Consumer complaint received 2024-03-22 00:00:00
Product: Credit card — General-purpose credit card or charge card
Issue: Fees or interest — Problem with fees
Company: AMERICAN EXPRESS COMPANY
State: TX

Complaint narrative:
I am composing this complaint in response to my most recent American Express statement which includes a late fee. 

Recently, I submitted a complaint to the CFPB because the company and its affiliates are violating my rights and continuing to solicit payment from me via the automated systems when my account should be in BILLING ERROR STATUS due to the company receiving payment, but not applying the payment on my account. According to Article 3 of the XXXX, specifically XXXX XXXX, not only was tender of payment provided, but American Express is a person authorized to enforce payment under said law. Although my timely payment was sent by registered mail ( received XX/XX/XXXX ), it has not been applied to my account. I have made several good-faith attempts to resolve the disputes as defined in the Truth In Lending Act ( TILA ) 12 CFR 1026.12 ( c ). I sent many letters to explain, detailing the unlawful behavior that constitutes multiple Events of Default on the part of the company. In short, other than the violations of my consumer rights protected under the CFRs that the company agreed to, the company is also engaged in securities fraud under the Security Exchange Act of 1934, the Securities Act of 1933, and the Trust Indenture Act of 1939, and I have tried multiple times to solve the issue without involving regulatory agencies.

Despite these violations, another statement of solicitation was sent to me, but when I sent a second negotiable instrument via registered mail ( which is in accordance with my Cardmember Agreement, American Expresss Indenture Agreement with the XXXX XXXX XXXX XXXX XXXX, and Article XXXX of the Uniform Commercial Code, hereinafter UCC ) for the updated Total Balance ( received XX/XX/XXXX ) that too was stolen, not applied to my account, and no response was given as to why the first or second payments were never applied to my account despite me having requested said information. 

By sending me statements that both ( XXXX ) say the minimum payment due is greater than {$0.00} and ( XXXX ) omit credits that should have been applied from the aforementioned payments that I sent, while the company neglects to present evidence or valid explanations regarding the so-called dispute-investigation that you have been conducting for almost 60 days, the company is engaging in gross violations of The Securities XXXX of XXXX section XXXX which prohibits misrepresentations and omissions of material fact regarding my account. Not only that but the indenture trustee is liable under the XXXX XXXX XXXX of XXXX, as he was put on notice, yet failed to perform his fiduciary duty, then when I called him on the phone, he hung the phone up without allowing me to ask any questions whatsoever. 

Please provide documentary evidence to prove the most recent statements are correct. Otherwise credit my account of the full amount including all late fees, finance charges, and the {$6500.00} sent by me to the company over the last 50 days. My XXXX agreement with the company outlines a consumer credit contract. A consumer credit contract is any instrument which evidences or embodies a debt arising from a money purchase loan transaction as defined in paragraphs ( d ) and ( XXXX ) of XXXX XXXX XXXX. A money purchase loan is a cash advance in return for a finance charge within the meaning of Regulation Z. Therefore the company is not allowed to send statements in which you misrepresent money owed by me to you when, in truth, you have received multiple payments that you have not applied to my account. 

In addition, the company has neglected to pay all principal and interest due to me as a bona fide purchaser and holder in due course of securities as defined in their Master Trust Prospectus dated XX/XX/XXXX, their Restated Indenture Agreement between the Issuance Trust and the XXXX XXXX XXXX XXXX XXXX dated XX/XX/XXXX, and their Annual Report. Due to the fact that my application, which was transferred to their affiliates and securitized for a discounted par rate, omitted the proper disclosures upon its face, you have committed language fraud and every signator is implicated in such fraud under the Securities Exchange Act of 1934.

According to 15 U.S. Code 1666 ( d ) - Treatment of Credit Balances you have never actually required Floating Rate Notes ( FRN ) s from me in the first place. That law clearly states Whenever a credit balance in excess of {$1.00} is created in connection with a consumer credit transaction through amounts owed to or held for the benefit of an obligor, the creditor shall ( A ) credit the amount of the credit balance to the consumers account ; ( B ) refund any part of the amount of the remaining credit balance, upon request of the consumer ; and ( C ) make a good faith effort to refund to the consumer by cash, check, or money order any part of the amount of the credit balance remaining in the account. Said plainly, if my balance is created in connection with consumer credit transactions through amounts owed, the company shall credit my account in the amount of said credit balance. 

Furthermore, according to 15 U.S. Code 1666 ( b ) - Timing of Payments, A creditor may not treat a payment on a credit card account under an open end consumer credit plan as late for any purpose ... An open end credit plan according to 15 U.S. Code 1602 - Definitions and Rules of Construction is defined as a plan under which the creditor reasonably contemplates repeated transactions, which prescribes the terms of such transactions, and which provides for a finance charge which may be computed from time to time on the outstanding unpaid balance. The mere fact that I have been paying on time on this account for years now indicates under this law that my account should no longer have a preset limit, nor any automated monthly solicitations misrepresenting or omitting material facts about my standing.

Demands : 1. My account is to be placed in Billing Error Status until these issues have been fully resolved to my satisfaction.

2. My account is to no longer have any preset limit whatsoever, and my credit card will not be denied for transactions which are not fraudulent.

3. My account is to be immediately credited with the {$6500.00} made available in cash or credit without extra charges if I choose to use all or a portion of it as cash ( per the TILA and the EFTA ).

4. I am to receive written confirmation of these changes to my account and my credit limit via email ( provided below ) ASAP.

5. The Indenture Trustee is to send a check for the damages this fraudulent and discriminatory behavior has cost my business payable to XXXX XXXX XXXX in the amount of {$65000.00} ( 10 times the amount of the stolen securities ) within 5 business days.

6. My utilization on my credit report is to be fixed to 0 % and my report is to reflect Paid As Agreed at all times.

As a consumer, investor, and Attorney-in-Fact over my account I have the right to make sure my finances and livelihood are in good standing. If the company decides that it is not going to comply with the demands in this notice I will be forced to involve more regulatory agencies including but not limited to the SEC, the FDIC, and the OCC. I appreciate your prompt attention to this matter. 


Sincerely, XXXX XXXX Co XXXX, XXXX XXXX XXXX XXXX XXXX

Company response to consumer: Closed with explanation