Consumer complaint received 2026-06-01 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: IL

Complaint narrative:
Account XXXX I am submitting this complaint regarding American Express 's assessment of repeated fees on a nominal charge after circumstances outside of my control caused a payment disruption. My American Express account was used for an XXXX subscription charge in the amount of {$12.00}. Around the same time, my personal bank account became frozen due to a court citation and judgment enforcement proceeding. As a result, a payment intended to satisfy the {$12.00} charge was returned. Importantly, the account freeze was not caused by fraud, misconduct, or an intentional refusal to pay. The freeze resulted from a legal proceeding that was later reviewed by the court, and the underlying judgment that caused the freeze was subsequently vacated. After becoming aware of the issue, I paid the principal balance and attempted to resolve the account. I also notified American Express of the circumstances surrounding the returned payment. At that point, the actual amount owed for purchases was only {$12.00}. Rather than working toward a reasonable resolution, American Express assessed a returned-payment fee, followed by late fees and additional charges in subsequent billing cycles. As a result, a balance that originated from a {$12.00} subscription charge grew to approximately {$130.00}, with the overwhelming majority of the balance ( if not everything ) consisting of fees rather than purchases. I also requested that American Express apply available Membership Rewards points toward any outstanding balance. My request was not accommodated, and the account remained subject to continuing fee assessments despite my efforts to resolve the matter. At the time of closure on XX/XX/XXXX I had XXXX points that I intended to redeem to bring my account to zero, but it wasn't done outside of my control. I closed the account because I no longer wished to continue the relationship under these circumstances. Nevertheless, American Express continued to seek payment of a balance that was primarily composed of penalty fees arising from a temporary and involuntary payment interruption. I believe this outcome is unfair and disproportionate. The purpose of fees is to compensate for actual costs or risks associated with a missed payment, not to transform a {$12.00} charge into a balance exceeding ten times the original amount. Once American Express was informed of the circumstances and I made efforts to resolve the principal balance, continued fee accumulation served no legitimate purpose other than increasing the amount being collected. I respectfully request that American Express review this matter, remove all returned-payment fees, late fees, and related charges, adjust the account to reflect only the original principal amount already paid, and update its records to show that no balance remains due. I have documentation supporting the court 's vacatur of the judgment that caused the account freeze, evidence of my communications with American Express, and records showing payment of the underlying principal balance.

Company response to consumer: Closed with explanation