Consumer complaint received 2025-02-08 00:00:00
Product: Credit card — General-purpose credit card or charge card
Issue: Closing your account — Company closed your account
Company: DISCOVER BANK
State: FL

Complaint narrative:
XX/XX/XXXX, I discovered that my Discover credit card account had been closed due to alleged inactivity. 

Between XXXX and XX/XX/XXXX, I actively managed my Discover credit card account with consistent payments and responsible financial behavior. On XX/XX/XXXX, I made a substantial internet payment of {$3000.00}, reflecting my commitment to maintaining the account in good standing. 

This payment, along with other transactions, such as a {$93.00} payment on XX/XX/XXXX, and multiple smaller payments throughout the preceding months, underscores my dedication to fulfilling all financial obligations. 

Additionally, various interest charges were addressed, further demonstrating responsible account management. These actions collectively contributed to a total payments and credits amount of - {$3300.00} during that period. This concerted effort to keep my account current contradicts the rationale for closure based on inactivity or delinquency. 

Reopening of the account was denied by supervisors on XX/XX/XXXX and the Executive Offices contact information was provided that same day. A response from the Executive Offices was initially provided by XXXX via Email on XX/XX/XXXX. A phone call occurred on XX/XX/XXXX with XXXX, stating Discover 's investigation was not ruled in my favor and there was no further course of resolution, other than arbitration. 

Concerned about this unexpected closure, I initiated a dispute with XXXX on XX/XX/XXXX, aiming to clarify any discrepancies related to the closure reasons provided by Discover. 

Upon investigating my dispute, XXXX highlighted several critical findings that support the reopening of my account : 1. Inactivity : Despite Discovers policy of closing accounts after seven months of inactivity, XXXX has verified that transactions occurred within the past year. This evidence directly contradicts the closure based on inactivity. According to XXXX 's standards, any account activity within a year indicates engagement and functionality, challenging Discover 's basis for closure. 

2. Credit Utilization : XXXX identified discrepancies in the reporting of my available credit, showing an impact on utilization ratios. Before the account closure, my credit utilization was below 40 % ( Available credit +60 % ), a misrepresented factor that undermines any justification for closure related to credit limits. 

3. Delinquency : XXXX confirmed that no recent delinquencies were present on my account, with all payments made punctually. The only existing delinquency predates my approval with Discover, which negates non-compliance as a reason for closure. 
XXXX 's ongoing investigation, initiated on [ dispute initiation date ], consistently refutes Discovers closure rationale. 

Additionally, there are potential errors and cardholder agreement violations on Discover 's part : - Notification Requirement : The " Changes to Your Agreement '' section mandates prior notification for significant account status changes, including closures. However, I was not sufficiently notified, depriving me of the chance to rectify the purported inactivity. 

- Communication Consistency : As per the " Our Communications with You '' section, timely updates are crucial. The absence of adequate notification regarding inactivity raises further concerns, highlighted by XXXX findings. 

- Account Management through Payments : The " Paying Interest '' section implies ongoing account activity through substantial payments. My significant payment in XX/XX/XXXX emphasizes responsible management, contradicting any claimed stagnation. 

Given these developments and potential agreement violations, I respectfully request a reassessment of my account closure. I propose an account reinstatement that reflects accurate historical activity and aligns with industry standards. 

Thank you for addressing this matter.

Company response to consumer: Closed with explanation