Consumer complaint received 2024-10-20
Product: Credit card — General-purpose credit card or charge card
Issue: Other features, terms, or problems — Other problem
Company: U.S. BANCORP (IN)

I am writing to file a follow-up complaint regarding XXXX  unsatisfactory handling of a fraudulent transaction on my account, which has contributed significantly to my current financial hardship. While XXXX eventually took action to resolve the dispute in XX/XX/year>, this response was both inadequate and excessively delayedparticularly considering the dispute was first raised between XXXX and XX/XX/year>. Fidelitys eventual resolution, while addressing the fraud, came far too late to mitigate the financial damage I have experienced as a direct result of their failure to act within a reasonable timeframe. 
Background I initially reported a fraudulent charge on my XXXX account in XX/XX/year>. Over the course of several months, I was given conflicting information, mishandled at various stages, and advised inaccurately about the steps I should take to resolve the matter. Multiple opportunities for XXXX to resolve this issue in a timely manner were missed, causing undue financial strain as I was forced to bear the cost of the fraudulent charge and associated interest. It wasnt until my complaints were escalated to both the CFPB and the Attorney General 's office that XXXX acted to resolve the fraud dispute in XXXX XXXX timeline that is entirely unacceptable given the nature of the claim and XXXX  fiduciary duties. 
Unsatisfactory Outcome While XXXX finally reimbursed me for the fraudulent charge, this outcome remains far from satisfactory. The months-long delay in resolving the issue has caused significant financial hardship in several ways : 1. Delayed Reimbursement : The prolonged period between when the fraud occurred and when XXXX reimbursed the charge meant that I had to account for the fraudulent charge while managing my regular financial obligations. Although XXXX ultimately handled the interest related to the fraudulent charge, I was still unable to pay off my balance in time due to the extended presence of the fraudulent charge on my account. This led to a ballooning balance during that time, which further compounded the financial difficulties. 
2. Interest Accrual on Legitimate Charges : While the fraudulent charge itself was eventually addressed, my inability to pay down the full balance in the interim resulted in significant interest accrual on other legitimate purchases. These charges would not have incurred such high interest had XXXX resolved the dispute promptly, allowing me to properly manage my balance. The ongoing interest accumulation on legitimate charges continues to worsen my financial situation. 
3. Credit Impact ( Potential ) : Though this situation has not yet resulted in missed payments or derogatory marks on my credit report, the rapidly increasing balance due to accrued interest has left me in a precarious position, making it increasingly difficult to manage payments going forward. If this situation remains unresolved, the risk of missed payments and a negative impact on my credit will rise, especially as the ballooning balance threatens to overwhelm my ability to make timely payments. 
XXXX 's Failures at Every Step XXXX 's failures at every step of this processfrom their mismanagement of my fraud complaint, to their lack of timely communication, and their disregard for the financial consequences their delays causeddemonstrates negligence and bad faith. The inordinate delay in processing the dispute does not excuse their responsibility, and a mere " resolution '' months after the fact is insufficient to address the harm caused. It should not take the involvement of the CFPB and the Attorney General for XXXX to act in accordance with their legal obligations. 
Ongoing Financial Hardship As a direct result of XXXX failure to promptly resolve this matter, I have been left in a financially precarious position. Specifically : The delayed reimbursement led to missed payments on other financial obligations, as I was forced to divert funds to cover the fraudulent charge. 
Multiple 0 % APR credit cards taken out during this period have since come due, leaving me with skyrocketing monthly payments that are impossible to manage. 
My business startup has also suffered significant losses due to my inability to manage the debt caused by XXXX failures, with first-year losses likely to exceed {$50000.00}. 
My financial position has deteriorated to the point where I can no longer qualify for a debt consolidation loan, which could have helped alleviate the escalating debt situation caused, in large part, by XXXX 's negligence. 
The current interest rates on credit card debt are far higher than historical averages, compounding my financial struggles and further preventing me from making timely payments.