Consumer complaint received 2025-08-07 00:00:00
Product: Credit card — General-purpose credit card or charge card
Issue: Closing your account — Company closed your account
Company: CAPITAL ONE FINANCIAL CORPORATION
State: MA

Complaint narrative:
FORMAL COMPLAINT UNDER UDAAP REGULATIONS Consumer Financial Protection Act Violation TO : Federal Reserve System FROM : XXXX XXXX DATE : XX/XX/2025 RE : Capital One , National Association - UDAAP Violations Dear Federal Reserve Banking Supervisors, I am filing this formal complaint against Capital One , National Association, for clear violations of the Consumer Financial Protection Act 's prohibition against Unfair, Deceptive, or Abusive Acts or Practices ( UDAAP ). Capital One 's actions demonstrate a systematic failure to act fairly toward consumers and constitute deliberate punitive measures despite their own acknowledgment of an innocent error. 
FACTUAL SUMMARY On XX/XX/2025, I attempted to make three payments to my Capital One Quicksilver credit card. Due to my XXXX, I inadvertently entered incorrect account information. Capital One 's own automated system immediately notified me of this error via email, explicitly stating that the payment failure occurred because " the account number was mistyped. '' This is the critical fact : Capital One made me aware of my mistake through their own system notification. 
CAPITAL ONE 'S CONTRADICTORY AND PUNITIVE RESPONSE Despite Capital One 's own system correctly identifying this as a simple typo, the company proceeded to : Close my account without any customer contact or opportunity for explanation Label the identical incident as " fraud '' in their closure letter dated XX/XX/2025 Refuse to acknowledge their own system 's assessment that this was a typing error THE TECHNICAL TRAP : CAPITAL ONE 'S APP DESIGN FLAW Most significantly, Capital One 's mobile application does not allow users to cancel pending payments once submitted. This design flaw created an impossible situation where : I recognized my error immediately after Capital One notified me I had no ability to cancel the duplicate pending payments through their app The remaining payments processed unsuccessfully due to Capital One 's system limitations I was trapped by Capital One 's own technical restrictions I even proactively contacted Capital One 's abuse department via email, explaining my XXXX and the situation, specifically asking for guidance since their app prevented me from canceling the payments. Despite this good-faith communication, Capital One ignored my explanation and proceeded with account closure. 
CLEAR UDAAP VIOLATIONS UNFAIR PRACTICES Capital One 's actions are unfair under XXXX  CFR XXXX  because they : Caused substantial injury : Account closure and fraud designation damage my banking relationships and credit standing Could not have been reasonably avoided : Their app design prevented me from correcting the error they notified me about Are not outweighed by countervailing benefits : No consumer protection benefit exists from punishing customers for errors the bank 's own system identified as typos The unfairness is particularly egregious because Capital One created the problem through their app 's technical limitations, then punished me for being unable to solve it. 
DECEPTIVE PRACTICES Capital One engaged in deceptive practices under XXXX  CFR XXXX by : Contradicting their own system 's assessment : Their automated system correctly identified a " mistyped account number, '' yet they simultaneously labeled the same incident as " fraud '' Misleading communications : Sending both an error notification acknowledging a typo AND a fraud letter for the identical transaction Misrepresenting the nature of the incident : Calling a documented typing error " fraud '' misrepresents material facts ABUSIVE PRACTICES Capital One 's conduct is abusive under XXXX  CFR XXXX because they : Took unreasonable advantage of my XXXX : Punished me for a dyslexia-related error despite being legally required to provide reasonable accommodations Exploited their own system 's limitations : Used their app 's inability to cancel payments as grounds for account closure Acted without reasonable justification : Closed my account despite their own system confirming this was an innocent mistake THE CORE INJUSTICE Capital One can not reasonably claim they were unaware this was an innocent error when their own automated system told me it was a typing mistake. They had actual knowledge that this was not fraudulent activity, yet they deliberately chose to treat it as fraud and impose the harshest possible penalty.

SPECIFIC REGULATORY VIOLATIONS XX/XX/XXXXCFR XXXX ( a ) - Unfair practices causing substantial injury that could not be reasonably avoided XXXX  CFR XXXX ( a ) - Deceptive practices through material misrepresentation of facts XXXX  CFR XXXX ( b ) - Abusive practices taking unreasonable advantage of consumer circumstances DEMANDED CORRECTIVE ACTIONS I request that the Federal Reserve require Capital One to : Immediately reverse the account closure and fraud designation Provide written confirmation that no adverse reports were made to consumer reporting agencies Implement technical fixes allowing customers to cancel erroneous pending payments Establish clear policies requiring customer contact before account closure for technical errors Train staff to distinguish between genuine fraud and system-identified typing errors Pay appropriate monetary penalties for these clear UDAAP violations CONCLUSION Capital One 's actions represent a textbook case of UDAAP violations XXXX They punished a customer for an error their own system identified as innocent, trapped that customer using their defective app design, and then imposed maximum penalties while ignoring their own evidence of the customer 's good faith. 
No reasonable banking institution should be permitted to call something " fraud '' when their own automated systems identify it as a " mistyped account number. '' This case demands swift regulatory action to prevent Capital One from continuing these abusive practices against other consumers. 
I have attached supporting documentation including Capital One 's contradictory communications, screenshots of their fraud letter, and evidence of their app 's technical limitations. I am available to provide additional information and testimony as needed. 
XXXX XXXX XXXX XXXX XXXX XXXX, MA XXXX XXXX ( XXXX ) XXXX Attachments : Capital One fraud letter dated XX/XX/2025 Email notifications acknowledging " mistyped account number '' Screenshots of mobile app limitations Documentation of proactive customer communications

Company response to consumer: Closed with explanation