Q2 credit card complaints at 4,161 due to poor service

CREDIT CARD complaints rose by 45% to 4,161 in the second quarter from a quarter earlier driven mainly by unsatisfactory customer service, data from the Credit Card Association of the Philippines (CCAP) showed.

“Most consumer complaints are related to credit card management and customer service, which underscore the need for the industry to pay closer attention to consumer feedback,” CCAP Executive Director Alex G. Ilagan said in a statement on Monday.

The top credit card-related complaints involved account management, interest rates, fees and charges, and unauthorized online transactions.

The share of account management to total complaints rose to 55.5% in the second quarter from 37.2% a year earlier.

“Account management includes complaints from customers encountering difficulties accessing their accounts, card applications, card activation and cancellation processes, nondelivery or delays in the delivery of the cards or billing statements, as well as release of rebates, promotions and rewards,” CCAP said.

It also includes complaints on issues with updating account or client information, and unposted transactions or payments.

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

He added that more consumers are engaging with their credit card issuers to seek better support in managing their accounts, reflecting a growing awareness of credit management.

Mr. Ilagan said CCAP is working on improving processes such as card applications and activation, billing management and the release of rewards and rebates to enhance customer satisfaction.

“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,” he said. — Aaron Michael C. Sy