Credit card-related complaints up 45% in Q2

Credit card-related complaints increased by 45% in the second quarter from the three months prior, mainly concerning account management; interest rate, fees, and charges; and unauthorized online transactions, the Credit Card Association of the Philippines (CCAP) announced Monday.

The CCAP said there were a total of 4,161 credit-card complaints in the second quarter, equivalent to  23.65% of the total volume of consumer complaints received for the period.

Complaints on account management — including customers encountering difficulties accessing accounts, card applications, card activation and cancellation processes, non-delivery or delay in delivery — accounted for 55.5% of total complaints, up from 37.2% the same quarter last year.

Account management concerns also covered the release of rebates, promotions, and rewards, and challenges in the updating of account or client information, and unposted transactions or payments.

“Paying more attention to customer needs is a positive commitment of our member-card issuers. While there are always opportunities for improvement, most of the feedback we receive are about credit card management and customer services,” CCAP executive director Alex Ilagan said.

“An increasing number of consumers are engaging with their credit card issuers to seek better support in managing their accounts, reflecting a growing awareness of credit management,” he added.

Moving forward, CCAP said it will continue to work closely with its members to ensure smoother customer experiences through refining processes such as credit card applications, card activation, billing management, and the release of rewards and rebates.

“We at CCAP will continue to serve as the bridge between consumers and the financial industry, ensuring a balance between customer needs and market realities,” Ilagan said.

CCAP in August inked a contract with the Bangko Sentral ng Pilipinas to launch innovative financial education programs, with the two parties working together to develop a credit card e-learning course. —KG, GMA Integrated News