Consumer complaint received 2023-10-17
Company: OneMain Finance Corporation
State: GA
Product: Payday loan, title loan, personal loan, or advance loan
Sub-product: Personal line of credit
Issue: Getting a line of credit

Complaint:
NOTICE TO PRINCIPAL IS NOTICE TO AGENT AND NOTICE TO AGENT IS NOTICE TO PRINCIPAL. 

I, XXXX, XXXX XXXX here on behalf of XXXX XXXX hereby accepts all titles, rights, interest and equity owed to the XXXX XXXX. 

I was given a call from the number ( XXXX ) XXXX from an executive with ONE MAIN FINANCIAL on XX/XX/XXXX at XXXX XXXX. I was told that the application was not finished, but I have already submitted the application. I also stated that I filled out the application for {$10000.00} but ONE MAIN FINANCIAL was counter offering me {$5600.00}. Documentation has also been sent to ONE MAIN FINANCIAL previously. A copy of the Federal Reserve Act was included in the documentation. This will be my third letter to ONE MAIN FINANCIAL. 

Update : On XX/XX/XXXX ONE MAIN FINANCIAL by XXXX contacted me. At first I was told the loan amount was for {$10000.00}. At that time, I believed this call was connected to the one I received the day before. Upon asking further questions I was told that the loan amount was for {$5600.00}. I mentioned to XXXX that I already talked with someone yesterday. I asked if she was aware of that and she stated that she was not. I then asked her if she had the application and paperwork that I sent and she also stated that she did not. She stated that the application was pushed through to her. She asked what did I have for collateral, which confused me. I then realized that ONE MAIN FINANCIAL was trying to finalize the loan for {$5600.00}. I mentioned the conversation I had with an executive member again and asked her if she was familiar with the Federal Reserve Act. She was not. She then out me on hold and the Branch Manager XXXX XXXX got on the phone seemingly perturbed. She stated that my application was not collateral. She also stated that they dont go by the same guidelines. She essentially stated that they do not follow the law. She mentioned that they used investors. I then asked her where the investor would keep their money and she said a bank. This confused me because if they deal with banks, which they would have to being that they deal with money, wouldnt that make the company an affiliate? She then reiterated that I need to submit a collateral and I replied that I already had by submitting the application along with tender which under the Federal Reserve Act, is the collateral Security. I also mentioned the Equal Credit Opportunity Act. Essentially I was being forced to submit personal belongings on top of the security I already sent along with tender. I asked if there was anyone else I could speak to and she said no and that I would receive a letter. I was denied credit on the phone. 
On XX/XX/XXXX I received an email stated that I was denied. But in documentation I received on XX/XX/XXXX I was approved on contingencies that had nothing to do with XXXX or any other credit-reporting agency. What this essentially means is I was approved until I showcased my competency of the law. I believe I am being discriminated against because I am exercising my rights under the Consumer Credit Protection Act as well as the Federal Reserve Act. If I didnt mention these laws and I continued with the transaction I would not have received a denial letter by email. 

On XX/XX/XXXX I received a letter dated for XX/XX/XXXX that stated : OneMain believes you are mistaken on all points of law in your complaint This is said but none of my points of law have been refuted. Furthermore I have gone back to that letter and here is my clarification : Section 16. Note Issues 1. Issuance of Federal Reserve notes ; nature of obligation ; where redeemable Federal reserve notes, to be issued at the discretion of the Board of Governors of the Federal Reserve System for the purpose of making advances to Federal reserve banks through the Federal reserve agents as hereinafter set forth and for no other purpose, are hereby authorized. The said notes shall be obligations of the United States and shall be receivable by all national and member banks and Federal reserve banks and for all taxes, customs, and other public dues. They shall be redeemed in lawful money on demand at the Treasury Department of the United States, in the city of XXXX  XXXX District of Columbia, or at any Federal Reserve bank. 
The said notes are OBLIGATIONS OF THE UNITED STATES. 

The Federal Reserve Act states that under Section 16 Part 2 Any Federal Reserve Bank may make application to the Local Federal Reserve notes hereinbefore provided ( in Section 16 Part 1 ) for as it may require.

Does a bank or financial institution fill out its own applications? 

Such application shall be accompanied with a tender to the local Federal Reserve agent of collateral in amount equal to the sum of the Federal Reserve notes thus applied for and issued pursuant to such application. 

I attached a tender to the application printout that I sent with my first letters. 

