Date Received: 2022-03-14
Issue: Problem with a credit reporting company's investigation into an existing problem
Subissue: Their investigation did not fix an error on your report
Consumer Complaint: In XXXX I had a credit card from Discover and in XXXX attempted to make a payment over the phone to a representative and gave him my account number and he confirm the payment. I was under the impression that my payment went through as the representative said that it went through. A couple weeks later I got an email from Discover stating that my payment was not able to be found with the account number. And because of that as you can see on my credit report that my payment was 60 days late. I attempted to make a payment as Discover told me that I called and spoke to a rep on XX/XX/XXXX which is about two weeks before the closing cycle. I made the attempt to make the payment and gave the accurate information to the representative and it is not fair that as a borrower I am paying the consequences of a late payment which I tried to make. I am not accusing the representative over the phone of putting a wrong Account number in but Im saying that Errors do happened in these types of Computer related transactions. I tried to dispute this in XXXX but I had no success as I dont believe that experience really went into debt to really understand what exactly happened on that day because after going into much detail today after calling I found out new information that the account number that I used to pay my bill was ending in the last XXXX digits of XXXX. This is kind of ironic because my account number ends the last XXXX in XXXX. I know that there was a mistake made and I have not changed my account number since and with this new information I strongly can confirm that a typo was made or a system had a glitch. You can see as clear as day that I attempted to make a payment and that is on their call log. Unfortunately they are not able to pull the call from the representative or from the manager at the current moment because the first rep the call can not be found and the second call with the manager he know is no longer with the company and it is not able to be pulled by a general consumer. This small late payment on my credit has really made life hard for me. And dont think its fair that I am paying the price an error on discover. I am even more disappointed that XXXX decided to open an investigation and not dig a bit deeper into the actual situation to confirm what actually happened. Because if they did actually look into it and pull the calls which most likely were not done due to the fact that theyre not available to the general public. Then it would be very apparent that I made an attempt to make the payment and I did give the correct information over the phone and the only reason that it was late was because there was an error in the payment that was made.
Company Response:
State: FL
Zip: 33181
Submitted Via: Web
Date Sent: 2022-03-14
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2022-03-13
Issue: Problem with a purchase shown on your statement
Subissue: Credit card company isn't resolving a dispute about a purchase on your statement
Consumer Complaint: To Whom It May Concern/Consumer Finance Protection Bureau : I am writing to file a formal complaint against Discover Card and their credit card dispute process. As a consumer and Discover credit cardholder of more than 25 years, I do not believe that Discover Card has represented my best interests fairly or transparently in the dispute process and, their actions and inactions in this case amount to gross negligence in addressing my concerns. I am asserting that Discover Card has failed to uphold their cardholder agreement for protection against fraud and receipt of fraudulent goods from a merchant and, therefore, I have not been protected under existing federal consumer financial laws. As you know, the Fair Credit Billing Act of XXXX entitles me to dispute charges for failure to receive the goods that I purchased. In this case, I failed to receive the goods that I purchased, and I have supplied the Discover Card dispute team with necessary documents to substantiate and solidify the facts of my dispute case while the merchant failed to supply documentation to support the authenticity of the goods provided, and the merchant, in fact, has never denied my claim that the product is not authentic. In summary, my dispute to Discover Card was made on XX/XX/XXXX after my return from a vacation in XXXX, XXXX where I made a purchase on XX/XX/XXXX using my Discover Card. My dispute was in reference to receiving fraudulent merchandise and the goods received were not what I purchased. I purchased several jewelry items from a merchant, XXXX XXXX, who identified the items as precious stone jewelry to include a pendant and earrings with genuine sapphires and a jewelry set including a pendant, earrings, ring, and bracelet with natural Paraiba tourmaline stones. I asked for documentation from the salesman of the authenticity of the stones purchased for which he provided a handwritten documentation of the stones and approximate carat weight on a merchant receipt. For these stones set in sterling silver, I was charged a total of {$4900.00} USD. Upon my return home, I paid for a XXXX-certified gemologist at a local jeweler to evaluate and identify the jewelry and stones. I was informed by the gemologist that the stones were cubic zirconia ( colored and colorless ) set in sterling silver and was provided with documentation of the XXXX-certified gemologist assessment of the jewelry. This