Consumer complaint received 2021-08-26
Company: American Credit Acceptance, LLC
State: MN
Product: Vehicle loan or lease
Sub-product: Loan
Issue: Managing the loan or lease
Sub-issue: Problem with fees charged

Complaint:
Issue 1 : FAILURE TO ACCURATELY REPORT PAYMENTS TO CRAs and CONTINUING COLLECTION ACTIVITIES AFTER LUMP SUM REPAYMENTS On XX/XX/XXXX, I entered into a contract for {$17000.00} for the purchase of a XXXX XXXX XXXX. The contract amount included precomputed interest. 
On XX/XX/XXXX, the vehicle was stolen. I notified ACA, XXXX ( my insurance ), and the GAP insurance provider of the theft. 
On or about XX/XX/XXXX, ACA received a rebate check for my extended warranty in the amount of {$2200.00} On or about XX/XX/XXXX, the XXXX PD recovered the vehicle On the date that XXXX  notified me of the recovery, I notified XXXX and ACA and GAP On or about XX/XX/XXXX, XXXX insurance issued a check to ACA for {$11000.00} Prior to the issuance of the check, I spoke with XXXX XXXX concerning my desire to retain the vehicle and pay the remaining balance once calculated. We agreed that I would pay the balance and on the day after this conversation, but no new contract was entered into. Ms. XXXX agreed that they could not " continue '' to charge interest on the loan and advised me to ( 1 ) let the GAP insurance provider know that I was going to retain the vehicle to get a refund from GAP or payment toward the balance from GAP. 
Prior to speaking with MsXXXX XXXX, ACA agents continued to tell me that I had to pay the entire balance ( which included the precomputed interest ), and I repreatedly expressed to ACA agents that I would make payments toward the balance but that that they could not collect on a XXXX loan when over {$14000.00} was paid within the first 12 months of the loan. 

ISSUE 2 : Furnishing erroneous information to Credit Reporting Agencies Nevertheless, I continued to make payments on the vehicle, which ACA failed to report. Rather, they furnished information to the CRAs for approximately 9 months that my loan was " affected by a disaster. '' ACA failed to report the XX/XX/XXXX payment of {$2200.00} to the CRAs and continued to report the balance due as over {$17000.00} ACA failed to report the {$11000.00} payment from XXXX that they received on or about XX/XX/XXXX, and continued to report the debt as $ 17,000+ to the CRAs On XX/XX/XXXX, I emailed Ms. XXXX and requested that she cause the correct amount due to be reported to the CRAs. No action was taken on my request. 
On or about XX/XX/XXXX, I called ACA 's Loss Mitigation Department and spoke to an agent named XXXX. XXXX escalated the credit reporting matter and approximately three weeks later, my credit report was corrected to reflect a balance of about {$1300.00}. 
On XX/XX/XXXX, I paid ACA {$1300.00}, which paid the balance in full. 
On XX/XX/XXXX, ACA sent a lien release to the State of Oklahoma and to me.

Ultimately, I paid five years ' worth of unearned interest and was dunned by ACA despite the fact that the loan -- without the improperly charged interest -- was paid in full.

ISSUE 3 : Furnishing erroneous " late payments '' the three months before I paid the car off ACA reported that in XXXX, XXXX, and XXXX ( the month that I paid the car off ) that each of these months ' payments was late. This caused a drastic drop in my credit score. I called the ACA office again the first week of XXXX and was told the matter would be escalated. Two days later, an ACA agent called me and told me that " the payments WERE late '' and that they would not change the information that ACA reported to the credit bureau.

ACA is Required Under South Carolina Law SECTION 37-3-210 to refund the unearned interest. 

ACA is headquartered in South Carolina. Under South Carolina law, a lender shall refund all prepayments upon payment in full of a loan with a precomputed interest rate. A

CA has not done so. DEMANDS 1. Provide the CFPB a verified, full accounting of my account 2. Refund to me all monies ACA collected for interest on the loan that it did not earn 3. Delete the three derogatory entries from all CRAs this information was furnished to.

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