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Credit Card Compliance Risk Signals from Consumer Complaints to the CFPB

An analysis of credit card-specific consumer complaints submitted to the CFPB  and the compliance risks they present. 
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According to the CFPB, consumer complaints provide valuable information about the types of challenges consumers are experiencing in the marketplace and the effectiveness of an organization’s compliance management system.

By being aware of the types of issues that consumers are complaining about, organizations can use this information to shape their compliance programs to focus on the most pressing issues presenting risk to their business. 

Here are the top consumer complaint trends that credit card issuers should know to mitigate compliance risk.

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Total Credit Card Complaints

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Credit Card Complaints (January - August)

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Consumers are increasingly submitting complaints against credit card issuers. In 2022, total complaint counts increased 25% compared to 2021. And, so far in 2023, the CFPB has received 34,199 credit card-related complaints through August, a 32% increase from the same time period in 2022.

Total Credit Card Complaints

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Credit card complaints continue to be on the rise throughout 2023 and are the third most complained about product in the CFPB’s complaint database, behind credit reporting and debt collection.

Credit Card Complaints by Issue

Consumers consistently reported problems with purchases on their statements as their top issue with credit cards. In 2022, more consumers reported getting a credit card and problems when making payments as their top issues with credit card products compared to 2021.

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The CFPB noted that out of all credit card complaints submitted in 2022 that were closed with explanation or relief, 93% of consumers tried to resolve their issue with the company before lodging a complaint with the CFPB.

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Key Takeaways for Your Organization

Increasing Complaints and Changing Concerns

As complaint counts continue to increase, credit card issuers should remain vigilant as the nature of complaints evolve. The shift towards more complaints about trouble getting a credit card and problems making payments suggests that credit companies should prioritize enhancing their customer support services and streamlining their application and approval processes.

Proactively Monitor for Compliance 

Proactive compliance monitoring can catch compliance issues before they escalate from the consumer to the CFPB. Implement systems to regularly monitor web pages, social media, call centers, and any other communication channels to flag potential complaints or other compliance issues so that you can address them quickly.

Prioritize Consumer Communication and Resolution

The fact that 93% of complaints closed with explanation or relief involved customers who attempted to resolve the issue directly with the company highlights the importance of proactive communication and prompt issue resolution. Credit card issuers should enhance their customer service and communication to address potential issues before they escalate to regulatory complaints.

Focused Compliance Education

Credit card companies should invest in educating their staff, especially those in customer-facing roles (like marketing or sales), about compliance standards and effective communication practices. A well-informed team can help prevent issues and ensure that customer interactions align with compliance requirements.

Avoid Consumer Complaints with a Strong Marketing Compliance Program

Ensuring all marketing and sales communications with your consumers are compliant and transparent is critical to building trust.

PerformLine is built to help credit card compliance teams protect their brands by mitigating risk in their marketing and sales channels while gaining efficiency through automation.

With PerformLine, organizations like yours can monitor all of its marketing channels and affiliate partners at scale to better protect consumers and avoid the complaints that lead to investigations & enforcement actions by the CFPB.

Level Up Your Compliance Program