The collateral security thus offered shall be notes, drafts, bills of exchange, or acceptances acquired under section 10A, 10B, 13, or 13A of this act, or bills of exchange endorsed by a member bank of any Federal reserve district and purchased under the provisions of section 14 of this act, or bankers acceptances purchased under provisions of said section 14, or gold certificates, or special Drawing Right certificates, or any obligations which are direct obligations of, or are fully guaranteed as to principal and interest by, the United States or any agency thereof, or assets that the Federal Reserve banks may purchase or hold under section 14 of this act or any other asset of a Federal Reserve Bank. In no event shall such security collateral be less than the amount of Federal Reserve Notes applied for. 

Collateral is an asset you can pledge to secure financing. The collateral security I offered was the application with the XXXX XXXX name and social security number. Along with that a tender was attached. 

I applied for {$10000.00} and gave ONE MAIN FINANCIAL the security on behalf of XXXX XXXX XXXX which on face value would be worth {$10000.00} ( the same amount I applied for ). I was then offered {$5600.00}. Thats where I have an issue. Essentially the collateral security I submitted was {$10000.00} I am now being told that it is {$5600.00}. ONE MAIN FINANCIAL is changing the terms. I applied for {$10000.00} Federal Reserve Notes. Thus making it less than the amount of Federal Reserve notes I applied for.

In no event shall such collateral security be less than the amount of Federal Reserve Notes applied for.

Further more here are more laws from the Consumer Credit Protection Act and other pertinent USC Statutes : In pursuant to 15 USC 1602 ( L ) the term credit card was used to initiate the consumer credit transaction The term credit card means any card, plate, coupon book or other credit device existing for the purpose of obtaining money, property, labor, or services on credit.

My social security card was used to initiate this transaction. By definition in the United States Code my social security card is a credit card.

A transaction took place so therefore someone got paid.

I am also the cardholder and holder in due course.

Pursuant to 15 USC 1602 ( N ) I am the one who came with the credit to initiate the transaction. It is not possible to be denied when I used the credit card to initiate the transaction. By possessing this card and being the original creditor, I am automatically approved and I am automatically credit worthy, by law.

Pursuant to 15 USC 1691 ( b ) and ( c ) the contingencies of approval for the application fro ONE MAIN FINANCIAL are not listed, this means that the actions taken by ONE MAIN FINANCIAL constitute as discrimination.

Pursuant to 15 USC 1602 ( f ) The term credit means the right granted by a creditor to a debtor to defer payment of debt or to incur debt and defer its payment.

Again, pursuant to laws under the United States Code I am the original creditor.

Credit is my right and I am the one who regularly extends credit pursuant to 15 USC 1062 ( g ). I am the original creditor and I am well aware of my rights.

I know that reporting to the consumer reporting agencies is voluntary. This is an inequitable transaction. Nowhere in the FCRA does the term adverse action state that a natural person can be denied credit.

As the original creditor it is unlawful to deny me my right to grant credit. Furthermore my credit was used and I received no benefit for the use of my credit. An inquiry is a receipt of a transaction. An inquiry showed up on my consumer report which means someone used my credit and I received no benefit from it at all. I never got anything from this transaction. In fact damages were done from the denial of my rights mentally and financially.

Unauthorized use 15 USC 1602 ( p ) ( p ) The term unauthorized use, as used in section 1643 of this title, means a use of a credit card by a person other than the cardholder who does not have actual, implied, or apparent authority for such use and from which the cardholder receives no benefit.

Ive been discriminated against, as there are no Federal laws that state I can be denied of my right to extend credit. I have in good faith exercised my rights and I the natural person on behalf of the XXXX XXXX have been discriminated against for exercising my rights pursuant to 15 USC 1691 : ( a ) ACTIVITIES CONSTITUTING DISCRIMINATION It shall be unlawful for any creditor to discriminate against any applicant, with respect to any aspect of a credit transaction ( XXXX ) on the basis of race, XXXX, religion, national origin, XXXX or marital status, or age ( provided the applicant has the capacity to contract ) ; ( XXXX ) because all or part of the applicants income derives from any public assistance program ; or ( XXXX ) because the applicant has in good faith exercised any right under this chapter For the damages that have been done to my mental distress and financial reputation, as I take my consumer report and life seriously, I will take this to a Federal level if my requests to open account ( XXXX ) are not honored. I am aware of my open end credit plan and my right to contract unlimited without being denied. I demand ONE MAIN FINANCIAL abide by federal law and open the account ( XXXX ) for which Ive extended credit. 

The fact remains that the XXXX XXXX has provided XXXX MAIN FINANCIAL with security collateral and has not received anything in return. This is inequitable to the XXXX XXXX and only benefits ONE MAIN FINANCIAL. 

XXXX XXXX was approved on certain conditions but only offered {$5600.00} as opposed to what was initially applied for. This is a violation under the Federal Reserve Act as well as the United States Code.

