Consumer complaint received 2026-01-19 00:00:00
Product: Credit card — General-purpose credit card or charge card
Issue: Incorrect information on your report — Account status incorrect
Company: SYNCHRONY FINANCIAL
State: AR

Complaint narrative:
* * Edit : Because the system looks to be setup to file complaints individually, I would like to clarify that this a formal complaint for two different accounts from two different retailers. Both accounts are issued by Synchrony Bank and have had a significant balance impact. The XXXX card was hit significantly harder relative to its history, which, in my opinion, directly triggered the XXXX score drop. 

Paypal Cashback Mastercard # XXXX - Credit limit was cut 62.03 % from {$5900.00} to {$2200.00}. 

XXXXXXXX XXXX XXXXXXXX # XXXX - Credit limit was slashed 95.83 % from {$6000.00} to {$250.00}. 





I am writing to you today because I find myself in a deeply distressing situation that I have been unable to resolve despite my best efforts. I have been a loyal and responsible customer of the PayPal Cashback Mastercard for almost 10 years, and the XXXX card ( both issued by Synchrony Bank ) for roughly 6 months. I am currently in the process of launching a new business, and I have spent months meticulously preparing my financial standing to qualify for an SBA startup loan. However, a systemic technical failure between my bank and PayPal has triggered a sequence of events that now threatens my ability to secure the initial funding for this venture. 
Ive reached out to both PayPal and my bank multiple times to proactively resolve these technical discrepancies before they could impact my standing. Despite my transparency, Synchrony Bank took extreme adverse action approximately 48 hours after one of my last calls, abruptly slashing my credit limits by {$9400.00} ( 62.03 % and 95.83 % ). I have spent roughly 36 hours managing this crisis, caught in a technical 'black box ' between two giant systems. During my calls, the PayPal team mentioned an 'error code ' they were seeing but stated they lacked the access to share that code with me. My bank, meanwhile, confirms that my account is perfectly fine and there are no blocks. 
Upon digging into my records, I discovered, what seems to be, a recurring pattern of fictitious ledger reporting. On XXXX and XXXX, PayPals ledger recorded 'Completed Drafts ' from my bank for {$25.00} and {$25.00} ( XXXX. XXXX, XXXX ). My bank records prove these funds never moved, and I never authorized these transfers ( XXXXXXXX XXXX ). These appear to be system-side 'balancing ' entries used to offset internal failures ( reversals ). This instability is not new ; the XXXX cards first few billing cycles were somewhat fallible starting XX/XX/XXXX. For example, the system failed to even generate a payment due date between XXXX and XXXX, creating a confusing and turmoilous billing cycle. This inconsistent reporting has led to unfair late fees despite my attempts to remain current ( XXXXXXXX XXXX ). Furthermore, the PayPal interface showed transactions as 'Cleared ' on the main screen, while 'Reversed ' was only visible deep in the transaction details ( XXXX. XXXX ). 
The impact of these errors have been a total derailment of my business plans. My credit utilization was forced from a healthy XXXXXXXX  % to a staggering XXXX  % on one account, and from 3 % to 76 % on another, causing my credit score to drop by XXXX points on both XXXX  and XXXX in a single week, according to XXXX XXXX ( XXXX. XXXX, XXXX ). 
As a prospective business owner, this is devastating. Due to the plummet of my credit scores, I have since been denied standard financing and was offered 'debt restructuring " insteada category that mischaracterizes my actual financial standing. Most critically, my SBA loan application is now in significant jeopardy. My future livelihood is being stalled by a technical ledger error that I have no power to fix myself.

I am not looking for a fight, I'm simply looking for a correction. I would be incredibly grateful for the CFPBs help in mediating this so that Synchrony can see the truth in my bank records and restore my standing. I just want to return to the stable financial life I have worked for years to build.

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 monetary relief