After 26 Years of American Express Membership I Discovered the Devil in Amex
Jun 21, 2013, 2:15 pm
#1
Original Poster
Join Date: Apr 2001
Posts: 334
After 26 Years of American Express Membership I Discovered the Devil in Amex
After 26 years of American Express Platinum and co-branded airline and hotel card membership, I've discovered the DEVIL IN AMERICAN EXPRESS.
I told the ruthless .......s that I was ill and in the hospital for 33 days over 4 months. Despite a stellar payment history over 26 years with American Express, what do they do, they notify the Credit Bureaus of one late payment during that period (and they dramatically reduce my line of credit on one card). It is the only blemish on my Credit Reports.
I made phone calls and sent emails to American Express over more than a week, only to be transferred from one department to another, from one continent to another, and back to the same departments, to be told that there is a "Federal Law that prohibits American Express from retracting the late payment that they reported to the Credit Bureaus."
My patience is exhausted. I do not believe American Express's rhetoric for one minute. And to think that they allege that they've been "beside me, a valued cardmember for 26 years."
Be forewarned, in my experience, American Express has no soul, and there's a DEVIL IN AMERICAN EXPRESS.
I told the ruthless .......s that I was ill and in the hospital for 33 days over 4 months. Despite a stellar payment history over 26 years with American Express, what do they do, they notify the Credit Bureaus of one late payment during that period (and they dramatically reduce my line of credit on one card). It is the only blemish on my Credit Reports.
I made phone calls and sent emails to American Express over more than a week, only to be transferred from one department to another, from one continent to another, and back to the same departments, to be told that there is a "Federal Law that prohibits American Express from retracting the late payment that they reported to the Credit Bureaus."
My patience is exhausted. I do not believe American Express's rhetoric for one minute. And to think that they allege that they've been "beside me, a valued cardmember for 26 years."
Be forewarned, in my experience, American Express has no soul, and there's a DEVIL IN AMERICAN EXPRESS.
Jun 21, 2013, 2:27 pm
#2
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Join Date: Jan 2013
Location: LAX/SNA
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Posts: 3,887
There's an executive office address (and possibly phone number) that you can find floating around the internet. I would write a letter to them or call them to explain your case. It would also (probably) help if you could back up your letter with documentation that won't compromise anything, such as admittance to the hospital and discharge, with health information removed, of course.
Jun 22, 2013, 12:02 pm
#6
Join Date: Jun 2013
Posts: 12
BeantownDisneyFan, sorry to hear of your experience and hope that you're better. I'll have to agree that loyalty is not a two-way street when it comes to American Express (or other banks for that matter).
I have a decent full-time job, and also invested a 20% stake in a friend's small business. Unfortunately, when the economy tanked, the business tanked as well. Since I was the guarantor on one of the company's American Express cards, I paid the $5,000 balance personally when the business couldn't. But according to the T&Cs, the closure of the business was considered a "default." Apparently, AMEX had the right to close ALL of my accounts, even though I immediately made good on every penny that was owed to them.
I spent hours on the phone with AMEX, and even though they didn't have to touch my personal accounts, the rep said, "I'm going to close them because you've lost your livelihood." I explained that I didn't work in the business, and could prove that I had a regular job. She was not moved, and said I could always reapply for a new account.
Even worse, the card closures caused a drop in my credit score, with a domino effect. All of a sudden, Bank of America closes 2 of my credit cards and reduces one of my credit limits to $300. Wells Fargo closes my personal line of credit. Luckily, Chase closes only one account and does not change the others. All of these banks cited the changes in my credit report.
So despite the my years of loyalty to all these banks, the fact that I paid 100% of the money I guaranteed, the fact that I still had a good job, and little debt, meant nothing to these banks. It was a slap in the face.
Banks often market that they're "here when you need us" through all of life's events. What they don't say is that they will abandon you at the first sniff of trouble. They're cold, hard businesses with good marketing departments.
I'm lucky: I reapplied for an SPG Amex and was approved... and other banks started sending me offers again. But it was a good warning. Had I actually been in real trouble, the banks would've been spooked immediately and run away. Don't count on your bank to be there for you when you actually need them.
