Consumer complaint received 2024-10-10 00:00:00
Product: Credit card — General-purpose credit card or charge card
Issue: Problem with a purchase shown on your statement — Credit card company isn't resolving a dispute about a purchase on your statement
Company: SYNCHRONY FINANCIAL
State: AL

Complaint narrative:
XXXX XXXX XXXX AGENT/BENEFICIARY/SECURED PARTY XXXX Highway XXXX # XXXX XXXX, AL XXXX To : XXXX XXXX XXXX SYNCHRONY FINANCIAL XXXX XXXX XXXX XXXX XXXXXXXX XXXX XXXXXXXX XXXX XXXX XXXX Inquiries XXXX XXXX XXXX XXXXXXXX XXXX XXXXXXXX Credit Reports and Account XXXX XXXX XXXX XXXX XXXXXXXX XXXX  XXXX XXXX Certified Mail Number XXXX CFPB XXXX ID FOR COMPLAINT SENT TO SYNCHRONY FINANCIAL XXXX RE : PayPal Credit ACCT # XXXX XXXX NOTICE OF DISPUTE Dear XXXX XXXX XXXX Or acting representative It has come to my attention that I have been making payments in error pursuant to 12 CFR 1026.13.

You have been requiring Federal Reserve Notes as payment, when in fact the original application with financial information ( Utilizing my social security exemption account ) served as an asset, which also satisfies the alleged monthly obligation. 

Since XX/XX/year> I attempted to establish a new course of dealing utilizing the notice sent to me every month. XXXX XXXX replied and demanded payment in a specific type of coin or currency. Your demand for a specific type of currency is unlawful and unenforceable. 

Provisional Credits were given and then reversed which damaged my credit score and caused me serious financial harm in the process.

This Notice is to confirm that your claim is disputed under 15 USC 1692 et seq. Please verify under oath that this claim is valid, free from any claims and defenses including but not limited to : any breach of agreement, failure of consideration or material alterations, and that the original lender provided value. Further, that the alleged account was transferred in good faith and by the consent of all parties involved.

THE TRANSACTION In a credit card securitization transaction only the receivables are sold, not the accounts that generate the receivables. The financial institution retains legal ownership of the credit card accounts and can continue to change the terms on the accounts. Accounts corresponding to securitized loans are typically referred to as the designated accounts ( or sometimes trust accounts ). The initial outstanding balances on the designated accounts are sold to the trust as are the rights to any new charges on the designated accounts. Subsequently, as cardholder purchase activity generates more receivables on the designated accounts, these new receivables are purchased by the trust from the originating institution/seller/transferor. The trust uses the monthly principal payments received from the cardholders to acquire these new charges or receivables. When the securitization is initially set up, the originating institution/seller adds sufficient receivables to support the principal balance of the certificates plus an additional amount ( seller 's interest ) that serves to absorb fluctuations in the outstanding balance of the receivables. The originating institution/seller will make subsequent additions to the trust in order to keep the seller 's interest at the required level. ( Emphasis added ) See : https : //www.fdic.gov/regulations/examinations/credit_card_securitization/ch2.html After reasonable inquiry I have concluded that SYNCHRONY FINANCIAL is in breach of the alleged agreement. The following facts support my position in this matter : 1. SYNCHRONY FINANCIAL failed to disclose to the alleged consumer XXXX XXXX XXXX ( hereinafter XXXX ) that SYNCHRONY FINANCIAL used consumers note, capital, funds, money or money equivalent to fund a note, check or similar instrument that was used to fund the charges on the alleged account, whereby SYNCHRONY FINANCIAL did not perform under the agreement and risked nothing of value. 

2. SYNCHRONY FINANCIAL has not used any of their own capital, funds, money or money equivalents to pay for any charges on the alleged account.

3. SYNCHRONY FINANCIAL received something-for-nothing by using the consumers note ( s ) to fund charges to the credit card account while retaining payments from consumer.

4. So, a breach occurred due to the fact that SYNCHRONY FINANCIAL failed to disclose the above information in their credit card agreement prior to soliciting applicant to become bound by it.

5. Due to the breach, and lack of disclosure, SYNCHRONY FINANCIAL has, directly or indirectly, used false, deceptive, or misleading representations or means, in violation of Section 807 of the FDCPA, 15 U.S.C. 1692e, which constitutes fraud.

6. Due to the securitization of the initial outstanding balances of the alleged account, SYNCHRONY FINANCIAL is not a holder in due course, and therefore can not have incurred a loss or make a valid claim.

7. When accounts are 90 days or more overdue, SYNCHRONY FINANCIAL receives a payoff of the amount due from insurance, whose premiums were unknowingly funded by the so-called borrower.

I want to receive absolute assurance from SYNCHRONY FINANCIAL that they did not breach the agreement.

In order to settle this matter, please sign or have an authorized officer sign the enclosed affidavit, confirming that you have read the agreement, that you understand GAAP, the bookkeeping entries, accounts receivables and deposits, the banking laws, and the Federal Reserve banks policies and procedures.

In addition, please furnish me with the following information : 1. A complete statement of Damages, including each and every loss that SYNCHRONY FINANCIAL incurred under the alleged agreement.

2. A copy of any insurance claim having been made by SYNCHRONY FINANCIAL regarding this account.

3. A front and back, true and correct copy of the alleged signed agreement bearing my signature ( full & complete disclosure ), and a detailed copy of the alleged account.

