Consumer complaint received 2020-07-10
Company: General Motors Financial Company, Inc.
State: VA
Product: Vehicle loan or lease
Sub-product: Lease
Issue: Problems at the end of the loan or lease
Sub-issue: Termination fees or other problem when ending the lease early

Complaint:
I am writing regarding my account with GM Financial. This account was opened XX/XX/XXXX. The account was for the lease of a XXXX XXXX XXXX which was returned in XX/XX/XXXX. Currently I have attempted to resolve the matter, but GM Financial maintains they want paid for a disposition fee. I maintain that money paid to them for XXXX taxes was misallocated, therefore I should have been on target to receive a refund for taxes paid ( prorated from XX/XX/XXXX, and the full months of XX/XX/XXXX to XX/XX/XXXX ). Also, I maintain that I, in good faith, tried to get information for any and all costs associated with ending this lease in order to limit my liability to only excess wear and tear and excess mileage. My intention with ending the lease was that the dealership to which I would buy/lease my next car would pay all final payments in full to GM Financial with the exception of the excess wear/tear/mileage if applicable. 

Prior to searching for a car for lease/purchase I called GM Financial to get final numbers : buyout price or lease pay off, and any final costs that would be associated in order to close the account. I called ( approximate date XXXX XXXX ) and I used the online chat option to get this information. I also checked in multiple places in my account ( on their website, app, and paper statements ) and was unable to get this information from any of those options. I was told a buyout number and lease payoff during the call and the chat session. I was told that sometimes XXXX offers to forgive the remainder of the lease if I bought another XXXX product, and I received letters in XX/XX/XXXX stating as much ( early lease turn in ). I asked specifically and in multiple conversations via telephone and online chat if there were any other costs that might be associated/incurred with returning the vehicle. I was told no. I asked again if there would be anything else that would need paid other than a buyout or completion of the lease payments. Again, I was told no. I asked if there was anywhere on their website in my account information or statements to confirm what they were telling me, and I was told no, but was also told the information they were giving me was accurate. 

In XXXX of XXXX I started the process of looking for financing and searching for my next XXXX car. I spoke to salespersons at three dealerships ( XXXX XXXX, XXXX XXXX, and XXXX XXXX ) about an early lease turn in. XXXX XXXX is closest to me, and I test drove a car that I was interested in. When it came time to discuss purchasing the car I was told by the sales manager, XXXX, that I should take a smaller car. I told him and the salesperson, XXXX, that I was looking to purchase a larger car to accommodate my family ; that I needed something larger to accommodate a car seat and enough leg room for myself because I have a XXXX that affects my XXXX  and XXXX, and with the current car, I was in pain from not having enough room due to the car seat. XXXX was abrupt in telling me he could not sell me the car I wished to purchase, that I should accept a smaller car, that I would have to roll over the remainder of my lease, and if I was unwilling to accept that there was nothing else he could do for me. He ended the discussion by walking away. In weeks following I was emailed by XXXX XXXX even after unsubscribing and called multiple times a week and sometimes multiple times a day even after requesting the calls cease. It took more than a month for the calls to stop, and representatives from XXXX XXXX only stopped when I threatened to file a complaint of harassment with the Attorney General and Federal Trade Commission. After that the calls were less frequent, but they did not cease entirely even with me blocking the numbers that were previously used. It was because of the interactions at XXXX XXXX that I decided to purchase from a different car company. 

It was around that time that I paid the year XXXX taxes on the XXXX XXXX because I believed I would have the car until XX/XX/XXXX when the lease ended. Taxes are paid directly to the Leaser, as requested in a bill from GM Financial, by the Leasee which are then paid to the county tax assessor where the car is located. I sent the check through my banks online payment system including a memo for the check to be directed to the payment of taxes. The payment was made on XX/XX/XXXX for the amount of {$260.00}, the amount listed for the cost of XXXX taxes. I have obtained proof from my bank that this payment was made. On XX/XX/XXXX I purchased a car and returned my XXXX XXXX to XXXX XXXX, located at XXXX XXXX XXXX XXXX in XXXX, VA. 