supports my claim of fraud and gross misrepresentation of the product by the merchant and that I did not receive the goods that I purchased as I did not receive sapphire or Paraiba tourmaline stones as represented by the merchant at the time of purchase. I received fraudulent and unsatisfactory goods at a price commensurate with the price of genuine, authentic goods. Additional facts in the case presented to Discover Card during the dispute process included the fact that I discovered that the merchant was not XXXX XXXX, as listed on the jewelry item tags which is the name that we saw during evaluation and purchase of the jewelry. For reference, XXXX XXXX was identified as a store supported and recommended by XXXX XXXX XXXX in their shopping guide. I learned that the merchants name was XXXX XXXX which was not included in the XXXX shopping guide as a reputable dealer. This represented another deliberate attempt by this merchant to fraudulently represent their store as supported by XXXXXXXX XXXX XXXX and amounts to an act of deception by the merchant. In fact, the salesman in the store informed us that XXXX had purchased many of the stores at port including the one where we made the purchase which we now know is not true. During the dispute process, the only response from the merchant has been that no returns were allowed for buyers remorse or size change and that I made the purchase with the card. The merchant has provided no evidence that the goods are authentic and has not denied my claim that the products are fraudulent. I notified Discover Card that this is not a case of buyers remorse or a size issue. This is a case of receiving fraudulent goods that were grossly misrepresented at the time of purchase, thus I did not receive the goods purchased and therefore, I have asked for Discover Card to fulfill their obligation to provide protection under my cardholder agreement against such occurrences. Despite being reassured by Discover Card agents along the process that I had provided all that was needed to support this with the official jewelers assessment and that the merchant would be required to prove that the items were authentic and as represented at purchase, the only response provided by the merchant through the entire dispute process was that no returns were allowed for buyers remorse or size change. After receiving this response for the second time, I contacted Discover Card again and this time I asked to speak with a supervisor. When the supervisor returned my call, she informed me that Discover card had initially submitted my dispute incorrectly, so she corrected it as a fraud claim but there was no additional internal review by Discover Card. She stated that the process would go to arbitration and that the documents provided would be all that was allowed as the merchant would not be allowed to submit anything additional to the case. This process started around midXXXX XXXX ( my call with the supervisor was on XX/XX/XXXX ). I was just informed on XX/XX/XXXX that Discover Card closed the dispute case and found the charges to be valid. I called Discover card to file an appeal on XX/XX/XXXX at XXXX. I asked to speak to a supervisor who called me around XXXX on XX/XX/XXXX. I spoke with XXXX in the Ohio office of Discover Card and filed a formal verbal appeal to the dispute decision. She informed me that she had no other avenues other than filing a formal complaint to the Discover Card corporate office regarding my concerns. She searched for a means for me to file a consumer complaint as a cardholder, but was unable to locate any avenue for me to file a formal complaint with Discover Card. She also informed me that she was not allowed to tell me if or when I would hear back about the complaint from someone at their corporate office. I have also uploaded a formal appeal letter to my Discover Card dispute referencing my concerns. In addition, the charge has been reapplied to my account and will be due in the next billing cycle. She was unable to reverse the charge to my account during my appeal, therefore, I would appreciate an expedited review of my case. I am reaching out to you for assistance in this matter as, in my opinion, Discover Card has failed to uphold their cardholder agreement for protection against fraud as I have not received the goods that I purchased due to gross misrepresentation and merchandise fraud by the merchant. In addition, the Discover Card dispute process is inherently flawed and ineffective. I have provided necessary documentation, including a paid XXXX-certified gemologist assessment of the product, to support my claims. The merchant has provided no documentation that supports the authenticity of the product and they have also not denied my claim that the product is fake. The dispute process also lacks transparency and as a consumer, it appears that Discover Card team members lacked due diligence in investigating and resolving my concerns. Each stage of the dispute process returned the same response as if the dispute investigators were simply checking off boxes to move the process along to the next stage without any real investigation into the dispute and any attention to addressing my concerns. Based on Discover Cards response to my concerns, it appears that they will accept any response from a merchant in order to avoid a chargeback to the merchant. In this case, they have blindly accepted the merchants statement regardless of the fact that the merchants response failed to address the dispute claim in any manner. In this dispute case, my claim was for fraudulent