Consumer complaint received 2024-01-01
Product: Credit card — Store credit card
Issue: Trouble using your card — Credit card company won't increase or decrease your credit limit
Company: Bread Financial Holdings, Inc. (OH)

I am formally writing to express my profound distress and lodge a comprehensive complaint against the actions taken by your institution, Comenity, now known as XXXX XXXX. This letter outlines the severe and unwarranted damage caused to my financial standing and mental well-being as a result of your response to erroneous reporting by XXXX XXXX and the subsequent cascade of negative credit actions taken by other creditors based on this misinformation. 

For years, I have maintained an impeccable payment history with your institution, consistently paying on time, often exceeding the minimum payment, and frequently settling the full balance. Despite this history of financial responsibility, your institution reacted to a false report of a XXXX late payment by drastically reducing my available credit and closing my accounts, citing reasons such as 'close to limit ' and 'high usage. ' It is critical to understand that these cited reasons are not reflective of my financial management but are the direct result of other creditors reacting to the erroneous information from XXXX XXXX. 

The actions of cutting my Express credit card limit and closing my XXXX XXXX XXXX, XXXX, and XXXX accounts, among others, were not only premature but also lacked a fair and thorough investigation into the validity of the claims against my credit. This has led to an immediate and irrecoverable impact on my creditworthiness, with my FICO scores experiencing a substantial drop of over XXXX points, thereby shifting my credit standing from good to poor. 

This single incident, based on erroneous reporting, has effectively erased years of diligent financial management and will require a prolonged period to recuperate fully. The continuous cycle of credit limit reductions and account closures has trapped me in a state of financial and emotional despair. Each attempt to rectify the situation has been met with immediate closure or further credit limit reductions, maintaining an unsustainable level of over 95 % utilization. These actions were taken based on a domino effect initiated by the false reporting, not my actual credit behavior. 

The consequences of these actions extend beyond financial strain ; they have inflicted a significant toll on my mental health and the stability of my family. The inability to access equity in my home due to lingering negative marks on certain reports, inaccessible to me as a consumer, has further exacerbated my distress. My FICO mortgage score has plummeted into the XXXX, reflecting the severe and ongoing repercussions of this issue. 

I implore your institution to undertake a thorough review of the actions taken in response to the erroneous information provided by XXXX XXXX and the subsequent unjust decisions based on the cascading effects from other creditors. It is imperative that XXXX XXXX XXXX XXXX gravity of its actions and the profound impact they have had on my life. 

Your prompt attention to this matter is not only expected but necessary to begin rectifying the immense wrong that has been done. I trust that you will approach this complaint with the seriousness it warrants.