2. Credit Repair Letters July 22, 2015

4. Account open 2011 Delinquent 8 times between 2012 and 2014 Open and current now Statement history online

5. Legal Rep. Conundrum “Accuracy have never made a late payment”

6. Open 2008 Delinquent 36 times up to 120 days late Bank has received this letter multiple times

7. No indication of nature of inaccuracy

8. These claims are billing disputes not FCRA

9. Open 2011 Delinquency began Feb 2012 Delinquency confirmed a number of times Charge-off and closed Nov 2012 Debt Validation 2014 Bank has received this letter numerous times

10. Accounts open 2007 & 2008 Used and paid on each account Multiple delinquencies 2008 Closed and charged-off in 2009 Letter to TransUnion dated 5/27/15

11. CUSTOMER 1 Open May 2008 Delinquent 3 times Closed September 2008 by customer Customer sought to reopen which was declined CUSTOMER 2 Account open 2006 16 times delinquent beginning Feb 2010 File bankruptcy May 2014 statused as Bankruptcy Charge-off

13. Letter to Barclays dated June 19, 2015

14. Attorney-Advertised Debt Relief  Bank receives template communications from attorneys who market and sell fee-based debt relief, debt settlement and credit repair services to its customers. These services appear to: –Lure vulnerable consumers, many who are already facing financial hardship, promising debt relief and credit repair –Convince consumers that legal representation is necessary and requiring them to pay up – front fees of $2500 and more –Result in consumers reliance lawyer including follow instruction to stop paying on their accounts, causing them to incur greater late fees and default interest rates and adverse credit reporting  Bank receives various template letters advising of legal representation. These forms include general and baseless allegations. These letters –Legally prohibit Barclays from any future communication with represented customers –Are the only communication or contact the creditor receives from these attorneys, even with subsequent prompting from creditor to engage in dialogue as promised in several of the template letters. At best, they simply inform us the customer is still represented. –Leave the creditor powerless to offer financial assistance to these customers, including rate reduction, hardship and settlement programs –Result in these customers falling further into debt, and significantly harming their credit history in the process

15. Example #1- The “Hope” Claim One particular firm advertises aggressively that they assist debtors who cannot pay their bills, are upside down on their mortgage, and/or are facing bankruptcy. We understand that this firm: Charges each client a $2,500+ fee Instructs the debtor to stop making payments on the account The firm’s template notice letter to the Bank to send the law firm all communications including loan modification or settlement options. Despite efforts to communicate repayment and settlement opportunities to the firm, the firm does not respond, and as a result the Cardmember: Incurs late fees, Default interest rates, The account charges off as a bad debt The debtor’s credit bureau deteriorates The model of engagement appears to be an attempt to secure a fee and then hope a creditor makes a mistake thereby creating a cause of action for which for attorney’s fees are recoverable This firm has sent dozens of demand letters for alleged violations of various laws. We have successfully defended each of these claims. Unfortunately, the Cardmembers continue to suffer harm as their financial situation deteriorates. Currently >500 accounts are represented by this law firm, with total balances of $1MM. Barclays has 2% market share.

16. No longer able to contact customer

17. Ms. A’s Experience Ms. A is a former client of the firm. She is well-educated and worked as a Legal Assistant for over 20 years Ms. A had very good credit After her husband’s death, Ms. A had difficulty paying her mortgage and engaged the firm to re-negotiate mortgage terms Ms. A paid the firm a $4,000 upfront fee Ms. A said she was unaware and did not authorize the firm to send notices of legal representation to her all of her creditors As a result of the notice letter, all of Ms. A’s bills were sent to the law firm. Ms. A was unaware that the firm was receiving her bills. Her accounts became delinquent and ruined her credit Ms. A attempted to terminate the representation, but the firm was unresponsive. She told us it took several months for the firm to respond and return her file, and only returned a small percentage of the fee. Ms. A contacted the bank directly and Barclays was able to remediate the harm caused to her account and assist her on her road to recovery.

18. Example #2- Fool’s Gold Barclays receives a substantial volume of letters from a lawyer in Boca Raton, Florida. These letters assert a number of claims related to debt, which, to the uninitiated, seem impressive, but, in reality, lack merit or substance. It appears that this law firm may utilizes an outbound telemarketing campaign to locate clients. While this firm is licensed to practice law only in Florida, Barclays receives identical form letters from the firm on behalf of Cardmembers in 15 states. To date, this firm represents >200 Barclays customers as clients with total balances exceeding $1.1MM. According to the complaints lodged against it, the firm sold its service through aggressive telephone marketing. The complaints indicate that the firm charges fees ranging from $2500 to $13,500. The firm’s customers do not obtain any financial benefits, rather they incur higher balances and deteriorated credit bureaus. The bank has repeatedly attempted to contact the firm to discuss the merits of these template letters and try to help resolve any questions regarding the debt. To date, the firm has been unresponsive.

19. Customer Impact The Scheme The firm sends identical form letters that purport to assert actionable claims against the client’s creditors: a billing dispute under the Fair Credit Billing Act that their client may file bankruptcy that their client’s credit bureau contains inaccuracies While these form letters may impress an unsophisticated client, they fail in any material respect to raise a claim and serve only to provide notice of legal representation or “cease and desist.” As a result, Customer accounts communications are sent to the lawyer. The firm does not respond to follow up efforts to discuss financial options for represented customers Customers typically stop paying their account Customers incur late fees and finance charges and ultimately charge off for lack of payment Customers credit bureau deteriorates Customers are unaware because all communication go to the law firm The customer may miss opportunities afforded to them under applicable consumer protection laws.