By the way, I have heard banks citing this "Federal Law" that prohibits a retraction. Problem is that it's not true in practice. Banks retract information all the time when there are extenuating circumstances. Collection agencies use retractions as a negotiating tool. It even happens on a wide scale when natural disasters or overseas military are involved. My college roommate was even coached by a credit card rep on what to say to her.
I have a decent full-time job, and also invested a 20% stake in a friend's small business. Unfortunately, when the economy tanked, the business tanked as well. Since I was the guarantor on one of the company's American Express cards, I paid the $5,000 balance personally when the business couldn't. But according to the T&Cs, the closure of the business was considered a "default." Apparently, AMEX had the right to close ALL of my accounts, even though I immediately made good on every penny that was owed to them.
I spent hours on the phone with AMEX, and even though they didn't have to touch my personal accounts, the rep said, "I'm going to close them because you've lost your livelihood." I explained that I didn't work in the business, and could prove that I had a regular job. She was not moved, and said I could always reapply for a new account.
Even worse, the card closures caused a drop in my credit score, with a domino effect. All of a sudden, Bank of America closes 2 of my credit cards and reduces one of my credit limits to $300. Wells Fargo closes my personal line of credit. Luckily, Chase closes only one account and does not change the others. All of these banks cited the changes in my credit report.
So despite the my years of loyalty to all these banks, the fact that I paid 100% of the money I guaranteed, the fact that I still had a good job, and little debt, meant nothing to these banks. It was a slap in the face.
Banks often market that they're "here when you need us" through all of life's events. What they don't say is that they will abandon you at the first sniff of trouble. They're cold, hard businesses with good marketing departments.
I'm lucky: I reapplied for an SPG Amex and was approved... and other banks started sending me offers again. But it was a good warning. Had I actually been in real trouble, the banks would've been spooked immediately and run away. Don't count on your bank to be there for you when you actually need them.
By the way, I have heard banks citing this "Federal Law" that prohibits a retraction. Problem is that it's not true in practice. Banks retract information all the time when there are extenuating circumstances. Collection agencies use retractions as a negotiating tool. It even happens on a wide scale when natural disasters or overseas military are involved. My college roommate was even coached by a credit card rep on what to say to her.
Last edited by mia; Jun 22, 2013 at 4:24 pm
Jun 22, 2013, 4:27 pm
#7
Join Date: Feb 2003
Location: Khyber Pakhtunkhwa
Posts: 1,929
Did you pay that $5000 on time, not late at all ? Not after contact from AMEX ?
Jun 22, 2013, 6:59 pm
#8
Join Date: May 2002
Location: Arizona
Posts: 5,688
Every time I read this stuff I get upset again. The Fed, Bernake, and others saved American Express rear end when the economy tanked. The Quantitative easing aka printing money aka artificial low interest rates AND an emergency Fed Bank window Amex was allowed to borrow from after someone waived a magic wand that let Amex avoid the necessary rules Office of Thrift Supervision rules to become a bank
Jun 22, 2013, 7:20 pm
#9
Join Date: Mar 2013
Posts: 179
I'm sort of torn on these types of situations...
On one hand, 20+ years is a long track record, and of course they should realize that.
But, on the other hand, you sort of have a "gentleman's agreement" with them...you pay them every month, and they extend credit every month. So, if you don't pay, they take away credit..."you're only as good as your last payment".
Also, I'm not sure I buy the "loyalty" argument...To me, it's a lie by both sides...they claim they're loyal to you, but, obviously, if you don't pay, they'll turn on you in a hurry...but, it goes both ways, as, after 20+ years of using AMEX, how much would you use AMEX if they stopped giving reward points tomorrow? So...I like to think that you're both just using each other, so it's "loyalty", with a wink to the side...
On one hand, 20+ years is a long track record, and of course they should realize that.
But, on the other hand, you sort of have a "gentleman's agreement" with them...you pay them every month, and they extend credit every month. So, if you don't pay, they take away credit..."you're only as good as your last payment".
