Consumer complaint received 2017-06-18
Company: CarFinance Capital LLC, Irvine, CA Branch
State: NC
Product: Vehicle loan or lease
Sub-product: Loan
Issue: Getting a loan or lease
Sub-issue: Fraudulent loan

Complaint:
First I would like to lay the foundation for the basis of my complaint. There is a distinct legal difference between an Automobile and a Motor vehicle. The latter motor vehicle is specific to commercial transportation and/or for hire activity, in other words profiting in business using the streets and highways within the state. The automobile on the other hand is a consumer good purchased for personal, family and household use. ( see legal definition '' 18 USC 31 ( 6 ) MOTOR VEHICLE. The term motor vehicle means every description of carriage or other contrivance propelled or drawn by mechanical power and used for commercial purposes on the highways in the transportation of passengers, passengers and property, or property or cargo. If you will notice the term automobile is excluded from this definition. If you will also note in the North Carolina General Statutes 20-4.01 ( 23 ) you will note that the term automobile is also excluded from their definition of motor vehicle. ( 23 ) Motor Vehicle. - Every vehicle which is self-propelled and every vehicle designed to run upon the highways which is pulled by a self-propelled vehicle. Except as specifically provided otherwise, this term shall not include mopeds or electric assisted bicycles.
Within the Uniform Commercial Code which is within the jurisdiction of the states to regulate because it is in commerce UCC-9-109 ( 23 )  defines Consumer Goods as goods that are used or bought for use primarily for personal, family or household purposes. It does not say with the exception of automobiles. UCC-9-109 ( 1 ) further clarifies that the motor vehicle and not a private automobile can be regulated by the state. Under UCC 9-109 there is a real distinction between goods purchased for personal use and those purchased for business use. The two are mutually exclusive and the principal use to which the property is put should be considered as determinative. XXXX XXXX XXXX v XXXX 5 UCC Rep Serv 1028 ; 266 Cal.App.2d 384, 72 Cal.Rptr. 168 ( 1968 ).
Automobile purchased for the purpose of transporting buyer to and from his place of employment was " consumer goods '' as defined in UCC 9-109. XXXX v XXXX XXXX XXXX XXXX XXXX., 3 UCC Rep Serv 1035 ; 415 S.W.2d 347 ( Tenn. App., 1966 ). A vehicle not used for commercial activity is a consumer goods,... it is NOT a type of vehicle required to be registered and use tax paid of which the tab is evidence of receipt of the taxXXXX XXXX XXXX XXXX v. XXXX, XXXX XXXX XXXX XXXX. XXXX, XXXX XXXX XXXX, XXXX XXXX XXXX. Thus self-driven vehicles are classified according to the use to which they are put rather than according to the means by which they are propelled. Ex XXXX XXXX  148 NW 20. The Supreme Court, in XXXX v. XXXX, XXXX XXXX XXXX, XXXX XXXX XXXX, XXXX L.Ed. 825,  held that carriages were properly classified as household effects, and we see no reason that automobiles should not be similarly disposed of. XXXX v United States, 152 F. 163, 164 ( 2nd Cir. 1907 ). There are countless court cases and including SCOTUS rulings that clarifies the fact that an automobile is private consumer goods, and the right to travel is a right not a privilege to be regulated by the states. When I realized the fraud that had been perpetrated on me, I posed questions to the finance company and dealer XXXX XXXX XXXX XXXX, Car Finance or its loan servicing company XXXX XXXX XXXX. Neither company responded to specific questions I asked them. The questions are as follows : ( 1 ) Under what legal authority did your client make the determination to require me to sign an instrument known as a Motor Vehicle Title?
( 2 ) Under what legal authority did your client make the determination that the purchase of my automobile was a commercial transaction and subject to registration with the North Carolina Division of Motor Vehicles? ( 3 ) Under what legal authority did your client make the determination that my automobile a consumer good, purchased for household, personal and family use is real property and taxable by the state of North Carolina. ( 4 ) Under what legal authority did your client make the determination that a Motor Vehicle Title was the instrument for securing his interest for the loan instead of the UCC-1 Financing statement?
( 5 ) Under what legal authority did your client make the determination that my automobile a consumer good, purchased for household, family and personal use is being used for hire and/or a motor vehicle being used for commercial purposes?
( 6 ) Under what legal authority did your client make the determination that he could use my personal identifiable information on an instrument of commerce i.e. Motor Vehicle Title without my informed consent?
( 7 ) Under what legal authority did your client make the determination that my automobile is equipment as indicated on the North Carolina Motor Vehicle Registration. Additionally my letters were a dispute of the debt and i requested that they validate the loan in accordance with ( XXXX ) XXXX XXXX XXXX XXXX ),  XXXX and XXXX XXXX. They failed to do so. Neither company has answered anyone of these questions. I have given them at least 3 opportunities to do so. Instead they unlawfully repossessed my automobile on X/XX/2017. Up until the time that I discovered their fraud my car note was current and I refused to continue paying these crooks especially when they ignored my concerns. Additionally I was never given the proper notices of rescission which are required under the Truth In Lending Act. The actions of these companies are nothing less than fraud, identity theft, conversion of property and theft of property. All of my written request for answers have been ignored. What should have been done is a UCC-1 Financing Statement should have been filed with the Secretary of States office to secure their interest not a Motor Vehicle Title. By filing a motor vehicle title application they have caused the classification of my automobile as a motor vehicle. This subjects me to property taxes and regulation of the Motor Vehicle Statutes by having the state license plates on my automobile. After bring this to their attention rather than try to rectify the my concerns they chose to repossess my automobile. This is a very serious matter for me. The fact that once I made them aware that I am aware they have shown no compunction to do the right thing whatsoever. I will retain legal counsel to bring forth and avail myself of any and all legal remedies if I do not get a satisfactory resolution from these people within the next 10 business days.

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation