Consumer complaint received 2025-11-25 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: DISCOVER BANK
State: TX

Complaint narrative:
Subject : Discover Has Twice Denied XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX I am filing this complaint because Discover has twice refused to remove fraudulent charges from my account despite overwhelming evidence, including a federal court judgment, proving the merchant operated a deceptive fraud scheme. 
SUMMARY OF FRAUD : Approximately 2 years ago, I was defrauded by XXXX XXXX XXXX XXXX through a sophisticated scheme where they sent me fake invoices and deceived me into making payments totaling approximately {$8000.00} on my Discover card. I believed these were legitimate business transactions. They were not - this was fraud. 
XXXX XXXX HAS CONFIRMED THIS WAS FRAUD : On XX/XX/XXXX, the Federal Trade Commission obtained a court order against Ascend CapVentures in the XXXX XXXX XXXX, XXXX XXXX XXXX California ( Case : Federal Trade Commission XXXX XXXX XXXX XXXX XXXX, et al. ). The court issued a XXXX XXXX XXXX, froze their assets, and appointed a federal receiver. 
Subsequently, the court entered a PERMANENT INJUNCTION AND MONETARY JUDGMENT against Ascend CapVentures, XXXX XXXX, XXXX XXXX, XXXX XXXX, XXXX XXXX, and the individual operators XXXX XXXX XXXX and XXXX XXXX XXXX for operating a fraudulent and deceptive business scheme. 
This federal court judgment proves definitively that XXXX was operating a fraud operation and that I was a victim of that fraud. 
I REPORTED THIS FRAUD TO DISCOVER 2 YEARS AGO - THEY WRONGLY DENIED ME : When I discovered the fraud approximately 2 years ago, I immediately reported it to BOTH the Federal Trade Commission AND to Discover simultaneously. I was XXXX of the first victims to report Ascend to the FTC, which helped trigger the federal investigation. 
Discover denied my legitimate fraud claim at that time, incorrectly applying billing dispute timeframes to what was clearly identity theft and fraud. 
DISCOVER HAS NOW DENIED ME A SECOND TIME : After the federal court issued its permanent injunction confirming Ascends fraudulent operations, I contacted Discover again with the court documents proving I had been reporting legitimate fraud all along. 
After I sent a formal demand letter with federal court documents, Discover sent me a letter dated XX/XX/XXXX, with their investigation findings. 
While Discover acknowledged my dispute by marking the account as disputed on my credit report, they concluded that the account and balance are considered valid and still hold me liable for {$6000.00} in fraudulent charges. 
Discovers investigation completely ignored the federal court judgment proving XXXX operated a fraudulent scheme. Their letter states the charges are explained in detail by the billing statements- but thats XXXX XXXX : I was DEFRAUDED into making those payments. A federal court confirms this was fraud. 
WHY DISCOVERS DENIAL IS WRONG : XXXX. Fraud Through Deception is Still Fraud : Yes, I paid invoices that XXXX sent me - because they DECEIVED me into believing they were legitimate. That is the textbook definition of fraud. A federal court has now confirmed XXXX operated a deceptive scheme. 
XXXX. The Invoices Were the XXXX of XXXX : Discover is using the sophistication of XXXX fraud scheme against me. The fact that XXXX created fake invoices does not make this a billing dispute- it makes it sophisticated fraud that a federal court has confirmed. 
XXXX. I Would Not Have Authorized These Charges But For the Deception : The legal test is not did you click pay but were you deceived into authorizing charges for fraudulent purposes? I was defrauded. Federal court agrees. 
XXXX. Discover Can not Use the Fraudsters Characterization to Avoid Liability : Ascend calling these invoices does not determine the legal classification. This was fraud, confirmed by federal court. 
DISCOVERS VIOLATIONS : Discovers continued refusal to remove these fraudulent charges despite federal court confirmation of fraud raises serious concerns about violations of : Fair Credit Billing Act ( 15 U.S.C. 1666 ) - Failure to properly investigate fraud Truth in Lending Act ( 15 U.S.C. 1601 et seq. ) - Improper handling of fraudulent charges Regulation Z ( 12 CFR 226.12, 226.13 ) - Requirements for resolving unauthorized use Fair Credit Reporting Act ( 15 U.S.C. 1681 ) - Reporting fraudulent debt as legitimate DISCOVER HAS MADE XXXX ERRORS : XXXX. Original incorrect denial of my legitimate fraud report 2 years ago XXXX. Current refusal to correct that error despite federal court proof Total financial harm : Fraudulent charges still on account : {$6000.00} Interest paid over XXXX years : [ approximately {$1200.00} ] Ongoing monthly interest charges XXXX XXXX impact ( though account now marked as disputed ) Emotional distress from XXXX years of fighting proven fraud WHAT I AM SEEKING : XXXX. ImmediXXXX removal of all fraudulent charges related to Ascend CapVentures from my account XXXX. Reversal and refund of all interest, fees, and penalties charged over the past XXXX years on these fraudulent charges XXXX. Correction of all credit reporting to reflect these were fraudulent charges, not legitimate debt XXXX. Written confirmation that these charges have been removed due to fraud XXXX. Assurance that Discover will properly investigate fraud claims in the future ADDITIONAL ACTIONS TAKEN : I filed XXXX of the first complaints with the FTC about XXXX, helping trigger the federal investigation I filed a claim with the federal receiver for losses via wire transfer I have sent Discover a formal demand letter via certified mail with federal court documents attached I am prepared to file complaints with FDIC, my state Attorney General, and consult with consumer protection attorneys if this is not resolved CONCLUSION : A federal court has determined that XXXX XXXX operated a fraudulent scheme. I reported this fraud to Discover in good faith 2 years ago. Discover made an error in denying my claim. That error is now proven by federal court judgment. 
Discover must correct this error immediately. Holding a consumer liable for federally-proven fraudulent charges is unconscionable and violates consumer protection laws. 
I am being forced to pay for charges that a federal court has confirmed were obtained through fraud and deception. This is wrong, and I need the CFPBs assistance in getting Discover to do the right thing. 
Account Information : Amount in dispute : {$6000.00} Account opened : XX/XX/XXXX First reported fraud to Discover : Approximately 2 years ago ( XXXX ) Discovers investigation letter date : XX/XX/XXXX 2025

Company response to consumer: Closed with explanation