How dispute MBNA "reissue" inq?

I have an MBNA account I haven't used in 3 years. I called 2 weeks ago to update the address and get a new card sent out (the old one expired.) I was told no problem, we'll send out a new one. No mention of any need to "reissue" it.

So last week I get the card, along with a letter saying my "request for a reissue"
had been approved. Sure enough, they pulled TU, hard.

Of course, I did not authorize this. I would not have called them had I known they would do this, since I'll be applying for more mortgages soon (real estate investing) and my #1 TU fico hit (now below 700 again) is "too many inquries."

I called the CSR, who said nothing we can do. I persisted that I did not authorize, she gave me a number for the Credit Dept, 1-866-226-8220. I spoke with a polite Barbara Gochnauer. She got very firm when I questioned the inquiry, saying "we have the right to pull credit whenever we wish, since you authorized this by accepting the card." I asked if they could simply pull it many times in a month, ruining someone's credit, without any reason for doing so. She said, yes, we can.

I have an address (no email, fax, or phone of course) for the Customer Advocate's office. How do you suggest I go about disputing this?

Can she be right about the blanker authorization or does the FCRA prevent this? I don't recall the original cardmember's agreement--I would have signed it years back and don't think I still have it.

TIA, Dave

 

I realize they can pull it, but can they randomly pull "hards" without permission? I thought this could ONLY be done with consumer consent...

Is there a relevant section in the act http://www.ftc.gov/os/statutes/fcra.htm on this?

Of course I may have given consent of some kind, but I serously doubt I signed off on carte blanche even in my more naive days 4 years ago...and I wonder if it would be enforcable anyway....

 

Sure thing Marci,

Customer Advocate's Office
1100 N King Street
Wilmington DE 19884

Thanks Mandy..I drafted the following letter that I'll be sending today to that office. Hope it helps someone. No doubt it is both too wordy and too deferential, but it's a start. Would welcome comments.



Dear Sir or Madam:

I have an MBNA account # that I haven't used in approximately 3 years. Having moved last year, I called a few weeks back to update the address. The CSR I spoke with offered to get a new card sent out. There was no mention of any need to "reissue" this card.

I recently received get the card, along with a letter from Tom Hagan in your credit department dated 7/28, saying my "request to reissue your account has been approved." In fact, I was never informed that the account needed to be â??reissued.â? I certainly never made a â??requestâ? for this to be done. Indeed, it never occurred to me that is was necessary, since I had not closed the account.

I then checked my credit reports. Sure enough MBNA had pulled a â??hard inquiryâ? (not an AR) with transunion. My FICO had also dropped below the 700 level for the first time in as long as I have been monitoring it. The number one reason why was stated as â??too many inquiries.â? Since I am a real estate investor who must apply for new mortgages from time to time, this is a significant hardship for me. Simply stated, I would not have authorized sending a new card had I known that it would involve a new hard inquiry.

With no sign of fraud, and my identity confirmed, there should be no reason to pull a new full inquiry simply to change my address. But even if this were necessary, there is simply no reason why I was not informed at the time that this would have to be done. Thus, Iâ??m not objecting to MBNAâ??s right to take whatever precautions it feels are needed. Rather, I am objecting to having a measure that reduced my creditworthiness taken without my knowledge or consent.

In light of these facts, I respectfully request that you change the status of my inquiry at transunion to AR (annual review) status, so that it does not count against me on my TU report. I would be most grateful if someone would please call me at , email me at or write me at the address below regarding this important matter. Thank you in advance for addressing it as soon as possible.

Sincerely,