Consumer complaint received 2021-01-01
Product: Credit card or prepaid card — General-purpose credit card or charge card
Issue: Trouble using your card — Can't use card to make purchases
Company: JPMORGAN CHASE & CO. (NV)

My credit card was used to make a purchase, before Chase Card lowered my credit limit from {$1500.00} to {$500.00} in XXXX. On XX/XX/XXXX I was refunded {$1400.00} for a product that was returned. At that time, my credit card had a {$0.00} balance. With the refund and my card balance, I should have {$1900.00} available to spend. On XX/XX/XXXX, I made a purchase for {$850.00} using my Chase Card and on XX/XX/XXXX, I received notification that the purchase had been declined, due to insufficient funds on the card. On XX/XX/XXXX, I contacted Chase Card and was informed that there was only {$470.00} available to spend, even though they had received my credit of {$1400.00} for the product which was returned. I had made several small purchases using the Chase Card, totaling {$21.00}. With my credit line of {$500.00} and the refunded amount of {$1400.00}, I should have had a total available balance of {$1900.00}. There was no balance on the card when the {$1400.00} refund was issued, however, Chase Card stated to me that the available balance on the card was only {$470.00}. When asked why I was not able to use the card balance as well as the credit balance on the card, the customer service representative stated there was only {$470.00} available. I inquired why I could not use my card balance as well as a portion of the credit on the card to make a purchase and was told again my balance was only {$470.00}. I asked if I was not able to utilize the card amount along with the credited amount, why I had not received a check for the refunded amount. The customer service representative indicated that at the end of the card cycle they would issue a check for the refunded amount. There should be no reason if there is a credit balance on the card, along with a beginning balance of {$0.00} when the refund was issued, I should not be allowed to utilize the card amount and any portion or all of the credit. If Chase Card would not allow me to utilize the credited amount on my card, they should have immediately sent me a refund check, not keep the {$1400.00} for the remaining cycle period. The customer service representative could not adequately answer my question as to why I was not allowed to use the credit and why a refund would not have been immediately issued if they do not allow the credit balance to be used. I believe had I not contacted Chase Card they would have let the refund sit there and not send a refund check. This entire process is unfair to the consumer. There should be no reason if a consumer 's credit card has a credit balance, plus a credit limit of {$500.00}, that I would not be allowed to make a purchase over the regular card limit. Subsequently, if that is Chase Card 's policy, then they should have issued a refund check immediately after receiving the credit to my account. I would like this issue investigated and an answer provided as to why Chase Card is allowed to hold someone's credit, but not allow them to use the credit or be issued a refund check immediately.