Consumer complaint received 2024-12-12 00:00:00
Product: Credit card — General-purpose credit card or charge card
Issue: Closing your account — Company closed your account
Company: JPMORGAN CHASE & CO.
State: TX

Complaint narrative:
Subject : Complaint Regarding Chase Banks Credit Card Closure Policy To Whom It May Concern, I am writing to file a complaint against Chase Bank regarding the forced closure of my credit card accounts due to what the bank described as excessive disputes. Upon review of the credit cardholder agreement provided by Chase, I found no specific language outlining a policy that links multiple disputes to account closures, nor any definition of what constitutes excessive or abusive use of the disputes process. No other Credit Union as such a policy, including XXXX XXXX XXXX. 

In XXXX of 2024, Chase Bank forcibly closed two of my credit card accounts, citing too many disputes within a calendar year as the reason on. Chase provided no warning about this policy when I applied for the cards or in any subsequent documentation. If I had been made aware of such a rule, I would have reconsidered initiating certain disputes to protect my account status. 

Furthermore, Chase encouraged me to reapply for a credit card after the initial closures. I reapplied for a XXXX XXXX card, which was approved, only to have it closed again within three days. This sequence of events involved a hard inquiry on my credit, which damaged my credit score. The inconsistency in the banks decision-making and lack of clarity in its policies have caused me personal and financial harm. The reason they provide in a letter was 'previously investigated activity reflecting a pattern of abuse '. This is simply outrageous. The disputes I filed were no more that many and were initiated in good faith to address legitimate issues with specific transactions. I inquired as to the number of disputes that I actually filed, and asked what constitutes 'excessive ', but got no answer from the executive team, specifically XXXX XXXX She simply would not return my calls. 

I believe this lack of transparency violates principles of fair treatment for consumers. Under the Fair Credit Billing Act, cardholders are entitled to dispute unauthorized or erroneous charges without fear of punitive measures. By not disclosing that exercising these rights could lead to account closures, Chase failed to provide me with adequate information to make an informed decision. 

I am requesting the CFPB to investigate this matter to ensure Chase Banks practices comply with consumer protection regulations. Specifically, I urge the CFPB to examine : 1. Whether Chase adequately discloses policies related to account closures due to dispute frequency.

2. The fairness of penalizing customers for utilizing their rights under the Fair Credit Billing Act.

3. The potential harm caused by approving applications and performing hard credit inquiries before immediate closures.

This issue highlights the need for greater transparency in Chases credit card agreements and more equitable treatment of consumers exercising their rights. I respectfully request your assistance in resolving this matter and ensuring such practices are reviewed for fairness and legality. 

Thank you for your attention to this matter. 

Sincerely, XXXX XXXX XXXX ( XXXX ) XXXX

Company response to consumer: Closed with explanation