Consumer complaint received 2025-07-29 00:00:00
Product: Credit reporting or other personal consumer reports — Credit reporting
Issue: Improper use of your report — Reporting company used your report improperly
Company: DISCOVER BANK
State: NY

Complaint narrative:
XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX Re : CFPB Complaint XXXX XXXX  Insert CFPB Complaint Number ] Discover Account To Whom It May Concern, I am writing in response to Discovers XXXXXX/XX/year> letter regarding my complaint filed with the Consumer Financial Protection Bureau XXXX I appreciate the detailed explanation provided; however, I do not believe that my concerns were adequately or fairly addressed, and I am requesting further review by the CFPB and Discover. 

Summary of Key Concerns : 1. Unusual Account Closure and Deposit Handling : Discovers letter indicates that the account was closed due to unusual payment activity, yet provides no specific explanation or evidence of what constituted this activity. This vague and arbitrary closure raises questions regarding transparency and fairness. Furthermore, the handling of my security deposit was done without my input or consent, and its unclear how it was applied to my balance or how the outstanding balance grew to {$470.00}. 
2. Privacy and Fair Credit Reporting Practices : While Discover asserts it had the right to report my account, my dispute centers around whether the manner and scope of reporting were consistent with consumer protection standards. Specifically, there is a concern that my account was continuously reported as delinquent after it was closed, with no opportunity for payment arrangements or reinstatement, which may be viewed as an act of punitive credit reporting.

3. Dispute Verification Process : Discovers letter mentions multiple disputes but provides no evidence of meaningful investigation into those disputes. Under the Fair Credit Reporting Act ( FCRA ), furnishers are required to conduct a reasonable investigation into disputed information. Merely stating the account is valid without addressing the basis of my dispute does not meet this standard.

4. Good Faith and Resolution Attempts : I took steps to resolve the matter by settling the balance in good faith. Despite this, Discover continues to report the account with highly negative terms charged off and settled for less with no acknowledgment or consideration of my effort to resolve the debt. I respectfully believe this contradicts the principle of equitable credit reporting.

Requested Actions : A clearer and more detailed explanation of the circumstances leading to the closure and charge-off of the account. 
A reassessment of how the account is reported to the credit bureaus, especially in light of my lump-sum settlement. 
Documentation of Discovers dispute investigation findings under FCRA. 
A reconsideration of Discovers refusal to make a goodwill adjustment, especially given the proactive steps I took to resolve the matter. 

I respectfully request that this matter be re-evaluated by Discover and the CFPB for compliance with the Fair Credit Reporting Act and other relevant consumer protection laws. 

Thank you for your attention and for the opportunity to be heard. I look forward to your response. 

Sincerely, XXXX XXXX

Company response to consumer: Closed with explanation