ONLINE -- Discover IT hounded me & practically stalked me to take their invitation to apply for their card & I blew them off for a year or so. I decided to finally take their invitation, entered the invitation code, and applied. Within minutes I got a message stating I was approved, what my CL would be, & to expect my card in the mail "soon." I received no confirmation of this in my email, phone, or physical mailbox. Come to find out, Discover didn't even run my credit & the only thing I got from them today in the mail was ANOTHER INVITE!
There's no card coming. They don't even know what I'm talking about yet I'm looking right at the "Congratulations You're Approved for a Discover Card" with my credit limit listed right on that page right now! What a waste of time & nerves. That is all a red flag warning sign for being disorganized & dishonest. I'll pass.
SALT LAKE CITY, UTAH -- I have been a Discover card holder since 2001 while enlisted in the United States Air Force. They have been quite helpful in the past, until a slew of recent events involving Discover Card and their account managers have put my relationship with them in serious jeopardy. I understand I am among thousands that have had issues with them and I know that my problem is no more important than the next person. Discover card has led me on, they have called me a liar, and they have charged close to $200 dollars to my account in which they refuse to refund.
Allow me to elaborate, back in Sept. 2009 my vehicle was broken into. I lost close to $3000 in personal belongings as well as my personal banking information. I called the police and opened an investigation as well as received a police report. A couple days later I closed my bank account and opened a new one. I had my Discover Card account set up to debit money monthly out of my account. After closing my bank account I started to pay Discover Card through my new account manually because I knew they could no longer be paid through my old one. For about 4-5 months I paid Discover Card $50 a month until I got my life back together.
I was never late on payments during this time. Around mid to late December I realized my account balance was going up not down. I knew something was wrong because I was paying almost $20 over the minimum payment. What I found out was that Discover Card was accepting my $50 payment and then charging me a $39 returned Check fee because they were attempting to debit my closed bank account. I called to explain to them what was happening and they handed me off to several different people who were all unwilling and seemed in no way interested in helping me.
I explained that this was a screw up and that my records show that I have been paying monthly and that they were still trying to debit an account that was closed. I simply asked that they refund the money from the Return Check charges. They said for me to pay $90 dollars and to call back once I did. So on the 8th of January I paid as requested and about a week later I called back. I explained that I had done what I was asked, now I would like to get my money refunded. They quickly started to hand me off to different account managers that all said they could not help me.
During all this they made it very clear that they did not believe my story. I was pretty much called a liar. I have a police report and I can get any information they require from the bank but they were not interested. They took my monthly payment then proceeded to charge me a $39 fee for returned check because they could. In no way did they attempt to call or inform me of any problem. I was treated very disrespectfully! I was called a liar, and after 2 hours of phone calls and a letter to Discover Card they refuse to help. They have absolutely zero integrity as a financial institution and they treat their clients/patrons like dogs.
I was given the address to their complaint department because they don't want to take phone calls from angry patrons to whom they rip off. In my letter I again explained to them that all I want are my fees refunded to my account. They sent me a letter back saying that they received my letter and that they are missing information, they wanted me to call back so they can get the required information to complete their investigation.
However, upon calling they informed me that the only reason they wanted me to call is so that they could tell me that they will not be assisting me with my problem. So again they misled me to believe they were willing to help and again they showed their true colors. The only thing that will resolve this issue is a refund of all fees taken from my account from Sept. 2009 to Feb. 2010.
Let me preface my review by stating that until this incident, I had been an advocate of the Discover card. I was laid off in February of this year and hadn't secured employment. In April, I contacted Discover regarding my account to see if there was any assistance they could offer regarding my monthly payment. The representative I spoke to was quite helpful, or so I thought at the time, and advised me she could place a "freeze" on my account, which would not allow me to use my card for 6 months, and pay a lower interest rate so more of my monthly payment would go towards the principle.
Since I am a firm believer that if something sounds too good to be true, it usually is. I asked and verified several times that if I did this, after the six month period the card would then automatically be reinstated without penalty. I ended the phone call on this premise. Time past and in September I thankfully acquired employment. I contacted Discover to let them know I no longer needed the account to be frozen and was advised by the representative to just ride out the six months at the lower rate. I was again reassured the account would be reinstated at the end of the six month period.