4. A true and correct copy of the transfer instrument that was used to transfer the initial outstanding balances from this alleged account into the Special Purpose Entity ( SPE ) trust, as described on the FDIC website.

5. The name, address and telephone number of SYNCHRONY FINANCIALs CPA auditor.

6. Verification if this debt has been assigned or sold to a debt collector.

7. If this debt has been assigned to a debt collector, please provide the commission amount if collection efforts are successful.

8. If this debt has been sold to a debt collector, please provide the price for which it was sold.

It would be constructive for you to note that the FCRA ( Fair Credit Reporting Act ) section 609 ( c ) ( 2 ) ( E ) states : " a consumer reporting agency is not required to remove accurate derogatory information from a consumer 's file, unless the information is outdated under section 605 or can not be verified.

The can not be verified is the key phrase, as you can see. Since I challenged you and your staff to verify, and you can not, that means all financial institutions and credit reporting agencies concerned with my account are required to remove any derogatory information. It can not be deemed accurate if it can not be verified. If it can not be verified, then it is required to be removed, according to the FCRA.

You are required by federal law to furnish the credit bureaus with the required disclosure by placing a notice of dispute on my account within ( 30 ) days after receiving this dispute letter. I am maintaining a careful record of dates as well as time-stamped copies of my credit reports, which will show that you have violated the Fair Credit Reporting Act, Section 623 ( a ) ( 3 ) [ 15 USC 1681s-2 ] if you do not place the disclosure within the required ( 30 ) day period.

Also, during this validation period, if any action is taken which could be considered detrimental to any of my credit reports, I will consult with legal counsel for suit. This includes any listing of any information to a credit-reporting repository that could be inaccurate or invalidated. If your offices have or continue to report invalidated information to any of the three major credit bureaus ( XXXX, XXXX, XXXX ), this action might constitute fraud under both federal and state laws and directly violate the Fair Credit Reporting Act. Due to this fact, if any negative mark is found or continues to report on any of my credit reports by your company or any company that you represent, I will not hesitate in bringing legal action against you for the following : Violation of the Fair Credit Reporting Act and Defamation of Character, Bank Fraud, Aggravated Identity Theft and Conspiracy.

I am sure your legal staff will agree that non-compliance with this request could violate Fair Credit Reporting Act, Section 623 ( a ) ( 3 ) - Responsibilities of furnishers of information to consumer reporting agencies [ 15 USC 1681s-2 ], putting your company in serious legal trouble with the FTC and other state or federal agencies.

All communications and omissions will be made part of and incorporated into any litigation arising from this matter. Failure to verify and validate the debt within thirty ( 30 ) days by signing the enclosed affidavit confirms that no further action will be taken and an absolute waiver of any right to collect the alleged debt. Furthermore, all references to this account must be deleted and completely removed from my credit file and a copy of such deletion request shall be sent to me immediately.

You must contact me in writing and request an extension in the event that you need more than thirty ( 30 ) days to verify and validate the debt. Failure to do so confirms that the time limit is reasonable.

This notice also constitutes a Notice to Cease Telephonic Communications. Non-compliance with this request will violate the Telephone Consumer Protection Act 47 USC 227.

If you can not verify and validate this debt by the above listed means, then what right do you have, under the Fair Debt Collection Practices Act 15 USC 1692, to even send me a letter? Are you committing mail fraud?

NOTICE THIS IS NOT A REQUEST FOR CONFIRMATION THAT YOU HAVE A COPY OF AN AGREEMENT OR COPIES OF STATEMENTS. THIS IS A DEMAND FOR PROOF THAT YOU HAVE THE REQUISITE KNOWLEDGE OF THE FACTS, AND THAT THE ALLEGED CREDITOR PROVIDED ADEQUATE CONSIDERATION AND INCURRED A FINANCIAL LOSS UNDER THE FULL & COMPLETE ORIGINAL AGREEMENT.

Notice to the Principal is Notice to the Agent, and Notice to the Agent is Notice to the Principal.

Claim for which relief can be granted 1. Reopen Account Ending XXXX with XXXX balance. Or provide new account with XXXX balance. 
XXXX. Remove the Credit Limit ( S ) 3. Accept Negotiable Instrument for setoff payable in US dollars monthly.

4. Remove all ( see highlighted sheet ) adverse information from my consumer credit report. Including ALL late payments.

Thank you very much I declare under penalty of perjury without the United States that the above statements are the truth, the whole truth and nothing but the truth.

Sincerely, ________________________________________ Signed without prejudice by XXXX XXXX XXXX XXXX. Please be aware that dependent upon your response. I will be taking steps to initiate proceedings in federal court, I believe this is necessary for a fair resolution, and I am committed to pursuing this matter to its fullest extent. Also, the following companies have been notified of this situation. 

Cc : XXXX. XXXX Corporate Headquarters Attention : XXXX XXXX/ Chairman XXXX XXXX XXXX, XXXX XXXX CA XXXX XXXX. XXXX Corporate Headquarters Attention : XXXX XXXX / XXXX XXXX XXXX XXXX, XXXX IL XXXX XXXX. XXXX XXXX XXXXXXXX XXXX XXXX XXXX XXXX TX XXXX XXXX. Consumer Financial Protection Bureau XXXX : Enforcement Division XXXX XXXX XXXX XXXX, Washington DC XXXX

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation