Consumer complaint received 2024-02-18 00:00:00
Product: Credit card — General-purpose credit card or charge card
Issue: Closing your account — Company closed your account
Company: AMERICAN EXPRESS COMPANY
State: CA

Complaint narrative:
Initial complaint was due to AMEX reducing credit limit over XXXX with consumer NEVER missing a payment to them. Instead of reclaiming the credit limit with interest. AMEX sent me a new credit card without me needing one replacement card which I didnt need as I still have the original card card offered from XXXX. Opened the new car last week to use it and they LOWEReD the credit card limit as opposed to increasing the amount. I recently sent them communications to increase despite the decline in credit limits. I check my account and I see that they have me scheduled to close my account in XX/XX/XXXX. Which I do not consent to. See attachment. This is absolutely illegal. 

Dear American Express, I, XXXX XXXX recently became aware of an issue related to my application for a credit limit increase for my XXXX XXXX  XXXX submitted to AMERICAN EXPRESS on XX/XX/XXXX, through CFBP. To my surprise, I received a notice indicating that my application was denied for credit limit increase and they actually decreased the credit limit even more and I see a scheduled closed day for XX/XX/XXXX. Upon discovering this information, I took the time to review AMERICAN EXPRESS 's Indenture agreement and found myself feeling overwhelmed by the complexity of the situation. Upon careful examination of the Indenture agreement, I noted the statement " The Security Interest in the Collateral is granted to secure the Notes. '' The definition of Collateral includes " All accounts, instruments, documents, etc., '' and it dawned on me that my application, bearing my signature, constitutes the Collateral. Further, the Note is represented by my Application, effectively transforming it into a Promissory note ( Security ). This realization leads me to believe that I hold an account/credit with American Express automatically . After researching the most recent laws and FCRA codes, and AMEX cardholder agreement statements, I came across the description of Collateral as " proof of receivables generated by designated consumer American Express credit card accounts and pay-over-time revolving credit card accounts. '' These accounts, initially owned by the ( Sponsor and Originator ) American Express National Bank, undergo a complex transaction process involving the ( Depositor and Transferor ) American Express the ( Servicer ) American Express and ultimately the ( Trustee ), followed by issuance to the ( Underwriters ) This intricate transaction structure sheds light on how my Application ( Note, Collateral ) was traded. Pursuant to the ELECTRONIC TRANSFER ACT, specifically the " Electronic Signatures in Global and National Commerce Act ( the E-Sign Act ), 15 USC 7001 et seq., '', I understand that electronic documents and signatures carry the same validity as paper documents and handwritten signatures. Referring to 15 U.S. Code 7001- General Rule of Validity : A signature, contract, or other record relating to such a transaction may not be denied legal effect, validity, or enforceability solely because it is in electronic form. 2. A contract relating to such a transaction may not be denied legal effect, validity, or enforceability solely because an electronic signature and electronic record were used in its formation. Given this information, I am respectfully and urgently requesting that American Express promptly review and approve my credit card account under XXXX ( the replacement card ) with the highest credit limit available for the type of credit card I have. And remove the projected close date of XX/XX/XXXX that I did not consent too IMMEDIATELY. Denying access to my securities, as outlined in the Collateral, could be perceived as securities fraud. In the event that my application continues to be denied, I kindly request immediate revocation and clear PROOF of this retraction. Failure to address this matter satisfactorily will leave me with no choice but to report American Express and any related holders to the ( SEC ) U.S. Securities and Exchange Commission and ( FRNA ). Furthermore, I came across a crucial detail in your PROSPECTUS on page 46 under the section " PLAN OF DISTRIBUTION. '' It outlines the various methods by which securities may be sold, including through underwriters or dealers, directly to purchasers, through agents, or through a combination of these methods. The prospectus supplement will provide specific details, such as the names of underwriters or agents, purchase price, underwriting discounts, commissions, initial public offering price, discounts or concessions to dealers, and securities exchanges where the securities may be listed. Additionally, I would like to inform you that on in XXXX with a perfect credit payment history with them. I applied for a personal credit card with American Express under my name, XXXX XXXX XXXX.The reference for this application is XXXX on XXXX XXXX. I kindly request that this application also be considered for review and approval. I trust you will give prompt attention to this matter, and I am hopeful for a swift resolution. Sincerely, XXXX XXXX XXXX CREDIT AND REOPEN the account ending in XXXX ( that is scheduled to be closed in XX/XX/XXXX ) every billing cycle. Send this directly to whomever is listed as the trustee according to Prospectus Form 424B2 in American Express SEC filings. According to the 10Q form for Q3 page 58 listed in the SEC in filing for American Express states We periodically securitize Card Member loans and receivables arising from our card businesses through the transfer of those assets to securitization trusts, American Express Credit Account XXXX XXXX ( the Lending Trust ) and American Express XXXX XXXX XXXX  ( the Charge Trust and together with the XXXX XXXX, the Trusts ). The Trusts then issue debt securities collateralized by the transferred assets to third-party investors. I rescind/revoke any security interest American Express has in the account ending in 04000 and the previous credit card that they replaced. Please respond within 10 business days confirming fiduciary duties have been completed or reason for nonperformance of fiduciary duties if not completed. As you have scheduled to close my account without noticing me and it will be less than 60 days before you claim to close the account. Failure to credit and reopen the PREPAID account ending in XXXX will result in an escalation to the SEC for securities fraud and a federal lawsuit for securities fraud. 


Until my credit limit is restored and the removal of my closure account which you plan to execute is removed to keep my account open I opt out of AMEX sharing my account information, trading my information, securities or instruments as AMEX doesnt have my consent. I look forward to remedy soonest to rebuild our business relationship.

Company response to consumer: Closed with explanation