I waited until November which was the end of what I thought was the six month period and contacted Discover regarding to make sure my account was reinstated. I was advised I had to wait until November 30th exactly because that would make the exact six month mark. I did so. When I called Discover back, much to my dismay, I was told they would not be reinstating my account and it would remain as suspended. I went back and forth with the representative on the phone who advised me during the time my account was frozen, policy and procedure had changed and they reviewed accounts and individuals credit reports prior to reinstating them.
The representative stated I had too much outstanding debt and Discover would not reinstate my card at this juncture in time. All this despite the fact that I had no issues paying the same monthly payment I had always paid, had never been late on a payment, and had an account in good standing with them for close to ten years. I requested to speak to a supervisor because it is my understanding that if a new policy or procedure is set forth, it cannot be backdated or applied to issues that existed prior to the implementation of the policy. Also, I was never told of any review or redetermination at the inception of my agreement with the initial representative.
I was told the supervisor was out to lunch and I would have to wait up to 24 hours for a call back. I did so, and when the supervisor called me back I simply got a reiteration of what the representative had said. No consideration, no assistance, nothing. Even when I stated I was seriously considering either closing my account, or seeking legal assistance, my statement was met with indifference. I still don't understand how they can implement and apply a new policy without notifying their customers.
As I stated to both the representative and the supervisor, if I would have been told at the beginning that my account was being suspended and I would have to be subject to a review at the end of the period to determine if my account could be reinstated, I would have NEVER agreed to freeze my account as I was told initially. It is a shame that in today's society, we are so dependent on credit, credit rating, credit worthiness. We are gravitating more towards a money-less society each day without realizing the implications it brings with it.
I'm not sure how, if at all, this review will help anyone. All I can say is wary, be very wary of credit card companies. These are my three cents.
WILMINGTON, DELAWARE -- Fellow hardworking American citizens, DO NOT UNDER ANY CIRCUMSTANCES GET A DISCOVER CARD!!!!!!!!! (Have a bake sale, a car wash, sell stuff on eBay, but don't get screwed by a credit card company, like I am getting screwed, BUT NOW FIGHTING BACK.)
Don't get any credit card for that matter. I know you have heard this before, but it can't hurt to hear it one more time because it is that important, now more than ever. With these credit card companies and their bank cronies teaming up with Washington to butt screw America till we submit or I guess fight back like I am doing and you should to, one at a time, we can fix this, and that's democracy...
My story or a rough cut of a letter that is truly still a work in progress is below, it is being sent to Discover, craft your own letter, fight the power, no more 28% interest, no more debts that last 20 years because they are specially formulated to keep you in debt, based on the companies knowing your payment history that is what you are capable of, and hitting you with fees or an interest rate, to keep you in debt. It is IN DISCOVER CARDS BEST INTEREST FOR YOU TO BE SUFFOCATED WITH DEBT YOUR ENTIRE LIFE, no more!!!!
Make a stand, the time to fight is now. Complain on the internet, post your stories, rants, complaints, even if they are rough like mine, you can come back and hone them up later. Also file complaints with the Better Business Bureau, etcetera. More below...
My name is ** and I am submitting this formal complaint letter to Discover Card. I am a very dissatisfied customer and will also be submitting this letter with adjustments made per the audience to the Better Business Bureau, City, State and Federal business regulatory commissions, consumer advocacy groups, my local politicians where I first became a Discover card holder, and to the politicians where I currently reside, local, State and Federal.
In addition I will wage an all out campaign against Discover Card and their unscrupulous practices via the internet, by any means necessary. I will give Discover Card 7 days from my mailing of this letter to address this situation, I will be willing to negotiate, initially, but in the past when I have battled capitalistic, corrupt institutions like Discover Card I have found they do not work with me until they see the full barrage one motivated consumer can wreak upon their business. I have held a Discover card for over 9 years; I have 99% of the time paid my bill, in full on time. I have made a lot of money for your company. That is over.
Problem # 1: My credit limit is at roughly $5000, you loaned me $5000. How many times do you think I have paid you $5000, for the privilege of that initial loan, and how many more times does Discover Card expect me to pay another, and another $5000 on that initial loan you made to me years ago. Other consumers may pay, and pay, but I am standing up and telling you, you made your money off of me and we are through. I have not even used my card for almost 2 years only made payments and their that debt is unmovable, and not even just the minimum payments, we're talking 300 dollars here, 500 this month, 150 another month, and the debt stays the same...
