Consumer complaint received 2025-10-17 00:00:00
Product: Credit card — Store credit card
Issue: Other features, terms, or problems — Other problem
Company: SYNCHRONY FINANCIAL
State: AL

Complaint narrative:
PRE-ARBITRATION DEMAND : I am writing regarding the above-referenced account and your handling of my security deposit and the charge-off of this account. I dispute your actions and assert that they violate provisions of consumer law and the contractual terms. I demand the following immediate actions. 

Statement of Facts & Legal Objections Security Deposit Misapplication / Non-return Under the contract terms you provided, you reserve the right to apply funds from the security deposit only in certain limited circumstances ( e.g. to pay existing balances upon account closure or default ), and then only after satisfying those balances, with any excess to be returned to me. 

However : I never received my security deposit back nor was it applied to my remaining balance. It still shows a balance of I believe the security deposit was improperly withheld or misapplied to the remaining balance. 

That action ( if done ) was inconsistent with the terms of the agreement and may violate state and federal consumer protection laws.

Improper / Accelerated Charge-off in 60 Days You appear to have charged off my account within 60 days of nonpayment or default. That is extremely accelerated relative to standard credit card industry practice, which typically allows 120 to 180 days before charge-off for open-end credit accounts. 


Unless your specific agreement clearly and lawfully permits such an accelerated charge-off schedule ( which most do not ), your premature charge-off is unfair, deceptive, and may constitute a breach of contract or violation of statutory protections.

Violation of the Fair Credit Reporting Act ( FCRA ) Reporting a charge-off or unpaid balance that is inaccurate or erroneous constitutes furnishing inaccurate information under the FCRA, 15 U.S.C. 1681s-2. You have an obligation to ensure all information you furnish to credit bureaus is complete and accurate.

Because your charge-off appears to have been made improperly, I dispute its accuracy, and demand its removal unless you can provide verifiable proof that it was valid under the contract and applicable law. 

Potential Claims under State Consumer Protection Laws/ Breach of Contract Depending on the state where this contract is governed, your conduct in retaining or applying my deposit, and charging off my account prematurely, may violate implied obligations of good faith and fair dealing, state consumer protection statutes, or breach your original agreement with me.

You have violated the following : Breach of contract violated the terms of the deposit clause or charge-off provisions in your agreement. 

Unfair or deceptive trade practice / consumer protection statute there's a consumer protection law that prohibits withholding deposits unfairly or misrepresenting the terms. 

Violation of the Fair Credit Reporting Act ( FCRA ) ireported negative or charge-off data that is inaccurate or not justified, you I demand correction or removal.

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