Consumer complaint received 2025-07-23 00:00:00
Product: Credit reporting or other personal consumer reports — Credit reporting
Issue: Problem with a company's investigation into an existing problem — Problem with personal statement of dispute
Company: AMERICAN EXPRESS COMPANY
State: TN

Complaint narrative:
REBUTTAL TO COMPANY RESPONSE CFPB Case No. : XXXX Submitted By : XXXX XXXX XXXX XXXX American Express National Bank To the Consumer Financial Protection Bureau and American Express : I submit this formal rebuttal in response to the superficial and evasive reply submitted by American Express dated XX/XX/XXXX. 

The response is inadequate in law and in fact, and it deliberately omits the critical legal duties imposed on financial institutions under both federal consumer credit law and securities regulations once they receive a credit application. 


-- - I. Legal Duty Upon Receipt of a Credit Application When a financial institution receives a credit application containing personally identifiable information ( PII ), credit data, and intent to establish a financial relationship, the following legal obligations are triggered : 1. Disclosure under the Truth in Lending Act ( TILA ), 15 U.S.C. 1601 et seq. 
The institution must clearly and timely disclose the terms of credit, including : Any interest, finance charges, and repayment terms ; How the information will be used beyond the application process ; Whether the data may be transferred, resold, or securitized ; Any right of the applicant to cancel, withdraw, or challenge the use of their data if credit is not granted. 



2. Duty of Transparency under Regulation Z ( 12 C.F.R. 226 ) The institution must not exploit the application as a financial instrument for its own gain without full disclosure and consent. This includes bundling the data into receivables or offering it for asset-backed securities, such as the ones American Express has filed through its affiliates per SEC XXXX XXXX XXXX. XXXX. 


3. Commercial Integrity under UCC 2-207, 3-603, and 3-306 If the application constitutes a tendered offer, it can not be repurposed into a separate commercial instrument without a counteroffer, acceptance, and negotiated assent. Under UCC 3-306, American Express can not enforce a position against me based on data I never agreed could be transferred, assigned, or securitized. 




-- - II. What American Express Failed to Do American Express has failed on all the following fronts : They did not provide a lawful disclosure that my information would be used in securitized financial instruments. 

They did not obtain my written authorization for any transfer or monetization of my application data. 

They did not deliver any material terms outlining the use of my data beyond the application processviolating TILA and SEC Rule 10b-5 disclosure standards. 

They did not notify me of any value gained or compensation owed to me for the potential commercial benefit obtained through pooling my data into receivables. 


Their response instead relies on generic terms and conditions, which are not substitutes for explicit, knowing, and informed consent as required by law. 


XXXX XXXX III. The Correct Process American Express Should Have Followed If American Express were in compliance with federal law, the following steps should have occurred : 1. Upon receiving my application, they should have issued a Truth in Lending Disclosure, detailing the nature of any credit evaluation or potential resale of information. 


2. If they intended to deny credit while retaining my data for securitization, they were required to : Issue a precise adverse action notice explaining how the data would be used ; Offer me the right to rescind or restrict further commercial use of my information ; Disclose any third-party beneficiaries or affiliates who may receive or benefit from my data. 



XXXX. If the data was pooled into receivables, they were obligated to : Account for the asset created using my data ; Disclose that financial asset to the consumer whose identity and creditworthiness made it possible. 




Failure to do so constitutes not only a violation of federal disclosure requirements, but also raises claims of fraudulent concealment, unjust enrichment, and deceptive business practices under the Consumer Financial Protection Act of XXXX and securities fraud under the Securities Exchange Act of XXXX. 


-- - XXXX. Final Position and Demand American Expresss response demonstrates an intentional refusal to address these federal violations. Their attempt to dismiss this issue under the guise of a declined application does not absolve them of liability for : The unauthorized securitization of my data ; Failure to disclose material information as required by the SEC and CFPB ; Exploitation of my application for profit without compensation or legal agreement. 


Accordingly, I maintain that this matter demands full investigation by the Consumer Financial Protection Bureau, and I reserve the right to amend my claims and seek damages in federal court. 

Respectfully, XXXX XXXX

Company response to consumer: Closed with explanation