Consumer complaint received 2024-10-23
Product: Credit card — General-purpose credit card or charge card
Issue: Getting a credit card — Application denied
Company: AMERICAN EXPRESS COMPANY (FL)

Subject : Formal Complaint of Discriminatory Practices in Credit Card Denial by American Express RE : American Express XXXX Credit Card XXXX American Express XXXX : American Express Company, XXXX XXXX XXXX, XXXX XXXX XXXX, XXXX XXXX, NY XXXX Transaction Date : XX/XX/year> Amount Applied For : Open ended To the Consumer Financial Protection Bureau ( CFPB ), I, XXXX XXXX, hereby file this formal complaint against American Express for unlawfully denying my application for an American Express XXXX Credit Card. The decision to deny my credit application was based on my credit score and prior financial history, despite my demonstrated ability and capacity to contract, comply with lawful tender under the Federal Reserve Act, and my adherence to all necessary legal requirements. This decision constitutes discriminatory treatment and violates several state and federal statutes aimed at protecting consumer rights.

1. Violation of Equal Credit Opportunity Act ( ECOA ) American Express denied my credit card application based on my credit score and alleged " negative entries. '' Under the Equal Credit Opportunity Act ( ECOA ) ( 15 U.S.C. 1691 ), creditors are prohibited from denying credit on discriminatory grounds, including age and irrelevant financial history that does not directly affect the transaction in question. ECOA mandates that all credit applicants are entitled to fair and equal treatment when applying for financial services. However, by relying exclusively on a biased XXXX XXXX metric, American Express has denied me equal access to financial services. This decision not only disregards my demonstrated ability to contract, but it also constitutes age-based discrimination in violation of federal law. 
XXXX. Discriminatory Practices in Credit Issuance The reliance on arbitrary credit scores for credit card approval is an inherently discriminatory practice that disproportionately affects individuals with lower credit scores, many of whom face such challenges due to temporary or unrelated financial issues. This violates the principle of equal access to credit. Florida Statute 559.72 ( 3 ) under the Consumer Collection Practices Act ( CCPA ) expressly prohibits the use of deceptive or unfair trade practices in the denial of financial services. By denying me a fair opportunity to obtain credit, American Express has engaged in such discriminatory practices in direct violation of this statute. 
XXXX. Violation of Federal Reserve Act XXXX. XXXX ( 1 ) and ( 2 ) In addition, I complied fully with XXXX XXXXXXXX ( XXXX ) and ( XXXX ) of the Federal Reserve Act, which regulates the issuance of credit and credit card applications. My lawful tender of application and adherence to the Federal Reserves policies on creditworthiness were entirely disregarded by American Express. The bank 's failure to process my application in accordance with federal credit laws is a direct violation of these provisions, and demonstrates discrimination based on my financial history in violation of my rights to fair access to credit. 
XXXX. Failure to Acknowledge the Consumers Right to Negotiate Terms As a consumer, I have the legal right to negotiate the terms of any credit or loan transaction that does not align with my needs or financial position. This is a fundamental right under contract law, which governs all financial transactions. American Express 's refusal to engage in a fair and open negotiation of terms reflects a broader disregard for my right to be treated as a contracting party with the capacity to engage in financial agreements. 
By denying my application outright and failing to explore alternative terms or solutions, American Express has obstructed my right to negotiate, in violation of the Truth in Lending Act ( XXXX ), which requires fairness, transparency, and the opportunity for consumers to understand and negotiate the terms of their credit agreements. 
XXXX. Failure to Recognize My Capacity to Contract My capacity to contract is a key element in this matter, as American Express has disregarded my lawful standing to enter into a valid credit agreement. Under basic contract law principles, the capacity to contract is defined as the legal ability to enter into binding agreements. I have demonstrated my ability and willingness to engage in such agreements by fully complying with the legal standards governing credit applications, including the submission of lawful tender under the Federal Reserve Act. Therefore, the denial of my application, despite my clear ability to contract, constitutes an unlawful obstruction and discriminatory practice.

6. Right to Redress and Non-Discriminatory Credit Services I am seeking redress for the unlawful denial of my credit card application and for the discriminatory practices that led to this decision. Under Florida Statute 501.204 ( Florida Deceptive and Unfair Trade Practices Act ), consumers are entitled to non-discriminatory financial services. I request that American Express immediately reconsider my application and engage in a fair negotiation of credit terms, evaluating my full financial capacity and removing any discriminatory reliance on arbitrary credit scoring systems. 
Conclusion and Request for Redress I respectfully request the following actions from the CFPB : Investigation of American Expresss discriminatory practices in denying my credit card application based on biased credit scores and failure to recognize my right to contract and negotiate fair terms. 
Reconsideration of my credit card application by American Express under terms that align with both state and federal consumer protection laws, including the opportunity to negotiate alternative terms. 
A full review of American Expresss compliance with the Federal Reserve Act, Equal Credit Opportunity Act, and Truth in Lending Act to ensure they are adhering to their obligations to provide non-discriminatory and fair access to credit services. 
Should this matter not be resolved, I reserve the right to pursue further legal remedies, including filing complaints with the Florida Department of Financial Services and taking legal action to protect my rights as a consumer. 
Thank you for your attention to this important matter. I look forward to a prompt resolution.