Problem # 2, closely tied into Problem #1: Discover Card has figured out a way based on consumers average payments, interest rate, credit limit etcetera to keep a consumer constantly and permanently in debt. We have all heard the statistics of how long it would take most consumers to logically and reasonably pay off their credit card debt. We have also heard of how many hard working, good, decent Americans are buried in your credit card debt. Enough's enough. The real question is, do you settle with me, or do you allow me to begin my campaign to encourage all consumers to fight and push, and push and litigate, and default, until your company collapses.
Problem # 3: You have consumers agree to changes in contracts, not by signing or even reading (witnessing) the change but simply by continuing to use their card. So you sell a consumer a Credit Card via an awesome 0%, no payments, incentives, cash back, sales pitch, then mail about thirty offers, junk mail, to the consumer's house over the next year. But one of those envelopes contains addendums to the original contract, like if you miss one payment not only will you be assessed a late fee (Double Jeopardy Punished twice for the same offense), but your interest rate doubles.
How about a late fee or double someone's interest, rate, or how about hey I made my payment, for whatever reason it was a little late, people have logical reasons for being late in life, and so all is forgiven you still get your money and you are still getting 10-13 percent interest on your money, BUT that's not good enough for the fine people at Discover Card, NO. How about my money and 13 percent interest, and a late fee. Nope that's not good enough either. Double the interest rate too.
No consumer in their right mind would or for that matter, it turns out, ever did agree to this clause. That clause isn't how Discover Card gets customers. You get 'em with a beautiful offer. Then send out an addendum to their contract. I would be willing to fight this in court on the grounds that, YES, FOR A CONTRACT TO BE VALID BOTH PARTIES HAVE TO READ, AGREE TO AND SIGN IT.
For that matter I might just say that I am not sure I ever signed an agreement with Discover Card, and maybe many consumers didn't. I don't know if I signed my initial contract, it would be easy to find out, but I know I never signed any addendums, concerning raising my interest rate for late payments. The question is, do I take legal action action against Discover or do I encourage thousands, no millions of consumers to take action, involving many lawyers, in a class action lawsuit against Discover on the validity of contracts. This is just one point among many that could dissolve you and other credit institutions in an instant if this goes to court.
Problem # 4: And in Closing, I will not pay my Discover Card bill, not now, not ever. Like so many other hard working Americans. Discover card HAS constructed a system to keep consumers in debt. You and other credit lending institutions are unscrupulous. The time for change is NOW. You crossed the wrong guy in this consumer. I will negotiate with you now (maybe) or within 7 days of you receipt of this letter.
But then I pull no punches, and settle for no less than the bankruptcy and collapse of your company, via consumer education, spun into individuals fighting Discover card. Turning into class action lawsuits all over the country concerning the validity of contracts and other unfair practices, and turning over accounts and bills concerning overcharges, re-adjustment of interest paid, refunds, refunds, refunds, collapse. I hope to hear from Discover Card representative soon concerning this issue, if not.
One more thing... recently I made a payment on my card at Sears. Discover card called me a month later and said I owed them a 2 payments, and a late fee, and they are going to raise (double) my interest rate, because that's what they do if you miss one payment. Well, this is because they didn't get the payment I made. Computer error... people error, don't know yet, it's under investigation. Just telling consumers this because all Discover Card holders who have ever been assessed a late fee, or had their interest rates increased, should immediately, don't delay, call or email Discover and demand an audit/investigation of your account.
It could be they made a mistake, and didn't get your payment, have them turn over the books on your account, before you ever let them charge you a late fee or raise your interest rate. Thank you for reading. If we all stand up to this we can beat it... Democracy?
How can a company this size go BROKE? Ask for bailout money and then charge the American people 25 to 35% interest on their cards. It's sad but more so SICK to take our money (bailout) and then let us use it at 28% interest. The government should have let them go and just disappear. The CEO should have been fired and all of the board members with him. So this is what you call sick. Just a suggestion, DON'T SUPPORT A SICK COMPANY WITH NO INTEREST OF YOURS CONSIDERED.
