Need some opinions. I received three calls from US Bank in July soliciting me for their Cash+ card. On one of the calls, the rep said that she could see my TU FICO score via SP just by 'pretending' to upgrade my checking to a gold account then cancelling the upgrade. My score was 724 on FICO 04' model. I told her I wanted to think about it a few days and she assured me I'd get the card if I app'ed.
Fast forward about 4 business days from our last call. I get the below in the mail and decide to bite. I wanted to let my new accounts from March of this year age a bit but I decided to just go for it. Now, for any other true preapproval I've ever received (online or by mail), after I app'ed, the APR assigned to my new account was exactly as it was offered (thus the reason it's called a promotional firm offer of credit). Please note the opt out prescreen on the below AND an APR offer of 13.99%. That's FULLY what I was expecting. After being approved for 10K after faxing in the bottom app portion of the form, US Bank gives me an 18.99% instead of 13.99% and the HP was like 5 days after their in house SP and the exact same score and no report changes. Is this even legal? I've called and talked to the useless CardMember Services several times and they basically say "it is what it is". I've banked with them for 13 years now and I'm salty as heck over this, truly. No one at US Bank so far has ever even heard of the mailer (and don't seem to believe me) so I typed a letter and attached all pages of the preapproved offer and asked them to immediately reduce my APR to what I was offered. Do I have a leg to stand on here or is this just their shotty lending practices? Did I misread something? I love the card and US Bank has always been very good to me but I just can't get over this. Thoughts and opinions? Thanks everyone!
@rlx01 wrote:
Not legal.
If the approved you based on the preapproval offer, they have to give you the advertised rate. Unless there are weasel words in the fine print.
However, shady outfits like Discover will send a preapproval for 10.99% and like 18 months interest free. Then you apply, they deny you and give you a counter offer of 24.99% and no interest free period.
Technically "legal", but basically a bait and switch.
Anyway, talk to US Bank EO and present the offer. Go to CFPB if needed (or just threaten it).
You should be able to get your rate or have the line and INQ deleted.
Thank you. All I want is what I was offered. I certainly want to stay with US Bank and the card is great but I'm a person based on principal. If they don't make this right, I'd be inclined to take my business elsewhere. One thing I've learned quickly is that US Bank's credit card dept leaves a lot to be desired, customer service and organization wise. The right hand certainly doesn't know what the left is doing.
@rlx01 wrote:
Not legal.
If the approved you based on the preapproval offer, they have to give you the advertised rate. Unless there are weasel words in the fine print.
However, shady outfits like Discover will send a preapproval for 10.99% and like 18 months interest free. Then you apply, they deny you and give you a counter offer of 24.99% and no interest free period.
Technically "legal", but basically a bait and switch.
Anyway, talk to US Bank EO and present the offer. Go to CFPB if needed (or just threaten it).
You should be able to get your rate or have the line and INQ deleted.
CONFIRMED 
Add to that run immense expense thru it in different many ways then at 1 year still demand a HP stamp for a CLI which you don't know which way they will go.
@longtimelurker wrote:The weasal words concern material changes in your credit record. So perhaps they could argue that, e.g. pulling a different CRA from the original one.
But I suspect that no-one here really knows what is legal or not in this case (the bank has lawyers) so I wouldn't push that argument, but going to the CFPB might help.
But, it's all very well talking about principles, this is not a particularly noble cause worthy of that. The real question is the value. If you fight and maybe succeed in getting the APR you were offered, are there other consequences, such as the decide not to give you CLIs, offers on other cards etc? Would accepting the benefits outweigh an increased APR if you are going to PIF anyway?
It was the same bureau, both TU. Maybe it's not in a revised statute somewhere but this is the first I've seen of not getting what was offered and more than anything, it surprised me. I certainly think the CFPB would frown on this, no doubt. But you're right, will it harm me in the long run? Who knows? Retaliation would certainly be against the law. To me, it would be different if they gave an APR range 'based on credit worthiness' but that was not the case. I'll see what happens in the coming days after my fax. If nothing comes of it, I'll use the card sparingly and probably always favor institutions who were fair to me from the getgo like Barclay who gave me their lowest APR last week (with new accounts showing) and I've never done business with them in my life. A 13 year relationship should count for something. Keyword:should.
