Consumer complaint received 2024-06-28 00:00:00
Product: Credit reporting or other personal consumer reports — Credit reporting
Issue: Problem with a company's investigation into an existing problem — Problem with personal statement of dispute
Company: WELLS FARGO & COMPANY
State: CA

Complaint narrative:
To Whom It May Concern, I am writing to file a complaint regarding the unfair and possibly discriminatory practices of Wells Fargo in handling my credit card account. On XXXX XXXX, 2024, I received a notification from Wells Fargo that my credit limit had been reduced from {$16000.00} to {$8600.00}. This reduction was made without prior notice and placed my balance over the new limit due to a pending transaction, causing significant damage to my credit score and financial stability. 

Timeline of Events : Perfect Credit History, Prior to this incident, I maintained a perfect credit history, using my personal credit to support my business growth responsibly. I never missed a payment and kept my balances within reasonable limits. 

XX/XX/XXXX2024 - Limit Reduction : Without any prior notification, I received a letter from Wells Fargo on XX/XX/XXXXXXXX XXXX, 2024, stating that my credit limit had been reduced from {$16000.00} to {$8600.00}. This immediate reduction placed my current balance over the new limit due to a pending transaction. The balance due was raised to {$650.00}.

Impact on Credit Score : As a direct result of this sudden credit limit reduction, my credit score dropped significantly from a high rating to XXXX FICO. This drastic drop severely affected my creditworthiness, hindering my ability to secure necessary financing for my business.

Violations of the CARD Act : Lack of Notification, The Credit Card Accountability Responsibility and Disclosure ( CARD ) Act of 2009 requires credit card issuers to provide at least 45 days notice before making significant changes to account terms, including credit limit reductions. Wells Fargo failed to provide any such notice before reducing my credit limit, thereby violating this provision.

Over-Limit Fees : The CARD Act prohibits charging over-limit fees unless the cardholder has explicitly opted into such fees. Due to the sudden reduction, my balance exceeded the new limit, but I did not receive an over-limit fee notification or opt-in request, indicating another potential violation.

Request for Resolution : I believe that Wells Fargo 's actions were not only unfair but also potentially discriminatory. The lack of proper notification and the severe impact on my credit score suggest that the bank may have unfairly targeted my account, possibly due to the recent inquiry for a business line of credit. When speaking with Senior Escalations Representative
, XXXX XXXX XXXX XXXX, although she noted my concerns, the information provided back lack of metrics and " template answers '' which could not be justified.

I kindly request the Consumer Financial Protection Bureau ( CFPB ) to investigate this matter thoroughly. 


Sincerely, XXXX 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