topic Re: Synchrony - Denied due to freeze - Received hard inquiry anyways in Credit Card Applications

Synchrony - Denied due to freeze - Received hard inquiry anyways

mdg024149 — Sat, 06 Aug 2022 16:45:11 GMT

I applied for the Synchrony PayPal Cashback Mastercard. Before applying I unfroze my credit at TransUnion. I received a letter stating that my application was denied due to my credit being frozen at TransUnion. However, there was a hard inquiry on my TransUnion report. I called and spoke to TransUnion and they said that my credit was unfrozen at the time of the application and that my credit report was provided to Synchrony. Ideally I'd like to have my application reconsidered and approved. I'm worried about reapplying and having this same situation occur again.

Re: Synchrony - Denied due to freeze - Received hard inquiry anyways

paulesport — Mon, 08 Aug 2022 20:43:07 GMT

**Redacting my suggestion to avoid confusion

Re: Synchrony - Denied due to freeze - Received hard inquiry anyways

ZackAttack — Mon, 08 Aug 2022 04:33:34 GMT

@paulesport wrote:
Call their consideration line and explain the situation. You should be able to get approved by talking to an analyst. Assuming of course your credit profile is in good shape and all that.

I doubt this would work. Synchrony bank as there a ton of DPs says that they don't do reconsideration. Best bet for the OP is to ask Synchrony bank to remove the HP and try again.

Re: Synchrony - Denied due to freeze - Received hard inquiry anyways

coldfusion — Mon, 08 Aug 2022 11:09:02 GMT

Synchrony uses a completely automated process to evaluate credit card applications. They do not have a process to follow that leads to a manual reconsideration of a denied application.

What you can do is file a complaint online with the FDIC against Synchrony that you were denied for credit with reason given that your Transunion credit file was frozen, but Transunion confirmed that your file was unfrozen and provided to Synchrony and that you either want an approval for the card or the inquiry withdrawn ("withdrawn" is the exact term to use). As such that should be seen as a non-frivolous complaint so Synchrony would be required to respond to the FDIC.

For completeness, were Experian and Equifax also unfrozen at the time of the application, or did you only thaw your Transunion report?

Re: Synchrony - Denied due to freeze - Received hard inquiry anyways

FireMedic1 — Tue, 09 Aug 2022 08:35:18 GMT

@coldfusionDid you mean the CFPB?

Re: Synchrony - Denied due to freeze - Received hard inquiry anyways

coldfusion — Tue, 09 Aug 2022 12:54:58 GMT

No, I really did mean the FDIC. There's an improper outcome tied to an inquiry (i.e. a stated denial due to a credit freeze yet an inquiry was made) and Synchrony Bank is an FDIC member, which points to the FDIC having primary jurisdiction. I've been down the inquiry-screwup path several times before involving both FDIC and NCUA members (a few members here may remember my running commentary a couple of years ago in Garden Club of USAlliance screwing up and blowing me off until I filed an NCUA complaint) and the CFPB was never involved in the resolution.

One could file a CFPB complaint, but the most likely outcomes are either a forrward of the complaint or a letter instructing the complainant to file a complaint themselves online with the FDIC.

I wonder if the issue was that OP only unfroze their Transunion report and Synchrony (unsuccessfully) tried to pull from a 2nd CRA , which triggered the denial, but the denial letter did not clearly explain exactly what transpired. Regardless, an FDIC investigation should give OP some clarity as to what happened.

Re: Synchrony - Denied due to freeze - Received hard inquiry anyways

Ramsport — Thu, 11 Aug 2022 16:48:05 GMT

My situation involves American Express.

They did a hard pull on my Experian on July 9th.

I received a denial and their denial stated that it was because of the credit information they received from Experian for July 5th.

I don't have a problem with them doing a hard pull but it should reflect the information from July 9th.

That's the whole point of doing a fresh pull.

I've already written to the chairman's office.