merchandise received which has nothing to do with buyers remorse or issues with size. As I have noted, at each stage, I spoke to an agent to address my concerns regarding the dispute process and each time was reassured that I had provided all necessary documentation. If the initial dispute was filed incorrectly, as stated by the supervisor, there should have been additional internal review by the Discover dispute team prior to pushing this to arbitration given their own internal error. It is also my understanding that as a creditor, Discover Card, is obligated to resolve disputes within two billing cycles ( but not more than 90 days ) after getting the official dispute notification. I filed this dispute with Discover Card on XX/XX/XXXX and did not receive notification of their decision until XX/XX/XXXX which was a total of 187 days. I should have had resolution to my dispute no later than XX/XX/XXXX per these guidelines/standards. I am frankly very disappointed in Discover Card as this has been my primary credit card for more than 25 years and I have simply requested the buyer protection support that they claim they provide. I hope you will be able to help direct me to the next steps in proceeding with this complaint against Discover Card as expeditiously as possible given their failure to place the charge on hold pending further review. In addition, I hope you will be able to recommend any avenues to help me as the consumer to obtain a refund for receiving fraudulent merchandise from this merchant. Thank you for your attention to this matter. Best regards, Uploaded Attachments include : Receipt of purchase Written documentation from the merchant on the merchants receipt paper of the merchandise purchased detailing a description of the jewelry and precious stones as represented at the time of purchase Jewelry assessment documentation from XXXX-certified jeweler Jewelry tags removed from the items listing the store as XXXX XXXX instead of XXXX XXXX XXXXXXXX XXXX shoppers guide of approved/reputable merchants XXXX XXXX response letter to Discover Card
Company Response:
State: VA
Zip: 229XX
Submitted Via: Web
Date Sent: 2022-03-13
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2022-03-13
Issue: Advertising and marketing, including promotional offers
Subissue: Didn't receive advertised or promotional terms
Consumer Complaint: I was supposed to receive rewards points converted into cash and doubled by Discover after one year. I did not use any of my points at all and now I want {$230.00} in cash as advertised and promised. Company didnt want to give me my money
Company Response:
State: FL
Zip: 331XX
Submitted Via: Web
Date Sent: 2022-03-13
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2022-03-13
Issue: Closing your account
Subissue: Company closed your account
Consumer Complaint: The company Discover Financial Services closed my secured credit card for XXXX bias reasons. I reached out for a valid explanation and was provided with 2 different reasons for the closure. I have requested documents and the exact reason per my under the cardholder agreement and was never provided an answer.
Company Response:
State: GA
Zip: 30340
Submitted Via: Web
Date Sent: 2022-03-13
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2022-03-12
Issue: Problem with a purchase shown on your statement
Subissue: Credit card company isn't resolving a dispute about a purchase on your statement
Consumer Complaint: My name is XXXX XXXX XXXX, and I have been a DISCOVER CARD customer for XXXX years. EXCELLENT CREDIT I was recently the victim of a vicious criminal actor, who placed a XXXX XXXX to my head as he forced me to provide him with several of my bank account identifiers ( e.g., card numbers, etc. ). Under duress, I had no choice but to provide the suspect with my DISCOVER card number, which then resulted in multiple unauthorized charges. One of the largest charges ( {$8200.00} ) was completed at XXXX XXXX XXXX which is apparently a law firm in XXXXXXXX XXXX ( I have never heard of nor interacted with this business ). I have submitted the fraudulent transactions to the DISCOVER Customer Fraud Support division for help with this matter, but I have received no assistance ; certainly not the assistance that I believe should be provided to a XXXX, longstanding customer with a flawless financial track record. To me, this incident is no different than if somebody had robbed me at gunpoint, taken my wallet, and then used my credit cards DISCOVER TOLD ME I AUTHORIZED ALL THE CHARGES AND REFUSED TO DO ANYTHING. This scammer took everything, all my savings, all my credit cards, my driver 's license. I was never so scared in my life. I protest and they refuse to reverse all the charges. Statement attached. Ruined my XXXX XXXX score. Demand I pay the {$36000.00} charged. In all my XXXX years my record shows this is not me at all. I never ever have done this. I'm on a fixed income, and they expect almost {$800.00} a month I MUST pay. Asking me to pay for what this man did to me is outrageous. I can not HARDLY NOW pay for groceries ; medications and barely afford my rent. Other banks reversed the charges after investigation but NOT DISCOVER!! I am respectfully requesting your assistance with this matter. If it would assist you further, the case is actively being investigated by the XXXX XXXX Police Department. The detective handling the investigation has offered to provide additional information as requested ( XXXX XXXX, XXXX, XXXX ). He has stated that the evidence obtained so far is looking promising to identifying at least one suspect.