ONE MAIN FINANCIAL has intentionally violated my rights. 

I hereby instruct XXXX  or indentured trustee for ONE MAIN FINANCIAL to release any titles, interest, equity or rights owed to the XXXX XXXX. 

Send the loan applied for by the XXXX XXXX, which is in the amount of {$10000.00} as well as any other interest, titles, rights and equity to the address : XXXX XXXX XXXX XXXX XXXX XXXX Ga XXXX XXXX 

If this is not done ONE MAIN FINANCIAL will owe {$10000.00} in punitive damages pursuant to 15 USC 1691 E Civil Liability ( b ), as well as the loan in the amount of {$10000.00}.

( b ) RECOVERY OF PUNITIVE DAMAGES IN INDIVIDUAL AND CLASS ACTION FOR ACTUAL DAMAGES ; EXEMPTIONS ; MAXIMUM AMOUNT OF PUNITIVE DAMAGES IN INDIVIDUAL ACTIONS ; LIMITATION ON TOTAL RECOVERY IN CLASS ACTIONS ; FACTORS DETERMINING AMOUNT OF AWARD Any creditor, other than a government or governmental subdivision or agency, who fails to comply with any requirement imposed under this subchapter shall be liable to the aggrieved applicant for punitive damages in an amount not greater than {$10000.00}, in addition to any actual damages provided in subsection ( a ), except that in the case of a class action the total recovery under this subsection shall not exceed the lesser of {$500000.00} or XXXX per centum of the net worth of the creditor. In determining the amount of such damages in any action, the court shall consider, among other relevant factors, the amount of any actual damages awarded, the frequency and persistence of failures of compliance by the creditor, the resources of the creditor, the number of persons adversely affected, and the extent to which the creditors failure of compliance was intentional. 

ONE MAIN FINANCIAL will also be subject to the Section 29 Civil Money Penalty Pursuant to the Federal Reserve Act for XXXX  this continues retroactive to when ONE MAIN FINANCIAL was made aware of this issue. 

Tier XXXX : XXXX XXXX XXXX XXXX : {$45000.00} Tier XXXX : XX/XX/XXXX XXXX XX/XX/XXXX : {$150000.00} Tier XXXX : XX/XX/XXXX Until resolved : Currently at the writing of this the amount is {>= $1,000,000} and will continue for each business day this issue is not resolved. 

Total : {>= $1,000,000} Section 29. Civil Money Penalty ( a ) First Tier. Any member bank which, and any institution-affiliated party ( within the meaning of section 3 ( u ) of the Federal Deposit Insurance Act ) with respect to such member bank who, violates any provision of section 22, 23A, or 23B, or any regulation issued pursuant thereto, shall forfeit and pay a civil penalty of not more than {$5000.00} for each day during which such violation continues.

[ 12 USC 504 ( a ). A
s added by act of Nov. 10, 1978 ( 92 Stat. 3641 ) and amended by acts of Oct. 15, 1982 ( 96 Stat. 1523 ) and Aug. 9, 1989 ( 103 Stat. 470 ). ] ( b ) Second Tier. Notwithstanding subsection ( a ), any member bank which, and any institution-affiliated party ( within the meaning of section XXXX ( u ) of the Federal Deposit Insurance Act ) with respect to such member bank who 1.

A. commits any violation described in subsection ( a ) ; B. recklessly engages in an unsafe or unsound practice in conducting the affairs of such member bank ; or C. breaches any fiduciary duty ; 2. which violation, practice, or breach -- A. is part of a pattern of misconduct ; B. causes or is likely to cause more than a minimal loss to such member bank ; or C. results in pecuniary gain or other benefit to such party, shall forfeit and pay a civil penalty of not more than {$25000.00} for each day during which such violation, practice, or breach continues.

[ 12 USC 504 ( b ). As added by act of Nov. 10, 1978 ( 92 Stat. 3641 ) and amended by act of Aug. 9, 1989 ( 103 Stat. 470 ). ] ( c ) Third Tier. Notwithstanding subsections ( a ) and ( b ), any member bank which, and any institution-affiliated party ( within the meaning of section 3 ( u ) of the Federal Deposit Insurance Act ) with respect to such member bank who -- 1. knowingly -- A. commits any violation described in subsection ( a ) ; B. engages in any unsafe or unsound practice in conducting the affairs of such credit union ; or C. breaches any fiduciary duty ; and 2. knowingly or recklessly causes a substantial loss to such credit union or a substantial pecuniary gain or other benefit to such party by reason of such violation, practice, or breach, shall forfeit and pay a civil penalty in an amount not to exceed the applicable maximum amount determined under subsection ( d ) for each day during which such violation, practice, or breach continues.

