Consumer complaint received 2020-02-22
Company: PREFERRED CREDIT INC
State: GA
Product: Debt collection
Sub-product: Other debt
Issue: False statements or representation
Sub-issue: Attempted to collect wrong amount

Complaint:
Preferred Credit was reporting that the full amount of the original Loan for the Purchase of a XXXX XXXX was still outstanding due and payable, after per the instruction of XXXX XXXX and prior authorization from Preferred Credit, that thru my own volition, contacted XXXX XXXX, told them that I was experiencing a financial hardship, had had a death in the family, had no late outstanding balance due, but could see continued financial hardship and asked if I would be authorized to voluntarily return the XXXX XXXX to XXXX, and my account zeroed and closed. 
XXXX, the Owner of XXXX XXXX, XXXX said yes, however he would need to contact Preferred Credit first, and receive their prior authorization for the XXXX returned, and the account immediately XXXX  balanced, and closed and removed from the Credit Reports. 
Shortly after my/his request, Preferred Credited provided their prior authorization for the return and the account would be XXXX, the account closed, and removed from the credit report. 
I contacted XXXX XXXX. They stated that the paperwork had been submitted to Preferred Credit, and as soon as the Paperwork was processed, my Account would be updated to reflect the XXXX balance, the account closed, the obligation satisfactorily addressed and removed from Preferred Credit, and the Credit Reports. I reported that Preferred Credit had taken months to reflect this Update and XXXX balance, and was still vigorously persuing monthly payments from me. XXXX XXXX said, they were sorry about these contacts, that the process should be over soon, and that I should contact Preferred Credit and let them know they need not continue attempting to receive monthly payments, and that we were waiting for this XXXX balance update. Preferred Credit said, until the matter is fully update, they will continue to contact me for payment, regardless. 
Finally we received the news at XXXX XXXX, that Preferred Credit had finished processing the return, and my account had been updated. However, on my credit reports and letters from Preferred Credit stated, that the amount owed on the account was the same. XXXX said, this is an error. We have the vacuum back, never out of the box, and the account with preferred credit is closed. They in fact never loaned me anything and XXXX had returned the advanced funds for the Vac Loan to Preferred Credit. 
Preferred Credit said, although they have the merchandise back, never out of the box, the Original Loan still existed, and I still owe the full amount of the Loan. I had made 12 payments of $ XXXX true, but these amounts were being applied to interest ( even after the return of the Vac ), and the Orginial Loan Amount, although XXXX had given it back to PC, they still believed I should owe and pay them the Balance. I told them, this made no since. Per our agreement, we have the prior Authorization for PC to me and XXXX, that the voluntary return of the Vac, was authorized by PC, the account was satisfied and XXXX balanced by XXXX, and PC was to indicated the account was closed, satisfied, XXXX balanced and removed from the Credit Reports. 

Preferred Credit had the vac back, they have the funds back from XXXX, they had 12 months of payments from me with no refunds at all, and they still stated I owed the full balance of the original loan. For almost a year, I fought to have this inacurracy updated and my account XXXX balanced with PC and removed from all credit reports as promised by XXXX, and authorized by PC. 

Finally over a year later and with the help of my Attorney 's Office and the DOCP, PC finally listed the account as 'no balance owed. ' Even after receiving 12 months of from me and the return of the XXXX XXXX still in it's original packing, they marked the account per the credit bureaus, repossession. How rude, unfair, not what was agreed to as expressed by XXXX and the Prior Authorization. When they FINALLY removed the balance from the account, years later, they still left it on my credit report, this time not as an outstanding balance, but as a repossession. The Original agreement was to XXXX balance or no balance the account and remove the account from Preferred Credit and the Credit Bureaus. 

PC has always been unreasonable and they try to not adhere to common and common sense practices. I have suffered enough, with the loss of my family member, the financial hardship itself, the loss of 12 monthly payments and no product or benefit from it, the fighting with PC to have the account updated as per their agreement and prior authorization, to have my name slandered and credit denied because of this so called {$1000.00} debt with PC which was completely false, they have 12 payments and the Vac and notice that the account is closed and satisfied. 

This reporting is incorrect. The Account was supposed to be closed as satisfied, XXXX balanced and removed from all credit bureau reports and from PC. Why is PC continuing to report this when XXXX is stating, there is nothing to report, the account is closed satisfied. 
PC is reporting this issue as an involuntary repossession, which is false and they were instructed to close account, satisfied, and remove account from all credit bureaus, which they have not.

Company response to consumer: Closed with explanation