Consumer complaint received 2024-04-13
Product: Credit card — Store credit card
Issue: Trouble using your card — Credit card company won't increase or decrease your credit limit
Company: SYNCHRONY FINANCIAL (PA)

The companies are Synchrony Bank in their role as issuer of Amazons 5 % Cash Back Store Card. 

The issues : A ridiculously low credit limit creates a Bait and Switch unfair banking and business practice. 

Amazon has been recently promoting their 5 % Cash-back Amazon Store Card ( from Synchrony Bank ) to XXXX XXXX.. My wife and I signed up in XX/XX/XXXX. After Synchrony checked my XXXX credit report, I was approved, with a {$2100.00} credit limit. Since my wife and I can spend 1-2 times that amount per month on Amazon, I immediately requested an increase. Their response to my inquiry was that I was denied, because of Insufficient experience at your current credit limit. As they offered, I called to question their decision on XX/XX/XXXX ; and was told by the person who answered the dedicated Synchrony bank/Amazon card question number, that they would resubmit my request and let me know within 30 days. I never heard from them again. I attempted to solve the problem with CHAT, since Synchrony Bank has no customer service email. ( Nor does Amazon, currently ) After XXXX minutes and chats with XXXX useless customer service representatives my laptop died with no resolution. I have been a loyal Amazon customer since they were just selling books. 
5 % cash back from a company we buy from every day seemed a no-brainer. 


MY CONCLUSION : This is bait and switch. 
The very attractive 5 % cash back is the bait '', particularly for us and for XXXX XXXX, which is our # 1 retail expense, and a too-easy click away. I should have known that 5 % cash back was too good to be true, likely intended to get customers to exceed their card limit and then be forced to pay Synchrony 's 29.99 % interest, a good return on their 5 % cash investment. 
The switch '' is the banks ability to prospectively guarantee a limit to their 5 % cash back outlay by setting ridiculously low credit limits. Not only does that limit their bait '' at {$100.00} ( 5 % of {$2100.00} ), but also sets anyone who both fell for their offer and who ( like us ) habitually buys from Amazon multiple times a day ( often without thinking twice ), to easily exceed their unfamiliarly low credit limit without recognizing it. This treacherous switch '' would be 100 % likely to both negatively affect ones increasingly valuable credit score, AND be even more likely to incur profitable overdraft penalties that go directly to Synchrony 's bottom line. 

MY POINT : There is no rational consumer-centric reason for such a low credit limit! 
Whatever standard banking practices they might choose to claim or hallucinate as a reason, any bank that offers someone like me a credit card with a {$2100.00} limit is not doing so to prevent losses for their owners or shareholders, but rather to benefit their bottom line in one or more concealed ways. ( Kickbacks from Amazon? ) Synchrony did access my credit report. At the time I had an XXXX credit score. I do not remember the last time it was XXXX. Our taxable income in retirement has been high enough for any other bank or credit union I have dealt with and is predictably stable year-to-year. We have zero commercial or consumer debt or other liabilities ( which should also be on my credit report ) and own our home and XXXX vehicles free-and-clear. I am XXXX XXXX, and have a XXXX year spotless credit history, which includes the purchases of XXXX homes in various parts of the country without issues. My XXXX other current credit cards have limits ( Oldest issued to newest ) of $ XXXX ; $ XXXX ; $ XXXX ; and $ XXXX. I have never gone over my limit on any of them. 

All I know about Synchrony Bank ( from XXXX ) is it is " the largest issuer of private label credit cards in the U.S., with over 120 credit cards and store-branded cards. Who else are they XXXX  in a similar fashion? What other trusted store brands are complicit?