I only have been a card member for 1 year with Discover and can understand the negative sentiments coming from card members who have been with the company for 10+ years. That is helping me as well as other prospective card members think twice. Let me tell my story and perhaps people will benefit from the story. (I have other credit cards too: AMEX and BOA.) Before the issues: Great customer service, great benefits, competitive APR.
Now issues has come up (within the past few months): Very rude customer service - I like to talk online through their email secure system and the representative especially the recent one has been rude and quite defensive when I was being very nice and explaining to this gentleman how Discover makes money and how they should treat customers like me with respect. I could if it is so desired to copy and paste the emails back and forth between me and the reps. There is no negotiation even though they say it in the emails. It is either their way or no way.
APR - They won't move your APR even if you have perfect credit, to a more "normal" rate even when you type pages of reasons why a customer like me should deserve one. All I ask is for a reduce in APR, that is all. I don't ask for much but I expect that especially since Discover has a spend centric model and receives money from the TARP. It has been ongoing for months about this topic
. Extras - Be very careful when you sign up for this credit protection services. I had issues with one of them: credit score protector. I signed up for this service to see my credit score and how it was affected by our awful economy credit limit cuts. So I tried out this service which was decent to start off with. After a few weeks of promises that I would receive the welcome kit in the mail, I decided to cancel it and I did.
They credit me $12.74 out of the $12.95 owed to me for that month. Obviously $.21 was missing. I emailed them asking them about this they said they would look into it. My response was a bit more firm because of the back and forth of having them said they would look into it. I said something like "I was told I would receive a full refund of $12.95, Discover gave me $12.74, I want the other $.21. It is that simple." It took Discover 3 days from that demand to get my money back. So in total with that credit protector services it took 2 weeks and 10 emails to receive the whole refund back as they promised.
Summation: I am not trying to make your decision for you but if the company that you are using isn't working for you, you must do something about it. I read about some people saying be nice. Well that is good; however, if you are trying to do everything you can to reason with them in a nice tone and they can't do one thing, unfortunately, it is OK to threaten. I can't see how Discover's customer service is rated so highly especially if there are a lot of complaints against customer service but more importantly representatives that I recently dealt with when it comes to APR and the extras I mentioned about. If you would like to discuss my issues with Discover please go ahead.
PS. It's been 3 months since I have tried to get the lower APR rate and they just wouldn't budge. They mentioned to me that "because of the business environment" they cannot do so. There is just one problem with this. They receive money from the TAPR and from the FED window. Yet when customers ask for help, they don't.
I am not a blogger, but this recent event has left me compelled to tell my experience in an effort to hopefully save some others a similarly bad day. Today (Aug.27) I received a letter from Discover stating that they had reduced my credit limit. The date on the letter was Aug 20, 2009. On the 23rd I had gone online and checked my credit limit before paying for the renewal of my professional license. After opening the letter, I went online and saw that thankfully I was still under my credit limit. I decided to call and of course the number on the letter was 9-4, so I called the number on the back of my card.
I reached the Discover call center in Ohio and spoke with ***, who could have cared less about my concerns, gave me the company line and refused to see anything wrong (ethics) and reminded me that they were doing nothing illegal. Having worked 25 years in customer service I was shocked at his lack of any empathy as he told that "in fact you are already over your credit limit", but could not explain why online my balance showed under - he just said pending transactions.
I asked to speak with a supervisor and he put me on hold for a long time and came back and said none was available. He said he would ask one to call me, and what would this be in reference to? Hello! Did he hear anything that I said? No supervisor called so after an hour I called back. Again a callback. This time someone named ** called about 15 minutes later and did a better, more sophisticated job of telling me "too bad" but only after he tried to pawn me off to another office. No real humanity.
Don't these people have a life? Do they think that by reading from the company script they will get some kind of job security? Please, Discover will drop them like hot rocks if they need to reduce payroll in order to increase profitability.
Now, here is how they get you. They lower your credit limit, so you will go over. Then they charge you a $39.00 over-limit fee and raise your APR. ** basically told me that they give no notice because if they did people like me would run out and use up the remaining limit and that would not be right. What? Didn't these banks throw credit at us for years and now that Congress is doing something (a lame job) about it, they are punishing everyone that fed them business.