Company Response:
State: FL
Zip: 33076
Submitted Via: Web
Date Sent: 2022-03-12
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2022-03-11
Issue: Problem when making payments
Subissue: You never received your bill or did not know a payment was due
Consumer Complaint: Hi, My name is XXXX XXXX and I have been dealing with this Discover Bank issue for months to no avail. I am trying to go for a mortgage loan and Discover is just deliberating bashing my credit score while I have been a customer for over 3 years. I need the CFPB help pertaining to this issue. Please see the attached document posted below.
Company Response:
State: IL
Zip: 628XX
Submitted Via: Web
Date Sent: 2022-03-11
Company Response to Consumer: Closed with non-monetary relief
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2022-03-11
Issue: Attempts to collect debt not owed
Subissue: Debt was result of identity theft
Consumer Complaint: I'm writing to you out of pure frustration and desperation. I am in the process of purchasing a home and your company is reporting inaccurate information on my credit report. I have sent your company multiple dispute letters stating that this information is inaccurate, to no avail. Each time XXXX has said the company that provided them with the information has verified the data. Even though Discover has sent me proof they told you guys to delete it ( attached ) I have also sent your company several requests asking for the method of verification and the name of the person that provided the verification and they have ignored each of my requests. The account in question is DISCOVER BANK. XXXX and XXXX are not reporting this account XXXX continues to report on my credit report that this account is closed and that this account has multiple late payments when in fact, this is false and inaccurate information.I contacted Discover Associates and spoke with the supervisor that I worked with previously to handle this account and he stated that no one from your company has ever contacted them to conduct an investigation or requested verification of the status of the account. How did XXXX verify that this account has a closed status and/or any late payments? It clearly has not been verified and this account should be deleted immediately, as previously requested I am reaching out to you, as CEO to ensure that this is done. Otherwise, my next step will be to sue XXXX for multiple FCRA violations. If an immediate resolution to this issue is not made within the next 14 days, I am also preparing to file a claim with the MO Attorney General 's office. Your immediate attention to this matter would be greatly appreciated. Thanking you in advance,
Company Response:
State: IN
Zip: 462XX
Submitted Via: Web
Date Sent: 2022-03-11
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2022-03-11
Issue: Problem with a purchase shown on your statement
Subissue: Credit card company isn't resolving a dispute about a purchase on your statement
Consumer Complaint: I tried contacting Discover Card about two disputes. The individual refused to take my disputes seriously and instead put me on long-term hold with the intent of ignoring me. I have XX/XX/2022 dispute with XXXX for {$32.00}. I have never authorized XXXX monthly charge... ever. Their phone number does not work either. I have XX/XX/2022 dispute with Territory Ahead for {$100.00} because the merchandise was never received by me. I tried calling and using email.
Company Response:
State: IA
Zip: 51104
Submitted Via: Web
Date Sent: 2022-03-11
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2022-03-10
Issue: Incorrect information on your report
Subissue: Account information incorrect
Consumer Complaint: Discover is reporting a balance due to the major credit bureaus even though they cancelled/discharged the debt and issued a 1099-C The Issuance of a 1099-C and The Fair Credit Reporting Act There is no bright line rule regarding what should be reported on a consumers credit report when a 1099-C is issued. Although the IRS has provided some guidance in various information letters, federal and state courts have interpreted the IRS guidance in different ways. Nationwide, courts differ as to whether issuing a 1099-C extinguishes a debt and prohibits a creditor from pursuing collection or reporting the debt. While some courts are holding that the existence of a 1099-C form does not operate to distinguish a debt, other courts have held that it is inequitable to allow a creditor to belatedly enforce the alleged debt after it received the tax