Consumer complaint received 2025-01-20 00:00:00
Product: Credit card — General-purpose credit card or charge card
Issue: Other features, terms, or problems — Problem with balance transfer
Company: DISCOVER BANK
State: NC

Complaint narrative:
For months I have been disputing the fraudulent activities against me that I have been forced to endure with DISCOVER. Firstly, I had been receiving my check attached to my payment coupon/ remittance advice knowing that they were credits owed to me that DISCOVER has mislead me and other Americans to believe it is NOT. I have numerous of times accepted all titles, interest, equity etc owed to my principle XXXX XXXX XXXX but have been ignored. I also instructed them and/or their affiliates to add the interest to the check and they refused. I was also aware that I could reject the goods ( payment coupon/check ) and not be held liable for it according to the UCC Article 2. You can see in the attached payment coupon and check the goods were delivered to me every month this way ( non conforming ) and I sent numerous billing errors to DISCOVER of that fact and have been ignored. These checks and payment coupons were delivered to me from their accounts payable. Which indicates those are assets to me and liabilities to Discover. Rather I returned them or not they still were using the receivables from that exchange to securitize. 

Secondly, after doing extensive research on DISCOVER 's SEC filings I have noticed a lot of fraud that has taken place. Discover is reporting on my consumer credit report not only on inaccurate business debt they owe but also trying to misrepresent debt as mine that they do not even own. I have attached their Form XXXX and XXXX to further prove the fraud as well as my payment coupon and correspondence. Discover had securitized in a pool of receivables the payment coupons which reflects the alleged debt they say I owe. DISCOVER CARD EXECUTION NOTE XXXX/DISCOVER CARD XXXX XXXX I. In a securitization process, these trust acts as a vehicle to hold the underlying assets ( credit card receivables ) and issue securities backed by those assets to investors. The trust creates and sells these securities, which represent ownership in the underlying asset pool, to investors on the market. As you can see DISCOVER originates the credit card receivables sells a group of these receivables to a trust. The trust then creates and sells certificates backed by the credit card receivables to investors, which are predominately institutional investors. 

This alleged debt they state I owe was securitized and a debt can not be transferred back to them once it is securitized. Yet they still sent me payment coupons month after month making the check payable to Discover. ( Billing Error ) This is securities and commodities fraud pursuant to 18 USC 1348. They are reporting their business debt on my consumer credit report and even if it was my debt they DO NOT have the right to collect because it has been securitized. That is a violation of the FCRA providing FALSE and inaccurate information to the credit reporting agencies. It is also Extortion pursuant to 25 CFR 11.417. These illegal and fraudulent practices need to cease. The fraud being poured on XXXX XXXX XXXX is becoming overwhelming and these corrupt companies need to be held accountable. 
Lastly, I am aware that they pledge the application/agreement as the original collateral to obtain the credits/XXXX  pursuant to 12 USC 412 so this was an exchange and credits owed to me that they disguised as credits given by them. Pursuant to 12 USC 83 ( a ) NO BANK shall make any loan or discount on the security of the shares of its own stock. The agreement is NOT signed by DISCOVER only me therefore, no consideration was given to make it a legitimate contract between DISCOVER and myself. It also further proves nothing was given for consideration on DISCOVER 's part in order to collect anything. The credit application is the document that sets out the terms of the agreement, and my signature on it binds me to the terms of the credit agreement. However, Discover never signed and there has to be two signatures to make a legitimate contract.

Company response to consumer: Closed with non-monetary relief