Also, I'm not sure I buy the "loyalty" argument...To me, it's a lie by both sides...they claim they're loyal to you, but, obviously, if you don't pay, they'll turn on you in a hurry...but, it goes both ways, as, after 20+ years of using AMEX, how much would you use AMEX if they stopped giving reward points tomorrow? So...I like to think that you're both just using each other, so it's "loyalty", with a wink to the side...
Jun 22, 2013, 7:34 pm
#10
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Also, I'm not sure I buy the "loyalty" argument...To me, it's a lie by both sides...they claim they're loyal to you, but, obviously, if you don't pay, they'll turn on you in a hurry...but, it goes both ways, as, after 20+ years of using AMEX, how much would you use AMEX if they stopped giving reward points tomorrow? So...I like to think that you're both just using each other, so it's "loyalty", with a wink to the side...
Jun 22, 2013, 8:07 pm
#11
Join Date: Mar 2013
Posts: 179
I'd also argue, though, that if AMEX had "extenuating circumstances", and quit giving MR points, most would turn their back on AMEX in a heartbeat.
In the end, imo, everybody (amex and consumer) is going to do what's best for themselves going forward, regardless of how long there has been a relationship...
Also...this might be a good time to mention "contingency planning"...If you have a friend/family you trust, it is not a bad idea to have a plan...(ie--"Hey, friend/family...if I should have an emergency, please see to it that "xyz" bills get paid").
Jun 22, 2013, 8:29 pm
#12
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I fully agree with this, and understand what you're saying...
I'd also argue, though, that if AMEX had "extenuating circumstances", and quit giving MR points, most would turn their back on AMEX in a heartbeat.
In the end, imo, everybody (amex and consumer) is going to do what's best for themselves going forward, regardless of how long there has been a relationship...
Also...this might be a good time to mention "contingency planning"...If you have a friend/family you trust, it is not a bad idea to have a plan...(ie--"Hey, friend/family...if I should have an emergency, please see to it that "xyz" bills get paid").
I'd also argue, though, that if AMEX had "extenuating circumstances", and quit giving MR points, most would turn their back on AMEX in a heartbeat.
In the end, imo, everybody (amex and consumer) is going to do what's best for themselves going forward, regardless of how long there has been a relationship...
Also...this might be a good time to mention "contingency planning"...If you have a friend/family you trust, it is not a bad idea to have a plan...(ie--"Hey, friend/family...if I should have an emergency, please see to it that "xyz" bills get paid").
Jun 22, 2013, 9:00 pm
#13
Join Date: Mar 2013
Posts: 179
I'm not claiming it's "right" or "fair" or "moral"...
I'm simply saying that we all do whats best for ourselves, and to suggest that anyone would do otherwise (ESPECIALLY a CC company), is not a good suggestion, imo.
Also...this is a bit "out there"...but if AMEX was willing to give leniency on late payments for certain customers, they would certainly put it in their terms to try to lure more customers. (so, basically, it wasn't in the terms, because AMEX doesn't want to do it, because it's not in their best interest, in their opinion. And, if it's not in the terms, no one should have any expectation they're going to do you a favor. Let's not forget these are cc companies...they don't do "favors").
Jun 22, 2013, 11:04 pm
#14
Join Date: May 2000
Location: Houston, TX, USA
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Or, just sign up for auto-pay. You can specify that you want just the minimum due paid each month on the due date. If you don't like the idea of automatic payments and/or sometimes pay more, you can still pay by check or your own bank's bill pay each month - as long as the minimum payment posts by the due date, then the Amex auto-pay payment won't happen. But it will be there to keep your acct current if for whatever reason you fail to make the minimum payment on time.
Jun 23, 2013, 12:26 am
#15
Join Date: Mar 2013
Posts: 179
Or, just sign up for auto-pay. You can specify that you want just the minimum due paid each month on the due date. If you don't like the idea of automatic payments and/or sometimes pay more, you can still pay by check or your own bank's bill pay each month - as long as the minimum payment posts by the due date, then the Amex auto-pay payment won't happen. But it will be there to keep your acct current if for whatever reason you fail to make the minimum payment on time.
So, in theory, ANYBODY can sign up, and NEVER have a late payment.
So, any late payment, whatsoever, can be attributed to the fault of the customer, rather than blamed on "circumstances"...
