Consumer complaint received 2023-03-01
Company: General Motors Financial Company, Inc.
State: PA
Product: Vehicle loan or lease
Sub-product: Loan
Issue: Managing the loan or lease
Sub-issue: Problem with the interest rate

Complaint:
XX/XX/XXXX I was forced to get a new auto after being in an auto accident that I had not caused. After struggles with the auto that was totaled and dealing with the insurance I had to find a new lender until this was addressed. The outstanding loan caused problems obtaining a new loan. I was placed in what I was told was a high interest rate loan XXXX at 72 months. The loan was for XXXX after I put down XXXX to reduce the cost and total of the loan. While reviewing my credit and trying to work out all of my debt I saw that the loan balance was not really moving. I then began doing the math to calculate everything and found that I am not paying 14.65 % interest on what was borrowed in the simple loan. At the end of this loan I will have paid almost XXXX in interest. 
While I understand based on the facts they saw in numbers when I took out this loan. I am struggling to understand how they can legally take advantage of people in such a way. I never needed a 72 month loan. The dealership said this was the only way to reduce the payment to an " affordable '' {$400.00} per month. When a person makes about {$2200.00} a month {$400.00} is already not affordable. I have had a few late payments due to the inability to afford this with other costs but have also paid XXXX monthly to try and boost my credit and get the balance down. The balance is barely moving! The only reason they had me in a 72 month loan was to enable them to make more profit from my situation. It wasn't enough that I had to accept a high interest rate but to drag out the loan and have me pay them about 49 % additional on the amount I borrowed is beyond disturbing. 
The only reason a company would charge such a high interest rate of XXXX and then drag out the loan is to steal money. 14.65 % means absolutely nothing on this paperwork to the average person who knows nothing about a loan when at the end of the terms they are actually charging 49 %. 
Even if I can't do anything to help my situation this has to stop! People already having a tough time are already placed in higher rates for everything. Why would you set them up to fail? This enables them to keep all money that was paid into the loan and then also take back the property and sell it to someone else in another horrible loan. 
I called the dealership yesterday XXXX of XXXX PA and they offered no explanation ad said my issue is with the lender not them. Today XX/XX/XXXX I called GM financial XXXX who offered to do nothing but send me the paperwork to show that the loan is accurate. I realize some of this message is emotional and personal but these things that are happening with lenders is causing mental, emotional and physical trauma to people and families. This is robbery from a business and financial institution who are counting on the fact that average person won't understand the verbiage of the contract and the 14.65 % rate that they list and means ABSOLUTELY NOTHING. 14.65 % interest is NOT what I am paying and responsible for its nearly 49 % interest. GM Financial should be ashamed and so should the dealership for allowing this to take place to fill their pockets. 
Not to mention that the car has had nothing but issues since I purchased it in XXXX. I can't sell it to even try and escape the loan because of the amount that remains open I'd be lucky to get XXXX towards the purchase of a new vehicle. 
I intend to find as many people and places to reach out and address this until it's addressed. Since understanding what this loan is all about I have been researching and finding that this seems to be common practice. This should not happen and can not go on any longer. I hope that you will understand the details I have listed and help at the least keep others from having this happen to them.

Company response to consumer: Closed with explanation