Consumer complaint received 2024-01-18
Product: Credit card — General-purpose credit card or charge card
Issue: Closing your account — Company closed your account
Company: CAPITAL ONE FINANCIAL CORPORATION (MS)

On XX/XX/XXXX, I attempted to use my Capital One Venture Visa Card ending in XXXX and it was declined. I logged into my account and discovered that Capital One closed my account stating fraud and that the usage of my card was not in alignment with their card agreement. To provide context to this matter, my relationship with Capital One dates back to XX/XX/XXXX, and the account in question was opened XX/XX/XXXX, so there is no upside for me to have simply thrown away my longest credit relationship which has helped me tremendously and has been profitable to the company as well in terms of interest paid to them. On XX/XX/XXXX, XXXX, I reached out to Capital One and read the letter to them. I asked them to provide me with the specific transactions that they deemed were fraudulent, which caused them to close my account. They could not articulate nor provide to me any transaction that were of fraudulent nature. On page 5 of their credit card agreement, it states that they may close or suspend customer 's accounts ( Credit Cards ) at any time and for any reason permitted by law, even if you are not in default. They stated a reason, but their reason was unlawful, frivolous and fabricated as I have done no such thing related to fraud ever. They have assassinated my character and accused me of something that I'm not and accused me of something that I have never done. I work for a national bank and understand credit cards, disclosures, the right to cancel and close, etc., but this is a tactic to cover up the real reason why I have been retaliated and discriminated against. On XX/XX/XXXX, I received a letter informing me about an account review because my balance had been significantly lower than my credit limit of $ XXXX. The review could lower my credit limit but they gave me an option to opt out of review if I anticipated the spending activity to change and so I did just that. I opted out on XX/XX/XXXX and started using the card more for restaurant, travel and entertainment only. The confirmation stated that my credit limit of $ XXXX was not changed. On XX/XX/XXXX, unbeknownst to me, I received the frivolous fraud letter stating that that they closed my account. I've had this card for nearly a decade, and I've maxed the card out twice. During those times where I had balances, Capital One increased my credit limit because their algorithms would suggest that I would be someone who would continue using the card, which makes them more profitable. I would be considered a high-valued customer because they are generating revenue from me. I paid the balances off twice. I've asked for credit limit increases on a number of occasions, and they have declined me every time stating that my card usage was too low. They've essentially punished me for being a good steward and responsible card holder that pays his debts. I do strongly believe that I have been discriminated against by Capital One as I was a plaintiff in a recent class-action lawsuit against the company and was successful. I've attached all correspondence pertaining to my recent statements to show my spending habits/patterns along with the notices and frivolous fraud letter to have my account reinstated with my $ XXXX credit limit with prejudice. 

The company insulted me by not stating the reason why they closed my account. 2 representatives told me that it was because of fraud and they have yet to explain what fraud was committed. Again, the company closed my largest account without providing a specific statement of reasons, including where it received the information on which its decision to close the account was based. They literally just got sued for the same exact incident. The appropriate action that needs to be taken by the company would be to reinstate my account. They essentially attached denied copies of my request to increase my credit line which I'm assuming they are constituting that as fraud? 

By refusing to provide me the specific reasons for adverse action, Capital One has denied me of my private statutory right to receive such information, of the educational benefit of such information, and the ability to engage in the informed use of credit, regardless of my request for credit increase. Capital One has deprived affected me of the opportunity to correct any misinformation that it may have acted on. 

Capital One informed me of the closure of my account by sending me a generic form letter that lacked the specificity required by ECOA. Instead, the letters merely stated that Capital One had discovered that activity on my account is not consistent with their expectations for account usage. Unfortunately, it cant be reopened, and they are not able to offer additional information about this decision. 

Capital One could have offered more information about its decision to close the account but was simply unwilling to do so claiming that they've confirmed that my account was validly closed, and that they are respectfully declining my request to reopen the account.

Without knowing for certain what information Capital One relied upon or the source of any such information, I am still unable to fix or correct such information if it turns out to be incorrect or incomplete. Capital One based its decision on information it obtained from a third-party consumer reporting agency. 

Capital Ones unilateral termination of my account has negatively affected my debt-to-credit ratios since I needed to pay an outstanding balance after the account was closed but received no new credit due to them doubling down on their decision which is frivolous. Moreover, the banks alleged misconduct has caused the me to worry about my ability to obtain credit in the future, given the nature and manner in which my account was closed.