Check your online statement - or better yet - call. You may not get a letter until after the charge is "pending" and then you are hit with the aftermath and not even I am sorry, I feel your pain. The best thing we can do is become a cash society - difficult, I know, but the only way these institutions will realize our dissatisfaction. I hope this helps some folks avoid a bad situation.
Discover reaches for bailout funds
By: Steve Daniels Dec. 18, 2008
(Crain's) â Discover Financial Services Inc. is joining the growing ranks of firms reaching for federal bailout dollars.
Discover has applied to sell up to $1.2 billion of preferred shares to the federal government and to become a bank holding company, reversing its previous position that it likely would not participate in the Treasury Department's financial rescue program.
The Riverwoods-based credit-card issuer disclosed its about-face in its fourth-quarter earnings report today. In a conference call with analysts, CEO David Nelms characterized the decision as a prudent response to deteriorating economic conditions.
"We're positioning Discover to be one of only a handful of winners in the payments industry," he said.
In seeking to convert to a bank holding company, Discover is following the lead of the other big stand-alone credit card issuer, American Express Co., which opted to convert to a bank earlier this year. Assuming the Federal Reserve approves the application, Discover will become the second-largest bank holding company in the Chicago area, after Northern Trust Corp.
Mr. Nelms declined to disclose how much Discover asked for in equity from the Treasury Department. If it were a bank holding company today, Discover would have risk-weighted assets of $40 billion; that would put it in line for between $400 million and $1.2 billion in federal funds. The company hopes to receive a response to its application by yearend.
Discover executives emphasized that the company is well-capitalized without a federal infusion, even as it's writing off more consumer debt each quarter and expects write-offs to grow next year. It also is funding the vast majority of its loans through deposits, which have grown an average of $1.6 billion per month over the past six months.
"We think (becoming a bank holding company) is consistent with our conservative approach to managing the business," Mr. Nelms said.
But the consumer spending meltdown is hitting Discover's bottom line. The company posted fiscal fourth-quarter earnings of $444 million, or 92 cents per share, from continuing operations. Discover would have suffered a loss without $535 million in after-tax proceeds in the quarter from its $2.75-billion antitrust settlement in October with Visa and MasterCard.
Net charge-offs of delinquent accounts were 5.48% of Discover's managed loans in the fourth quarter, up from 5.2% in the third quarter. Mr. Nelms said he expected the first quarter charge-off rate to exceed 6% and couldn't predict how high write-offs would go after that.
"We cannot predict the U.S. economy and the state of the consumer with a great deal of certainty," he said.
Other large card operations, like Bank of America Corp. and Citigroup Inc., are reporting higher charge-off numbers than Discover, and industry analysts are predicting that overall loan losses in the industry could be a record in 2009.
Do you think they are COMUNIST BASED? Think about it getting tree money and then borrowing your own tax dollars back to you at more than 12% interest. Do You think that is a part of COMMUNISM? Write a comment back.
CHICAGO, ILLINOIS -- Yesterday I've applied for the Discover More credit card, impressed by its reviews and my credit card application was rejected. This is the second time my application was rejected for a Discover More Card. I know Discover more card is tough to get and has many favorable reviews. I have a 750+ FICO credit score and tried to get my hands busy with it.
(FYI I have 4 revolving credit accounts, 2 with WAMU, one with BOA, one with Citi Cards). After my first attempt (Jun '08) went in vain I thought it would be better to give it a try after a long period. Yesterday when my application was rejected, I thought it would be better to probe out the cause and to know if the card is not meant for me either. I've called the customer care number probe out for details, the representative was so eager to end my call saying "you should get a letter through mail." I asked her if she could let me talk to concerned department.
I was put on hold for sometime and another representative came into line, this time she's mentioned that "your credit history was not good". I've reminded her my credit score was 750+ and this was the first inquiry in the past 8 months. She put me on hold and diverted my call to Delaware operations. This time for a change I was speaking to a representative of senior level for a change and he was keen to end my call as well, citing just "bad credit". I've asked him if he could probe out what was the cause of rejection if he could find anything on report.
