Consumer complaint received 2025-07-17 00:00:00
Product: Credit reporting or other personal consumer reports — Credit reporting
Issue: Problem with a company's investigation into an existing problem — Their investigation did not fix an error on your report
Company: DISCOVER BANK
State: NJ

Complaint narrative:
I am submitting this complaint against Discover Bank for furnishing inaccurate and harmful information to the credit reporting agencies in violation of the Fair Credit Reporting Act ( FCRA ), including 15 U.S.C. 1681s-2 ( a ) and ( b ). I believe Discovers actions are not only legally noncompliant but now appear retaliatory and punitive in nature. 

In XX/XX/XXXX, I opened a secured credit card with Discover Bank in an effort to rebuild my credit following a period of identity theft and financial abuse. Within a short time, the card was used for fraudulent transactions, which I promptly disputed between XX/XX/XXXXXXXX  and XX/XX/XXXX. 

While Discovers investigation into those disputes was ongoing, the bank closed the account on XX/XX/XXXX. At the time of closure, the account carried no balance and could not be used for further transactions. In XXXX and XX/XX/XXXX, I received email confirmations from Discover that the disputes were resolved in my favor. The messages stated that if merchants responded with additional documentation, I would be given the opportunity to review and respond. 

I received no further emails or communications from Discover regarding the status of the disputed transactions and had no reason to believe that the disputed transactions would be reversed and added back to the account over 6 months later. Nonetheless, that is in fact what occurred. After speaking with an account representative on XX/XX/XXXXXXXX  and on XX/XX/XXXXXXXX  I learned for the first time that two of the merchants had responded and allegedly provided documentation to support the validity of the charges. I never received an email, letter, or any tpe of correspondence information me of this update and I was deprived the opportunity to respond and provide supporting documentation, such as FTC Identity Theft reports and police reports detailing that I was a victim of identity theft. Instead, months after the account was closed, Discover re-added the fraudulent charges in XXXX and XX/XX/XXXX, and subsequently reported the account as past due and delinquenteffectively marking two late payments on a closed, previously settled account. 

These actions are inaccurate and misleading as the disputed charges were fraudulent. Further, I was never informed that the merchant responded and therefore I was denied the opportunity to respond, as Discovers own policy promised. Notably, the charges were re-aged and reported six months after account closure, which violates the spiritif not the letterof FCRA 623 ( a ) ( 5 ) and 1681s-2 ( a ).

Since XXXX, I have submitted numerous disputes to XXXX, XXXX, and XXXX, as well as directly to Discover. In every instance, Discover has responded by stating that the information is verified as accurate. However, this is not true, and Discover has never addressed or acknowledged the procedural failures described above. 

At this point, I believe Discovers actions have become retaliatory or punitive. Rather than correcting their errors or properly investigating my disputes, Discover continues to maintain false derogatory marks on my credit filedespite clear evidence that the account was closed with no balance ; that I was not properly notified of any dispute reversals ; that I was never informed about merchant submissions, and I was never late on any payments owed to Discover. 

This inaccurate reporting has remained on my credit reports for over five years and has significantly damaged my credit profile, resulting in repeated credit denials, increased interest rates, and emotional distress due to the inability to move forward financially.

Company response to consumer: Closed with non-monetary relief