Consumer complaint received 2021-11-06
Company: TOYOTA MOTOR CREDIT CORPORATION
State: NV
Product: Credit reporting, credit repair services, or other personal consumer reports
Sub-product: Credit reporting
Issue: Incorrect information on your report
Sub-issue: Old information reappears or never goes away

Complaint:
I've been working for 3 months to correct an error on my credit report. I was buying a home and realized Toyota Motor Corporation ( Lexus ) was reporting I owed over $ XXXX on an account closed in XX/XX/XXXX. When I disputed it, Toyota Motor Corp REOPENED the account, and all the credit agencies started reporting a debt and late payments for an account closed almost 6 years, an account for which I NEVER ONCE received a request for payment. When I was counseled by Toyota Motor Corp. on my options in XX/XX/XXXX, they advised me if I gave back the car they would sell it at auction, and sell off the remaining debt to a third party to whom I would have no obligation to. This is why I made the decision to voluntarily surrender the car in the first place. 

When I tried to correct this, the response from Lexus was this : " On XX/XX/XXXX, you communicated that you were unable to afford the monthly payments and requested a voluntary surrender. During that conversation, we explained the consequences of voluntarily surrendering the vehicle. You returned the vehicle to XXXX XXXX  XXXX, and we recovered it on XX/XX/XXXX. We mailed a cure notice on XX/XX/XXXX, indicating that the account was in default for the XX/XX/XXXX payment. The vehicle was sold at private auction on XX/XX/XXXX. Unfortunately, the price we received at auction was not enough to pay your account in full and we notified you of the amount due ( {$14000.00} ) via written notice on XX/XX/XXXX. We attempted to contact you on numerous occasions to resolve the total amount due. Despite our continued efforts, the balance remained unpaid, therefore we charged off the balance in XX/XX/XXXX and reported it as such to the consumer reporting agencies ( CRAs ). It is important to understand that prior to the retail account being charged off, we continued to report the status of the account to the CRAs. As a result, your XX/XX/XXXX payment was reported 30 days past due in XX/XX/XXXX, 60 days past due in XX/XX/XXXX, 90 days past due in XX/XX/XXXX, and 120 days past due in XX/XX/XXXX. Our records do not reflect that we waived your obligations regarding the debt or re-opened the account as stated in your complaint. '' There are two things to call out here. First, they claim they send me a " written notice '' of money I owed on XXXX XX/XX/XXXX, tried to reach me several times to resolve, and then charged off the balance in XX/XX/XXXX. This only proves my assertion : They intended to just charge it off and not recover anything from me - there's no way all this can happen in the span of 2 weeks. 

Second, Lexus very clearly stated the last " delinquent payment '' was XX/XX/XXXX, the account was closed then, and they never reopened the account. Therefore, the credit reporting agencies must change their reporting to show this account was closed in XX/XX/XXXX per Lexus ' own statement.

Company response to consumer: Closed with explanation