Consumer complaint received 2024-06-26
Product: Credit card — General-purpose credit card or charge card
Issue: Trouble using your card — Credit card company won't increase or decrease your credit limit
Company: TRUIST FINANCIAL CORPORATION (TX)

Subject : Notice of Violations under UCC and Administrative Procedures Act Sales & Client Service Specialist at Truist Dept. 
TRUIST XXXX XXXX XXXX XXXX. 
XXXX, North Carolina XXXX Dear XXXX XXXX, I am writing to formally bring to your attention an issue regarding the recent reduction of my credit card limit for my account ending in XXXX. I received a letter dated XX/XX/year> from TRUIST informing me that TRUIST periodically conducts a review of the original creditors [ Myself, XXXX XXXX, a natural living person ] account [ without 45 days prior notice which is required according to the Administrative Procedures Act ]. TRUIST decided that they were going to reduce my credit card and they did this without even giving me the option to appeal the decision. My credit limit has been reduced from {$13000.00} to {$9000.00}. This action was taken without prior notice or a valid reason and thereby adversely affecting my credit profile [ No 3rd party credit reporting agency has anything from me with my wet ink signature verifying any of the info that is being reported, which is required by law before adding it to my credit profile to ensure accuracy ] and financial planning which resulted in several violations. It is stated in your correspondence that this decision may have been influenced by information on my credit report, which I have not verified. Additionally, I was not given prior notice regarding this action. Both of these actions are violations of the Uniform Commercial Code ( UCC ) and the Administrative Procedures Act.

Violation # 1 : As per UCC 1-304, every contract or duty within the UCC imposes an obligation of good faith in its performance and enforcement. The sudden and unjustified reduction of my credit limit without adequate notice or explanation is a breach of this obligation. 
The UCC 's requirement for good faith, defined in UCC 1-201 ( b ) ( 20 ) as " honesty in fact and the observance of reasonable commercial standards of fair dealing, '' was not observed in this instance. 

The reason given by TRUIST in the letter was that TRUIST used a scoring model provided by XXXX XXXX XXXX XXXX XXXX a privately owned company that DOES NOT have anything in writing from myself [ a natural living person ] giving my consent or permission with my wet ink signature on it, nor have I given TRUIST or XXXX my consent to share any information about my private contracts and agreements that have in fact negatively impacted me due to this unwarranted action. 

Violation # 2 : 18 USC 894 TRUIST and XXXX XXXX XXXX, XXXX are teaming up to conspire ( anyone who in secret, joins or teams up with another to jointly commit an unlawful act ) against me. 

TRUIST can not use any information that has never been verified by me and without my permission or without giving prior notice, to make decisions about my account. The account is with TRUIST. TRUIST DOES NOT own the account. 

Violation # 3 : This action is in violation of the Uniform Commercial Code ( UCC ), specifically in relation to adverse action notices. 

According to UCC Article 9, Part 6 ( Section 9-614 ), regarding the right of a debtor to receive timely notification of adverse action affecting their credit arrangements, TRUIST is required to provide proper notice of any adverse action taken on my account, including but not limited to the reduction of my credit card limit. 

The reduction of my credit card limit without appropriate and timely notification constitutes a violation of the aforementioned UCC provision. 


Ensure that any future adverse actions comply fully with UCC requirements, including providing adequate notice as stipulated in Section 9-614. 
Failure to comply with these requests will result in further action to protect my rights under the UCC. 

According to UCC Article 9, Part 6 ( Section 9-614 ), regarding the right of a debtor to receive timely notification of adverse action affecting their credit arrangements, TRUIST is required to provide proper notice of any adverse action taken on my account, including but not limited to the reduction of my credit card limit. 

The reduction of my credit card limit without appropriate and timely notification constitutes a violation of the aforementioned UCC provision. I request that Truist Bank : Ensure that any future adverse actions comply fully with UCC requirements, including providing adequate notice as stipulated in Section 9-614. 
Failure to comply with these requests will result in further action to protect my rights under the UCC. 

Violation # 4 : UCC 1-202. Notice ; Knowledge. According to UCC 1-202, proper notice must be given to the party concerned regarding any changes or decisions that may affect them. In this case, no such notice was given to me prior to the reduction of my credit limit. 

Violation # 5 : UCC 2-609. Right to Adequate Assurance of Performance. Under UCC 2-609, a party to a contract has the right to request assurance from the other party if they have reasonable grounds for insecurity. TRUIST unilateral decision to reduce my credit limit without verification or prior notice undermines this right. 

Violation # 6 : 5 U.S.C. 552. Public Information ; Agency Rules, Opinions, Orders, Records, and Proceedings. According to 5 U.S.C. 552, agencies must follow due process in their decision-making procedures. By failing to provide prior notice or the opportunity to verify the information on my credit report, Truist Bank has not adhered to the required administrative processes. 

Violation # 7 : 5 U.S.C. 706. Scope of Review. This section outlines the judicial review of agency actions, ensuring that all procedures are followed properly and rights are not infringed. TRUISTs actions are subject to review under this provision for failure to provide notice and verification, thereby violating the prescribed administrative procedures. 

Violation # 8 : UCC 1-304. Obligation of Good Faith. Under UCC 1-304, every contract or duty within the UCC imposes an obligation of good faith in its performance and enforcement. TRUIST 's actions, including the failure to verify the information on my credit report and the lack of prior notice, violate this obligation of good faith. 


Violation # 9 : 15 U.S. Code 1637 ( i ) requires creditors to provide a 45-day advance notice before increasing the APR or making other significant changes to the terms of a credit card account. This allows consumers time to opt-out of the changes if they choose. 

Violation # 10 : 15 U.S. Code subsection 1691 which is the Scope of Prohibition. That section defines the term adverse action as a denial or revocation of credit, a change in the terms of an existing credit arrangement, or a refusal to grant credit in substantially the amount or on substantially the terms requested. 

Me, myself and I { a natural person 1st } the original creditor { does have the right to incur debt and defer payment } per this code.