I received the final bill sometime around the end of XX/XX/XXXX or the beginning of XX/XX/XXXX. When I called to find out why I was receiving a bill, and especially one this high, I was told it was a disposition fee. I asked what a disposition fee was and was told that it was for disposal of the car. I knew the car had been sold from XXXX XXXX in XXXX because I watched for the listing and sale of the car. I asked why this had not been disclosed as part of the final pay out. They said that a final pay out came when they knew if there had been excess miles or excess wear and tear. I told them I had expected to pay that if that were found to be necessary, but that I had specifically asked if there were any hidden costs, anything that would need paid besides the last of the lease payments, and anything else other than a final bill for excess wear and tear or miles. I also told them I knew that excess wear and tear or excess mileage charges were possible, but with how I took care of the car it would not be probable. I told them everyone I had spoke with had told me no, that there were no hidden charges. The wear/tear and miles would be the only things I needed to worry about if I had a dealership willing to either buy the car or pay off the lease even if I went with a different company. I knew that I was under mileage for the car and that wear and tear would not be a problem because I always kept it clean. 

I asked for the balance for pay off of the lease and for buyout of lease. I asked specifically for any and all costs, hidden or known, and was given an amount that was not accurate. The dealership from which I purchased my new car paid off my lease. The sales manager also called and asked for a full pay out. I was standing there as they were on speaker with the representative from GM Financial. The representative gave a number that was not a complete pay off. The disposition fee was not included in the final amount. The taxes I paid in XX/XX/XXXX had been applied towards the car payment and not the tax payment which gave the dealership willing to pay off my lease an inaccurate amount to pay to GM Financial. Had GM Financial applied the money correctly for the taxes and included the disposition fee they would have received full payment from XXXX for the balance of the lease, and I would have received a refund for XXXX through XX/XX/XXXX taxes as well as a refund for all of XXXX taxes paid. 

Taxes paid for XXXX were returned to GM Financial for the months of XXXX and XXXX. I have email from XXXX XXXX XXXX stating a refund was given back to GM Financial for the car being returned. That refund was not applied to my account. The tax assessor also explained in the email that in order for the refund to begin on XX/XX/XXXX they would need to be contacted from GM Financial or have something to reflect that I no longer had the car on or after XX/XX/XXXX. Only then would a refund be given for XXXX tax payment, that it would be prorated, and that the refund would be sent to GM Financial. 

I asked GM Financial in XXXX or XX/XX/XXXX to not report this to credit agencies until the dispute had been resolved, and I was told that it would still be reported to credit agencies as late/nonpayment. I said that in the few times I have had a dispute about a bill that the company had always agreed to hold reporting to any credit agency as long as the dispute was in process and resolution had yet to be found. The representative refused to hold reporting to the credit agencies. At this point by credit score dropped 80 points within two days. In looking at my credit report, GM Financial not only reported negatively to the credit agency once, but they reported negatively three times in two days ( XX/XX/XXXX and XXXX, XXXX ) for 30 days late. During the time I had the car in my possession I had not one late payment. Now in disputing these charges I receive 3 late/negative reports in a matter of two days. 

I requested a statement from GM Financial in XXXX or XX/XX/XXXX, and I received it in XX/XX/XXXX. The statement reflected what I had told their representatives in previous discussions : I made a payment of {$260.00} to be applied to XXXX XXXX County Tax Assessment. It shows the payment was directed towards the monthly car note, not applied to the property tax as I had designated in writing on the check sent from my bank. This check was received XX/XX/XXXX. 

As of XX/XX/XXXX I have notified GM Financial that I would be in contact with an outside official because I am disputing the final balance. I have spoken to multiple representatives from GM Financial both before and after returning the car on XX/XX/XXXX. I have asked for transcripts of these conversations from the online chat, chat in the app, and the monitoring of the phone conversations. I have not yet been provided with that information, and I was told on XX/XX/XXXX that I could not be provided that information. 


Please note, if this is not the correct agency to seek relief, please let me know who to direct my request in order to resolve this issue. Thank you for your time.

Company response to consumer: Closed with explanation