His reasons were my credit history was fairly young. I've maxed out on my other cards (it's a complete lie; in-fact my credit card balances were almost less than 30% of my actual credit line). I've many credit cards and might be a potential defaulter. (I've never missed any of my due-dates for any card so far and my running balances were never maxed out ever on any card.)
I've asked him if there's any such rule with the company that YOUNG 750+ credit histories would be considered as a potential threat (his answer was no) and reminded him that my credit cards balances were not as he has mentioned and asked him if he could be able to tell me the possible cause for rejection in a second row. He's just repeated the same sentence "BAD CREDIT HISTORY" and went silent when I tried put some conversation and said that he can't hear me good enough (bad line; but the line was crystal clear) and tried to ask if I had any other questions if not so he could end the call.
I don't think this is the kind of service I expect from a operations manager from a department or neither is the valid reason for denial. I don't know much if the Discover Card is really that great to have or worth another inquiry. I make 70k+ per year and has never defaulted for any credit or was behind on paying interest or never maxed out my credit limit.
One thing for sure that it makes me feel Discover card is another nuance for worst customer service. I wouldn't be applying or this card at all. I am happy with my AMEX BLUE CASH account and wouldn't be suggesting anyone for a Discover More Card. I wish I could show the one finger gesture with the two word sentence.
My Discover card adorns my bottom sock drawer and will continue to do so for the foreseeable future. I receive "offers" from Discover cluttering my junk mail 'round file' at least 4 times a week containing blank checks (a dangerous practice at best) attempting to lure me into limited-time low interest balance transfers and high ticket purchases, and still more "offers" related to bogus cash back bonuses, etc. The main reason I will not use the Discover card (which I have had since 1994 and previously did use) is their ridiculous and unrealistic interest rates. My credit score is 720, and no other creditor charges me as much as Discover.
I have called them several times in response to their offers and suggested if their rates were better, I'd be more likely to return as a customer, and the best they offered me about 3 months ago was 18%. I checked out Discover at Wikipedia and here is what the article had to say: "In the latter part of 2007, Discover Card began raising interest rates on many of its longer-term customers, typically to the Prime Rate plus 14.74% (which in October 2007 equated to a 22.99% annual percentage rate).
Customers who request the reasons in writing for the decision are notified that the increase is based on any (and not necessarily all) of the following characteristics: Account open longer than 12 months, APR less than 20.00%,
Account not used monthly". Today I received a form letter, ostensibly from the Sr. VP, thanking me for my phone call and again offering me various cash back bonuses (mostly for online services for which I am CERTAIN they receive a kickback from the vendors), but again, no offer of a reasonable interest rate.
This was my response (name excluded due to TOS): "I appreciate your form letter of (no date 2008) offering what you perceive as incentives to use my Discover card. Since you care so deeply about my opinion and needs as a cardholder, please allow me this opportunity to share them. What cardholders need is reasonable interest rates. We don't need silly cashback bonuses and online shopping with vendors who pay you a kickback. We need lower interest rates. The current financial times demand it. I assume you read a newspaper recently. My VISA card charges me 10.99% annual percentage and my Mastercard charges me 8.9%.
These are not introductory rates either, they are the actual APR for these cards (introductory is 5.9 and stays that low for the LIFE of the loan, not just a few months), and have been for at least 5 years. I have a credit limit of $15,000 on each of these two cards, so no silly little cashback bonus is going to be any kind of incentive for me to pay you upwards of 18% to use my Discover card. In fact, by paying OFF c(p)reditors like you and shifting my remaining debt to these permanently low interest cards, I have improved my overall financial standing tenfold.
As a result, I will actually be able to buy my own home, at a reasonable fixed rate mortgage (no phony "zero-down" scams), in about 18 months from now, once the mortgage and banking industry stabilizes. Of course, were it not for predatory lenders and greedy ridiculous interest rates forcing people to default, said instability would never have occurred.
I imagine (and hope) the shockwave will "trickle down" to lenders like yourself as well in the near future, and when it does, and when you realize you can only stay in business by charging a fair and reasonable interest rate, then maybe I'll take the Discover card out of my sock drawer and consider using it." Sincerely, a very happy NON user of your services NOT lured into financial ruin by false promises of "rewards" and the American Dream of home ownership (in other words, NO FOOL, and proud of it).