benefit of the charge-off. Some Courts Find That Issuance of a 1099-C is Evidence of a Discharge Some courts have been persuaded that it is inequitable to allow a creditor to belatedly enforce the alleged debt after it received the tax benefit of the charge-off. See, e.g., In re XXXX, XXXX XXXX XXXX, XXXX ( XXXX. XXXX XXXX XXXX XXXX ) ( " The actual ( or at least potential ) tax consequences of the form make it inequitable to allow the [ creditor ] to enforce its claims against the debtors '' ) ; Discover Bank XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX ( A ), XXXX, XXXX XXXX XXXX, XXXX ( XXXX XXXX. XXXX XXXX ) ( holding that it is inequitable to allow [ a creditor ] to belatedly enforce the alleged debt after it received the tax benefit of the charge-off ) ; XXXX XXXX XXXX XXXXXXXX XXXX XXXX XXXX XXXX, XXXX, XXXX XXXX XXXX, XXXX ( XXXX XXXX XXXX XXXX XXXXXXXX ) ( issuance of Form 1099-C after debt was written off is " prima facie evidence '' that debt had been discharged by creditor, sufficient to create an issue of fact ) XXXX XXXX XXXX XXXX XXXX XXXX XXXX, XXXX XXXX XXXX. XXXX XXXX XXXX XXXXXXXX XXXX. XXXX XX/XX/XXXX ) ( It would be inequitable to require that [ Defendant ] report the discharge of debt as income on his federal tax return or face the potential tax consequences and hold that the plaintiff may continue to hold him liable on the debt. ). Similarly, in In re XXXX, the bankruptcy court stated that although it generally agreed with the assessment that the IRS requires financial institutions to issue a 1099-C as a reporting requirement, it disagreed with courts that conclude that the issuance of a Form 1099-C does not, alone, operate to extinguish a debt. XXXX XXXX XXXX XXXXXXXX ( XXXX. XXXX. XXXX XXXX ). The bankruptcy court reasoned that the IRS interpretation in the above referenced information letters is in direct conflict with the Internal Revenue Code and the fact that cancellation of indebtedness income is included within a debtors gross income. Id. at 270. The court further determined that the issuance of a Form 1099-C reflects that a financial institution has, in accordance with 26 U.S.C. 6050P and 26 C.F.R. 1.6050P-1, discharged an indebtedness. Id. at 271. NOTE : If the identifiable event is a decision by the creditor, or the application of a defined policy of the creditor, to discontinue collection activity, then in fact discharge of debt did occur. If Discover did not intend to cancel the obligation when they reported the 1099-C to the IRS, then Discover should have provided me with a written statement included with the 1099C that stated the issuance of the 1099-C is to comply with IRS regulations and is not to be deemed a cancelation of the debt. I have disputed the balance on my old Discover account with XXXX XXXX and XXXX. The credit bureaus will update the balance to {$0.00} due to having a copy of the 1099-C. Then within 30 days of those disputes, Discover updates to the credit bureaus that the balance is OVER {$22000.00}. This is a vicious cycle that has to stop. I called Discover on XX/XX/XXXX and spoke with XXXX and XXXX regarding this matter and both of them told me that Discover would continue to keep reporting a balance of over {$22000.00} to the credit bureaus. Both XXXX and XXXX stated that Discover canceled/discharged the debt and that Discover would NEVER attempt to collect the debt as Discover issued a 1099-C and lawfully they can not accept any payments. Question- Is it worth it to Discover to risk litigation to keep reporting a balance on a debt that Discover clearly issued a 1099-C with code G? Or would it be better for Discover to report to the credit bureaus that the balance on the account is {$0.00}. I sincerely apologize for not paying Discover, I had many difficult situations arise in late XXXX, many hardships and despair in XXXX and XXXX. A few months ago things started to change, I am finally back on my feet, have accepted the many loses I have suffered, have overcome health conditions and have risen from despair. I realize that Discover does not care what happened to me financially, personally, mentally and physically and will most likely view my explanations as excuses for not paying. However, I would really appreciate if Discover would be so kind as to update the balance on my old account to {$0.00} balance per the 1099-C that was issued. I am desperately trying to refinance the mortgage on my home and Discovers reporting of a balance of over {$22000.00} is preventing from qualifying for a refinance.
