all XXXX disputes were captured and requested clarification on their processing. 
Impact : Attempted to confirm that Discover had properly recorded all disputes and requested further information to prevent mishandling. 

Throughout XXXX XXXX : Discover issued provisional credits but restricted access through frequent fraud alerts, effectively blocking usage. 
Impact : Limited access to provisional credits, impairing your ability to meet essential expenses, such as rent and bills. 

XX/XX/XXXX disputes 10 of 11 as they couldn't validate my claim. One of 11 I found it in my favor. Even though it was to their claim to be said that there was no contact with the merchant. 

XX/XX/XXXX Event : Sent a second fax with further documentation, also formally requesting escalation for unresolved disputes. 
Discovers Response : Discover did not provide escalation options, leaving disputes unresolved. 

XX/XX/XXXX Event : Sent a third fax with additional supporting documentation, again requesting information and a response from Discover. 


End of XXXX XXXX : Sent additional letters requesting documentation and justification for Discovers decisions on disputes. 
Discovers Response : Continued failure to respond or provide documentation, further impeding the resolution process.