Consumer complaint received 2019-10-11
Company: Larry H. Miller Group of Companies
State: UT
Product: Vehicle loan or lease
Sub-product: Loan
Issue: Getting a loan or lease
Sub-issue: Confusing or misleading advertising or marketing

Complaint:
My daughter and son-in-law wanted to purchase a more recent model year vehicle since the vehicle they were in was old and unreliable/unsafe for their new baby. They attended car dealer Larry H. Miller 's Used Car tent sale on XX/XX/2019 for XXXX XXXX, at the XXXX expo center. They found a vehicle that they liked but due to having no credit score ( no debt or credit history ) they needed a co-signer. I drove to the tent sale on XX/XX/2019 to co-sign the loan with XXXX XXXX XXXX XXXX. It was hot and stuffy and very busy with long lines of people waiting to close on their loans. This made Mr. XXXX hurry to rush along the paperwork signing. At no time while we were signing documents did the Finance Manager, XXXX ( XXXX ) XXXX, disclose that due to this being an indirect loan that I would be the primary lendee, and not my daughter and son-in-law, ( XXXX and XXXX XXXX ). After the paperwork was finalized Mr. XXXX told us he would send the final loan documents via email. As of XX/XX/2019 we have not received the final loan documents. 

When the loan was originated with XXXX it showed up on my account, but not on my daughter and son-in-laws account. When the dealership was called to inquire why XXXX XXXX and XXXX did not have access to this loan on their XXXX account we were told that LHM Dealership submitted the paperwork correctly and the fault was on XXXX. When I spoke with Ms. XXXX XXXX, Indirect Lending Manager for XXXX, she explained that XXXX has a rule that the person with the credit score and credit history that signs for the loan is the primary. According to Ms. XXXX the only way to have the loan show on my daughter and son in law 's account is for them to be the primary loan holder. The only way this is possible, per Ms. XXXX, is to go to an XXXX branch and apply for a direct loan. 

Due to this misrepresentation and failure to disclose this fact by Mr. XXXX at LHM Auto Finance,  My daughter and son in law must now come back to Utah from Idaho to re-apply for a car loan and we must all re-sign paperwork, and my credit will be pulled yet again ... If the difference between indirect and direct loans had been disclosed at the time of purchase we would have chosen to go to an XXXX   branch to secure a direct loan. 

I called Mr. XXXX and he claimed that he had told us that I was the primary. Funny how 3 adults signing paperwork all heard differently. When I sat down with Mr. XXXX, I said, " I am here to co-sign on a car loan ''. He never batted an eye or stated anything contrary to that. 

I called LHM and spoke to the General Sales Manager, Mr. XXXX XXXX. He told me the reason I was the primary on the loan was because I was the one with the credit score and if I wasn't the primary, my daughter and son in law would pay a higher loan rate. Ms. XXXX contradicted that statement. Mr. XXXX also said he didn't know what I wanted him to do about it. 

I am not sure if this is a TILA violation but LHM Finance Manager XXXX ( XXXX ) XXXX failed to disclose the difference between an indirect and direct loan, so we did not have all of the information to make an educated and informed decision. Their handling of this situation has been unprofessional, lacked any customer service and misrepresented the terms and type of loan we believed we signed. I have attached a copy on an email I sent to Mr. XXXX and Mr. XXXX at Larry H. Miller Auto.

Company response to consumer: Closed with explanation