Consumer complaint received 2024-08-29
Product: Credit card — General-purpose credit card or charge card
Issue: Getting a credit card — Application denied
Company: AMERICAN EXPRESS COMPANY (VA)

On XX/XX/year>, I received an offer from American Express ( AMEX ) inviting me to apply for " The Blue Business Cash Card '' via phone or their website. In response to this offer, I contacted AMEX by telephone to proceed with the application. During this call, I was instructed to provide all necessary information for the application, including my business name, Employer Identification Number ( EIN ), business address, as well as my personal identifying information. As requested by AMEX, I provided consideration, my full name, Social Security Number ( SSN ), and Date of Birth. 

Upon receipt of this information, the AMEX representative acknowledged the submission but subsequently informed me that, based on their assessment, I was deemed more suitable for the Gold Business Card rather than the Blue Business Cash Card. Consequently, the representative submitted an application for the Gold Business Card. 

Following the submission, I was informed that AMEX had declined my application. I immediately objected, asserting that AMEX 's solicitation specifically offered the Blue Business Cash Card without any indication that my eligibility was contingent upon qualifying for an alternative product. I further contended that AMEX has a legal obligation to fulfill the initial offer upon the receipt of all required information. 

Moreover, I expressed concern that during this transaction, I provided sensitive personal and business information, which holds significant value, based on AMEX 's offer. This information could have been securitized without my authorization. I also noted that an active fraud alert is on my account due to prior identity theft, which should have prompted AMEX to verify the information, as mandated by the Fair Credit Reporting Act ( FCRA ). AMEX failed to verify the information despite the active fraud alert. 

By law, I am entitled to the fulfillment of the original offer presented to me. As the beneficial owner, I seek to retain all interest and proceeds, whether expressly stated or implied. Despite my objections, the representative indicated that no recourse was available. Reference # XXXX I am fully prepared to advance this matter. I have reviewed the AMEX Indenture Agreement, as well as Form XXXX and Form XXXX filings, which provide substantial evidence supporting my claims. Additionally, I have consulted various other relevant sources. 

An offer by law Offer is part of contract negotiations where a party agrees to do or not do something in exchange for consideration. An offer must be stated and delivered in a way that would lead a reasonable person to expect a binding contract to arise from its acceptance. An offer gives the offeree the ability to accept and form an enforceable contract. 

When a valid offer is made, an acceptance by the offeree creates a binding contract. An offeror generally can not retract the offer once the other party has accepted. A court may not find a binding contract regardless, though, if the negotiation did not involve consideration, involves an illusory promise, or if the offeror did not have the capacity to enter into the contract. However, a contract offer can be withdrawn by notification to the offeree of the intent to withdraw the offer before the offeree has accepted. Offerors typically can withdraw an offer before acceptance in any contract negotiation unless the parties have created an enforceable option contract. If the offeree rejects the offer, the offer can no longer be accepted by the offeree. 

An offer can also be made in the form of a counteroffer. The offeree that receives the initial offer can make a new offer of their own instead of accepting the initial offer. This counteroffer acts as a rejection of the initial offer and creates an entirely new offer that can be accepted or rejected. 

Consideration is a promise, performance, or forbearance bargained by a promisor in exchange for their promise. Consideration is the main element of a contract. Without consideration by both parties, a contract can not be enforceable. For instance, if a person used the money to purchase an apple, the apple is the merchants consideration, and the money is the persons consideration. 

Types : Consideration could be a promise, performance, forbearance, or property with legal value, but the economic benefit is not required. 
A gift or gratuitous promise can not be a consideration for they have no bargaining. The past performance also can not be a consideration as there is no exchange. 

Substitute for consideration : A contract without consideration could be enforceable if it has a substitute. Substitutes are promissory estoppel or detrimental reliance under Restatement ( Second ) of Contracts, or good faith modification under UCC. 
Promissory estoppel/detrimental reliance : A contract without consideration is enforceable if the nonperformance of the promisor will cause injustice. Elements of promissory estoppel are ( i ) the promise has reasonable, foreseeable, and detrimental reliance on the promisor, and ( ii ) the enforcement of the promise is necessary to avoid injustice. 
Good faith modification : A modified contract is a kind of new agreement, which changes parties obligations and then requires new consideration. But contract modification made in good faith under UCC is enforceable even without consideration