Consumer complaint received 2025-10-14 00:00:00
Product: Credit card — Store credit card
Issue: Fees or interest — Problem with fees
Company: Bread Financial Holdings, Inc.
State: NY

Complaint narrative:
I had a 0 % promotional interest credit card, and the full balance was due by XX/XX/year>. On XX/XX/XXXX, I added a new bank account to pay off the full balance before the deadline. I submitted the payment through the account portal, and I believed it was processed correctly. 

However, on XX/XX/XXXX, I received an email stating that only a minimum payment of {$650.00} had been made, and that it wasnt processed until XX/XX/XXXX, after the promo expired. I immediately contacted the company now handling the loan, XXXX XXXX XXXX, and they claimed they only received the minimum paymentnot the full balance. 

I explained that I added a new bank account this was the only time I added this bank account due to the fact that it had the funds ready, so I can pay the full balance before the deadline. They said they didnt see that on their end, and that they cant make any adjustments. Now, theyre trying to charge me {$5400.00} in deferred interest from the two-year promo. A supervisor told me the best path forward to file a complaint and see what happens. 

I then had my lawyer draft a letter that I believed captured everything that needed to be said. 
Heres the letter : Subject : Request for Waiver of Accrued Promotional Financing Charges From the Office of Legal Counsel To Whom It May Concern, I am writing on behalf of my client in reference to the recent finance charges assessed following the expiration of a promotional financing period, which was set to end on XX/XX/year>. 

On XX/XX/year>, my client accessed the account portal and added a new bank account for the sole puprosae to pay this balance. we can sedn you a statement showing the funds were put in this account for the sole reasonto pay off the promotional balance in full prior to the expiration date. Despite this, only a minimum payment was processedand not until XX/XX/year>, after the promotional period had ended. This outcome appears inconsistent with both my clients intentions and typical account behavior, and suggests that a clerical or technical error may have occurred within the system. 

The records clearly reflect that the new bank account was successfully added well ahead of the deadline, and there is no logical basis for an automated minimum payment to have been triggered post-due date when full payment should have been made. My client has a strong history of responsible credit use, with all previous promotional balances paid on time and in full. At no point was there any intent to delay or short the payment. 

It is important to note that the full promotional balance has since been paid once he found out about this. My client did not become aware of this issue until receiving the XXXX statement notification on XX/XX/year>. 

We respectfully request that the full amount of the accrued finance charges be waived, in light of the circumstances and my clients longstanding positive account history. We are also fully aware of industry standards and consumer protections overseen by agencies such as theXX/XX/XXXXXXXX XXXX XXXX ( XXXX ) and the Federal Deposit Insurance Corporation ( FDIC ), and we are confident that your institution shares a commitment to transparency and fairness in resolving account discrepancies of this nature. 

We appreciate your attention to this matter and look forward to a fair and timely resolution. 

Subject : Urgent Dispute and Request for Resolution Promotional Balance Payment Error & Credit Reporting Impact To Whom It May Concern, I am following up regarding a serious issue related to my account, specifically concerning the deferred interest charges assessed after the expiration of my 0 % promotional financing period on XX/XX/year>, and the subsequent impact on my credit report. 

After I raised my initial concern, I received a letter from your office stating that the matter would be investigated and that I would not be charged finance charges while the review was ongoing. However, I later received a response that did not provide any explanation of what your investigation found, nor did it address the technical issue I initially reported. Instead, the letter simply stated that your institution was not at fault and that the full amount of accrued interest must be paid. 
Since then, the situation has deteriorated further. My credit report now reflects multiple missed paymentsincluding a 60-day and a 30-day late paymenteven though I had fully intended to pay the promotional balance before the deadline and took steps to do so. This has had a devastating impact on my credit score, which is extremely important to me, and it is now affecting multiple aspects of my life. 

I want to reiterate that on XX/XX/year>, I added a new bank account specifically for the purpose of paying the full promotional balance. This account had sufficient funds, and I can provide a statement clearly showing that the money was available at the time. I believed the payment had been successfully submitted and processed. The fact that only a minimum payment posted weeks laterafter the deadlinepoints to a processing error that I had no reason to anticipate or correct until I was notified in XXXX. 

Despite my efforts to resolve this promptly and in good faithincluding paying the full balance as soon as I became aware of the issueI am now being held responsible for thousands of dollars in interest and suffering credit damage due to circumstances outside my control. 

This is an urgent plea for assistance. I am asking you to review this matter again, taking into account the documented timeline, my payment history, the availability of funds, and the absence of any intent or negligence on my part. I respectfully request the following : A full waiver of the deferred interest charges, as previously outlined.

Immediate correction of the credit reporting to remove the 30- and 60-day late payment marks, which were triggered by a payment error I was unaware of and tried to resolve in good faith. 

A written explanation of what was reviewed and why the initial dispute was denied without addressing the key facts I provided. 

This situation is affecting my financial well-being and personal stability. I am more than willing to provide any documentation you require to support my claim and demonstrate my good-faith efforts to resolve the matter. 

Thank you again for your time and understanding. I sincerely hope this can be resolved fairly and swiftly.

Company response to consumer: Closed with explanation