[ 12 USC 504 ( c ). As added by act of Nov. 10, 1978 ( 72 Stat. 3641 ) and amended by act of Aug. 9, 1989 ( 103 Stat. 470 ). ] ( d ) Maximum Amounts Of Penalties For Any Violation Described In Subsection ( c ). The maximum daily amount of any civil penalty which may be assessed pursuant to subsection ( c ) for any violation, practice, or breach described in such subsection is -- 1. in the case of any person other than a member bank, an amount to not exceed {>= $1,000,000} ; and 2. in the case of a member bank, an amount not to exceed the lesser of -- A. {>= $1,000,000} ; or B. 1 percent of the total assets of such member bank.

[ 12 USC 504 ( d ). As added by act of Nov. 10, 1978 ( 92 Stat. 3641 ) and amended by acts of Oct. 15, 1982 ( 96 Stat. 1523 ) and Aug. 9, 1989 ( 103 Stat. 470 ). ] ( e ) Assessment, Etc. Any penalty imposed under subsection ( a ), ( b ), or ( c ) shall be assessed and collected by 1. in the case of a national bank, by the Comptroller of the Currency ; and 2. in the case of a State member bank, by the Board, in the manner provided in subparagraphs ( E ), ( F ), ( G ), and ( I ) of section 8 ( i ) ( 2 ) of the Federal Deposit Insurance Act for penalties imposed ( under such section ) and any such assessment shall be subject to the provisions of such section.

[ 12 USC 504 ( e ). As added by act of Nov. 10, 1978 ( 92 Stat. 3641 ) and amended by act of Aug. 9, 1989 ( 103 Stat. 470 ). ] ( f ) Hearing. The member bank or other person against whom any penalty is assessed under this section shall be afforded an agency hearing if such member bank or person submits a request for such hearing within 20 days after the issuance of the notice of assessment. Section 8 ( h ) of the Federal Deposit Insurance Act shall apply to any proceeding under this section.

[ 12 USC 504 ( f ). As added by act of Nov. 10, 1978 ( 92 Stat. 3641 ) and amended by act of Aug. 9, 1989 ( 103 Stat. 470 ). ] ( g ) Disbursement. All penalties collected under authority of this paragraph shall be deposited into the Treasury.

[ 12 USC 504 ( g ). As added by act of Nov. 10, 1978 ( 92 Stat. 3641 ) and amended by act of Aug. 9, 1989 ( 103 Stat. 470 ). ] ( h ) Violate Defined. For purposes of this section, the term " violate '' includes any action ( alone or with another or others ) for or toward causing, bringing about, participating in, counseling, or aiding or abetting a violation.

[ 12 USC 504 ( h ). As added by act of Aug. 9, 1989 ( 103 Stat. 470 ). ] ( i ) Regulations. The Comptroller of the Currency and the Board shall prescribe regulations establishing such procedures as may be necessary to carry out this section.

[ 12 USC 504 ( i ). As added by act of Aug. 9, 1989 ( 103 Stat. 470 ). ] ( m ) * Notice Under This Section After Separation From Service. The resignation, termination of employment or participation, or separation of an institution-affiliated party ( within the meaning of section 3 ( u ) of the Federal Deposit Insurance Act ) with respect to a member bank ( including a separation caused by the closing of such a bank ) shall not affect the jurisdiction and authority of the appropriate Federal banking agency to issue any notice and proceed under this section against any such party, if such notice is served before the end of the 6-year period beginning on the date such party ceased to be such a party with respect to such bank ( whether such date occurs before, on, or after the date of the enactment of this subsection ).

[ 12 USC 504 ( m ). As added by act of Aug. 9, 1989 ( 103 Stat. 461 ). ] If the CEO, CFO or indentured trustee for ONE MAIN FINANCIAL believe any points of law are incorrect they shall respond in writing refuting the points they believe are incorrect. Rebut any points that ONE MAIN FINANCIAL believes is incorrect with a detailed statement explaining why they believe the point of law is incorrect.

I hereby instruct the CEO, CFO or indentured trustee for ONE MAIN FINANCIAL Send the loan applied for by the XXXX XXXX, which is in the amount of {$10000.00} as well as any other interest, titles, rights and equity to the address : XXXX XXXX XXXX XXXX XXXX XXXX Ga XXXX XXXX 



Please respond in writing if these instructions can not be completed. You have five business days. If I receive nothing stating that the instructions can not be completed, I can assume and presume these instructions have been successfully performed. 

Notice of intent to sue was also sent on XX/XX/XXXX. 


BY : XXXX XXXX XXXX FOR : XXXX XXXX XXXX XXXXXXXX XXXX

Company response to consumer: Closed with explanation