Consumer complaint received 2023-10-30
Company: Garrison Investment Group
State: MI
Product: Credit card
Sub-product: Store credit card
Issue: Fees or interest
Sub-issue: Unexpected increase in interest rate

Complaint:
I made a previous complaint with no resolution, except for a " response '' that the company did not address the Consumer Protection Law they are violating with regards to Billing Statements. Finance Foundation is not in compliance with the Federal statue below. They are trying to hide behind the original TILA requirements, which was amended in XXXX to include many more requirements. Statements from Foundation Fiance Company do not list the full month 's interest charges, the payoff date, the amount of interest that is paid towards the principle balance or what the actual percentage is. They are list payoff and minimum payment language on every statement, which they do not. Foundation Finance Company is claiming the terms were on the original contract signed in XXXX, but not one statement since then has been in compliance, even though it was amended in XXXX. I have no idea how my payment is applied based on the statements, what is the percentage of interest I am paying or how much interest is actually being charged every month. The statements are misleading the borders deceptive business practices and does not disclose as required for not showing the actual amount charged in interest. The companies response is not acceptable and does not address the laws they are violating. I had to pointedly request a full accounting which took the company a week to provide. Every statement is to contain the following : SEC. 201. PAYOFF TIMING DISCLOSURES. 
( a ) IN GENERAL.Section 127 ( b ) ( 11 ) of the Truth in Lending Act ( 15 U.S.C. 1637 ( b ) ( 11 ) ) is amended to read as follows : ( 11 ) ( A ) A written statement in the following form : Minimum Payment Warning : Making only the minimum payment will increase the amount of interest you pay and the time it takes to repay your balance., or such similar statement as is established by the Board pursuant to consumer testing.

( B ) Repayment information that would apply to the outstanding balance of the consumer under the credit plan, including ( i ) the number of months ( rounded to the nearest month ) that it would take to pay the entire amount of that balance, if the consumer pays only the required minimum monthly payments and if no further advances are made ; ( ii ) the total cost to the consumer, including interest and principal payments, of paying that balance in full, if the consumer pays only the required minimum monthly payments and if no further advances are made ; ( iii ) the monthly payment amount that would be required for the consumer to eliminate the outstanding balance in 36 months, if no further advances are made, and the total cost to the consumer, including interest and principal payments, of paying that balance in full if the consumer pays the balance over 36 months ; and ( iv ) a toll-free telephone number at which the consumer may receive information about accessing credit counseling and debt management services.

( C ) ( i ) Subject to clause ( ii ), in making the disclosures under subparagraph ( B ), the creditor shall apply the interest rate or rates in effect on the date on which the disclosure is made until the date on which the balance would be paid in full.

( ii ) If the interest rate in effect on the date on which the disclosure is made is a temporary rate that will change under a contractual provision applying an index or formula for subsequent interest rate adjustment, the creditor shall apply the interest rate in effect on the date on which the disclosure is made for as long as that interest rate will apply under that contractual provision, and then apply an interest rate based on the index or formula in effect on the applicable billing date.

( D ) All of the information described in subparagraph ( B ) shall ( i ) be disclosed in the form and manner which the Board shall prescribe, by regulation, and in a manner that avoids duplication ; and ( ii ) be placed in a conspicuous and prominent location on the billing statement.

( E ) In the regulations prescribed under subparagraph ( D ), the Board shall require that the disclosure of such information shall be in the form of a table that ( i ) contains clear and concise headings for each item of such information; and ( ii ) provides a clear and concise form stating each item of information required to be disclosed under each such heading.

( F ) In prescribing the form of the table under subparagraph ( E ), the Board shall require that ( i ) all of the information in the table, and not just a reference to the table, be placed on the billing statement, as required by this paragraph ; and Regulations.

( ii ) the items required to be included in the table shall be listed in the order in which such items are set forth in subparagraph ( B ).

( G ) In prescribing the form of the table under subparagraph ( D ), the Board shall employ terminology which is different than the terminology which is employed in subparagraph ( B ), if such terminology is more easily understood and conveys substantially the same meaning..

( b ) CIVIL LIABILITY.Section 130 ( a ) of the Truth in Lending Act ( 15 U.S.C. 1640 ( a ) ) is amended, in the undesignated paragraph following paragraph ( 4 ), by striking the second sentence and inserting the following : In connection with the disclosures referred to in subsections ( a ) and ( b ) of section 127, a creditor shall have a liability determined under paragraph ( 2 ) only for failing to comply with the requirements of section 125, 127 ( a ), or any of paragraphs ( 4 ) through ( 13 ) of section 127 ( b ), or for failing to comply with disclosure requirements under State law for any term or item that the Board has determined to be substantially the same in meaning under section 111 ( a ) ( 2 ) as any of the terms or items referred to in section 127 ( a ), or any of paragraphs ( 4 ) through ( 13 ) of section 127 ( b )..

Company response to consumer: Closed with explanation