Consumer complaint received 2025-08-22 00:00:00
Product: Prepaid card — General-purpose prepaid card
Issue: Problem with a purchase or transfer — Card company isn't resolving a dispute about a purchase or transfer
Company: Netspend Corporation
State: VA

Complaint narrative:
b'I am filing this complaint against XXXXXXXX XXXX, the issuing bank of my XXXX XXXX Netspend Prepaid Card Account XXXX  for multiple violations of their own stated policies and unfair dispute resolution practices. On XXXX XXXX XXXX I filed multiple disputes online for transactions with two separate merchants totaling XXXX with XXXX (merchant ID XXXX  for 19 separate transactions occurring between XXXX XXXX XXXX. The dispute was filed for goods and services not as described, as XXXX breached their contract by implementing an undisclosed 3-card limit per 30-day period that prevented me from using their gaming services after only three days, denying me the opportunity to recover my funds as promised in their service agreement.\n\nBefore filing disputes with the bank, I attempted to resolve these issues directly with XXXX as required. However, XXXX breached Section 15 of their own Terms of Service regarding Dispute Resolution by refusing to engage in good faith negotiations. They attempted to manipulate the timeline to their advantage, and when I provided proof of the actual start date of our dispute, they fabricated a story claiming my email went to their spam folder. I have documented evidence of this deceptive behavior, which further supports that XXXX  failed to provide the services as described and violated their own contractual obligations.\n\nThe bank\'s own cardholder agreement states that for disputes involving POS transactions, foreign transactions, or new accounts, they may take up to 90 days to investigate complaints. However, they have informed me that my dispute will not be completed until XXXX XXXX XXXX which is approximately 117 days from my filing date oXXXX XXXX XXXX XXXX. This exceeds their own stated 90-day maximum timeline by 27 days, constituting a clear violation of their written agreement. After saying this is illegal and Im filing a complaint they all of a sudden finished the remaining 20 claims that just two minutes prior needed another 2 1/2 weeks to finish. I requested to file an appeal on XXXX XXXX XXXX. I was told I cannot appeal until I review documents used in their investigation. This creates an unfair barrier to the appeal process and appears designed to discourage legitimate appeals. Furthermore, because my account was unexpectedly closed months ago, I cannot access my online account to review claim details, and both customer service representatives and supervisors refuse to provide basic information such as which specific transactions correspond to which claim numbers, the merchant names, or transaction amounts. This lack of transparency makes it impossible for me to effectively manage my disputes.\n\nThe most concerning issue is the inconsistent decision-making process. When filing identical disputes for the same merchant with the same circumstances and evidence, the bank approved one transaction while denying others. This arbitrary "picking and choosing" suggests a flawed review process that violates principles of fair and consistent treatment. All transactions involved the same merchant breach of contract, occurred within the same timeframe, and were supported by identical documentation.\n\nAdditionally, I have been denied access to my own account statements, which is a violation of federal banking regulations. I requested my statements from XXXX XXXX until account closure and was told by both customer service representatives and supervisors that because my account is closed, I no longer have access to my statements. This is incorrect under federal law, as financial institutions are required to maintain and provide access to account records for several years after account closure. Their refusal to provide legally mandated records prevents me from properly managing my financial affairs and dispute processes.'

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