Company Response:
State: IN
Zip: 46219
Submitted Via: Web
Date Sent: 2022-03-10
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2022-03-10
Issue: Incorrect information on your report
Subissue: Account information incorrect
Consumer Complaint: Discover is reporting a balance due to the major credit bureaus even though they cancelled/discharged the debt and issued a 1099-C The Issuance of a 1099-C and The Fair Credit Reporting Act There is no bright line rule regarding what should be reported on a consumers credit report when a 1099-C is issued. Although the IRS has provided some guidance in various information letters, federal and state courts have interpreted the IRS guidance in different ways. Nationwide, courts differ as to whether issuing a 1099-C extinguishes a debt and prohibits a creditor from pursuing collection or reporting the debt. While some courts are holding that the existence of a 1099-C form does not operate to distinguish a debt, other courts have held that it is inequitable to allow a creditor to belatedly enforce the alleged debt after it received the tax benefit of the charge-off. Some Courts Find That Issuance of a 1099-C is Evidence of a Discharge Some courts have been persuaded that it is inequitable to allow a creditor to belatedly enforce the alleged debt after it received the tax benefit of the charge-off. See, e.g., In re Crosby, 261 BR 470, 474 ( Bankr. Ct. D. Kan. XXXX ) ( " The actual ( or at least potential ) tax consequences of the form make it inequitable to allow the [ creditor ] to enforce its claims against the debtors '' ) ; Discover Bank v. Shimer , 36 Misc . 3d 1214 ( A ), 1, 957 N.Y.S.2d 263, 263 ( N.Y. Dist. CtXXXX XXXX ) ( holding that it is inequitable to allow [ a creditor ] to belatedly enforce the alleged debt after it received the tax benefit of the charge-off ) ; Amtrust Bank v. Fossett , 223 Ariz. 438, 441, 224 P.3d 935, 938 ( Ariz. Ct. App . XXXX ) ( issuance of Form 1099-C after debt was written off is " prima facie evidence '' that debt had been discharged by creditor, sufficient to create an issue of fact ) Franklin Credit Mgmt . Corp. v. Nicholas, XXXX Conn. Super. LEXIS 1908 ( Conn. Super. Ct. XXXX XXXX XXXX XXXX ( It would be inequitable to require that [ Defendant ] report the discharge of debt as income on his federal tax return or face the potential tax consequences and hold that the plaintiff may continue to hold him liable on the debt. ). Similarly, in In re Reed, the bankruptcy court stated that although it generally agreed with the assessment that the IRS requires financial institutions to issue a 1099-C as a reporting requirement, it disagreed with courts that conclude that the issuance of a Form 1099-C does not, alone, operate to extinguish a debt. 492 B.R. 261, 269 ( Bankr. E.D. Tenn. XXXX ). The bankruptcy court reasoned that the IRS interpretation in the above referenced information letters is in direct conflict with the Internal Revenue Code and the fact that cancellation of indebtedness income is included within a debtors gross income. Id. at 270. The court further determined that the issuance of a Form 1099-C reflects that a financial institution has, in accordance with 26 U.S.C. 6050P and 26 C.F.R. 1.6050P-1, discharged an indebtedness. Id. at 271. NOTE : If the identifiable event is a decision by the creditor, or the application of a defined policy of the creditor, to discontinue collection activity, then in fact discharge of debt did occur. If Discover did not intend to cancel the obligation when they reported the 1099-C to the IRS, then Discover should have provided me with a written statement included with the 1099C that stated the issuance of the 1099-C is to comply with IRS regulations and is not to be deemed a cancelation of the debt. I have disputed the balance on my old Discover account with XXXX XXXX and XXXX. The credit bureaus will update the balance to {$0.00} due to having a copy of the 1099-C. Then within 30 days of those disputes, Discover updates to the credit bureaus that the balance is OVER {$22000.00}. This is a vicious cycle that has to stop. I called Discover on XX/XX/XXXX and spoke with XXXX and XXXX regarding this matter and both of them told me that Discover would continue to keep reporting a balance of over {$22000.00} to the credit bureaus. Both XXXX and XXXX stated that Discover canceled/discharged the debt and that Discover would NEVER attempt to collect the debt as Discover issued a 1099-C and lawfully they can not accept any payments. Question- Is it worth it to Discover to risk litigation to keep reporting a balance on a debt that Discover clearly issued a 1099-C with code G? Or would it be better for Discover to report to the credit bureaus that the balance on the account is {$0.00}. I sincerely apologize for not paying Discover, I had many difficult situations arise in late XXXX, many hardships and despair in XXXX and XXXX. A few months ago things started to change, I am finally back on my feet, have accepted the many loses I have suffered, have overcome health conditions and have risen from despair. I realize that Discover does not care what happened to me financially, personally, mentally and physically and will most likely view my explanations as excuses for not paying. However, I would really appreciate if Discover would be so kind as to update the balance on my old account to {$0.00} balance per the 1099-C that was issued. I am desperately trying to refinance the mortgage on my home and Discovers reporting of a balance of over {$22000.00} is preventing from qualifying for a refinance.
Company Response:
State: IN
Zip: 46219
Submitted Via: Web
Date Sent: 2022-03-10
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A