Dispute with Capital One - removed authorized user but the person still uses the card

[Anonymous]

Hi everyone, really hope I can get some advice here.

I'm not a US citizen but I was in the States for graduate study for 2 years and half more year working. I do have a SSN because I had several jobs in the States then.

I have a capital one card since early 2010 with a credit limit of $2500 (originally $2000 but got raised due to my sound payment history). I added a person (former roommate) as authorized user in 2011 because the person agreed to share payments (I did it as a favor). However, the person turned out to be a disaster and never paid the bills. I was responsible for all his payments then. I called in capital one to remove him from the account and I removed him from online banking - authorized user list. When I called in capital one, I asked the rep specifically if his card will be automatically invalid upon my request of removal and the rep told me yes, no worries. The rep never told me to request a new card (see later on the problems).

All the drama started since then. I left the States at the beginning of 2012 for a job opportunity overseas. I have three existing credit cards back then but I paid off all the balances knowing I won't be using the cards (I left thinking I will not come back to the US). In July 2012, I ordered a credit report from Equifax because I'm immigrating back to the States soon. It was then when I found out that the former roommate maxed out my three existing credit cards and opened six other accounts with my SSN. Everything has been resolved with the identity theft. The evidences are all in my favor - him applying for new cards and using existing credit cards (he can enter card info on his merchange gateway and run transactions without the actual cards. So while I still have possession of the three existing cards, he can do the transactions with the cards) right on the after the day I left, he on purpose mis-spelled his last name when he himself opened a second card, the transactions mainly for his own business, etc.

The two other existing credit cards have all cleared up my accounts due to fraud and the other six new ones either cleared up or waiting for me to file a police report so they can close the case. So it's all good BUT the capital one. I reported all transactions with capital one card after the day I left the country as fraud. However, the adjuster put the charges back saying that although I called in to remove him, I didn't retrieve his card, so I should be held responsible still even tho I removed him online and by calling in. It's absolutely insane in my eyes because I called in to capital one to remove him and it was capital one's rep then who didn't provide me with the right information (actually reassuring me that it's OK).

I really hope you can give me some advice here. I spoke with a different account specialist couple of days ago. She was very understanding and asked me to file a police report so they can reopen the case and also submit my evidence of leaving the country (visas, flight info) so they can know that all transactions after I left were not made by me. But she said let's HOPE a different adjustor with the police report will rule differently.

Any more advice guys?

[nicholasyud]

You might need to find a lawyer...........

[Anonymous]

Thanks for your reply but I really don't wanna do that...

Well, evidences in my favor are:

1) I called in capital one and also removed the person online as well. Should I stress on this part and the fact that the rep told me the wrong information? I requested the phone recording but capital one adjustor said they cannot find it - I do have the right for the recording?

2) All fraud happened right after I left the country so I'm indeed not the person who used the card.

3) He also maxed out my two other credit cards and opened six new accounts (total >$20,000). And the rulings from all the eight companies are in my favor. The capital one occurred at the same time. So should be in my favor too?

[wallyworld123]

I am sorry this happened to you i hope this is a lesson learned please don't ever add a authorize user or cosign for anyone. Are your capital one cards still open i hope the card is closed or at least inactive until the investigation is over. Have you communicated at all with your ex roommate?

[Anonymous]

Yes, I closed down all the accounts already.

I realized that I should be responsible for the payments for an authorized user when I actually have someone as authorized user. The issue is I removed him by calling in and online but the capital one rep told me the wrong information and didnt have me request a new card!

He is a very cunning person. He takes advantage of the fact I'm not US citizen so he figured I would have a big hassle coming back the States. However, I'm immigrating back next year. I emailed him about all the happenings and he admitted it. He didn't specify on all the accounts but he said that he's been in such a financial mess with his own life and business that he had to do so. He has no money or no intentions to pay. I know that he also has a business partner before that he owes more than $12,000 to. Basically, he cannot pay.

[wallyworld123]

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@Anonymous wrote:

Yes, I closed down all the accounts already.

I realized that I should be responsible for the payments for an authorized user when I actually have someone as authorized user. The issue is I removed him by calling in and online but the capital one rep told me the wrong information and didnt have me request a new card!

He is a very cunning person. He takes advantage of the fact I'm not US citizen so he figured I would have a big hassle coming back the States. However, I'm immigrating back next year. I emailed him about all the happenings and he admitted it. He didn't specify on all the accounts but he said that he's been in such a financial mess with his own life and business that he had to do so. He has no money or no intentions to pay. I know that he also has a business partner before that he owes more than $12,000 to. Basically, he cannot pay.

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ok i c. honestly i hope capital one can resolve this for u be persistent but in all honesty you are responsible eventhough the capital one rep did not tell  you to get a new card. I personally would try to go after his business i am not settling with he cannot pay and he has no money think about taking him to smalls claim court seriously.

[Anonymous]

do you work for capital one or other banks?

So you're saying even if the police step in for all the fraud (three existing cards and six new accounts) he committed, I will still need to settle capital one case separately in a small claims court?

[llecs]

OP, all you have to do is send in a copy of the police report showing the theft and it'll go away.

[RobertEG]

In my opinion, the mistake began with giving an authorized user a card to use on the account.

In doing so, you give him use of the account with no legal obligation for the incurred debt.

I think it is a very questionable legal defense to assert fraud on his part for using the authorization he was given.

The issue of whether calls to the creditor closed or did not close his access to the account is a matter that needs to be worked out between you and the creditor, and if unresolved, then possibly a judge.

The issue of his opening other accounts in your name is quite a different matter.  He fraudulently used your identity to open accounts not authorized by you.

The FCRA gives specific and powerful remedy for such identity theft.  You just need to assert, not prove, the reported information is related to potential identity theft.

First, simply file a police report, and then mail a copy to the CRA, along with proof of your identity, and they MUST, under FCRA 605B, exclude the asserted identity theft information from your credit report.  Credit reporting impact of those accounts thus gone.

Second, send a copy of the police report to the OC, and request under the provisions of FCRA 609(e), all of their internal business records pertaining to those accounts.

A powerful mini-discovery right without need for any court order.  Armed with that information, you can then mount a factual basis for their CR deletion as inaccurate reporting of information under your name.  In the interim, the 605B block has already barred inclusion in your credit report, so ultimate deletion from your credit file is not so pressing.