Consumer complaint received 2021-08-17
Company: LOBEL FINANCIAL CORPORATION
State: TX
Product: Credit reporting, credit repair services, or other personal consumer reports
Sub-product: Credit reporting
Issue: Incorrect information on your report
Sub-issue: Account status incorrect

Complaint:
I have been dealing with this issue with Lobel Financial out of the state of California sinceXX/XX/XXXX. I obtained a small auto loan from them in the amount of around {$5600.00}, The vehicle I have purchased had been stolen and there was a discrepancy on wether I had property insurance on the vehicle through Lobel Financial, My Insurance had lapsed about a week before my vehicle was stolen in XXXX Texas, I am a XXXX Veteran because of my tour of duty during the XXXX XXXX and during the time my vehicle was stolen I was going through a life crisis and was experiencing financial difficulties especially after my vehicle was stolen and I was XXXX, I explained everything to a representative from Lobel Financial and I offered to make 2 {$500.00} payments within a months time to bring my account current and to continue to make my regular agreed payments until my account was paid in full even though I no longer had my vehicle because it was never recovered after being stolen. The representative from Lobel Financial responded that " It doesn't work like that, either I had to pay the balance in full or that They we're going to sue me in court '' I asked if that was a threat and he responded that '' No that's a promise '' This was a male collections representative from Lobel Financial who was assigned to my account for collections in 2018, after I attempted to resolve the situation within the means of my capabilities at the Time and received the response I got from Lobel Financial 's Representative, I lost faith in resolving the issue because I simply didn't have the money to pay the account in full and I was promised to be sued in court for the debt. I was really terrified of the further damage that was sure to take place in my life even after I my car was stolen, I was XXXX and now I was going to be sued even after I tried to resolve this issue, I never received a notice of suit but I have spent the last few years trying to keep XXXX from trying to manipulate my credit worthiness by continually raising the balance on the loan which I understand that by law they are allowed to do so by adding interest monthly, but what they have been doing is after they reported the account as a charge off as bad debt, which officially closed the account, they would keep showing that the account is open and the balance goes up on the account verses down and the the credit scoring alogorithims factor in the balance owed originally against the balance that's owed currently on open accounts and the more you owe on the original balance the bigger the penalty and vice versa, but on closed accounts that are negative, the older the account becomes the less of a negative impact it has on your credit/ Fico Score. What Lobel keeps doing is periodically reporting my account is open which negatively impacts my Scores and Creditworthiness by manipulation and so Everytime I get close to establishing a good history I'm forced to file a lengthy dispute and Sometimes it resolves only to show back up again and again. For me, this is Financial XXXX. Totally and completely unfair business practice and outright harmful to economic progress in our society. Though This complaint is against Lobel Financial because they are currently manipulating my XXXX and XXXX  credit reports, this seems to be a common business practice against certain so-called subprime borrowers that are being kept locked in to subprime lending services and locked out of Fair Market Financial products by being targeted by business practices that keep the foot on the neck.

Company public response: Company believes it acted appropriately as authorized by contract or law
Company response to consumer: Closed with explanation