Consumer complaint received 2018-02-11
Company: ONEMAIN FINANCIAL HOLDINGS, LLC.
State: PA
Product: Payday loan, title loan, or personal loan
Sub-product: Installment loan
Issue: Problem with the payoff process at the end of the loan

Complaint:
It was tough for us from the beginning. Both of our credit histories had made it tough for us with being stuck with crippling interest rates, limitation of choices, limitations of job choices, being stuck with cars which cost us thousands in repairs straight off the lot all from poor credit ratings.. But we continued forward working hard to get things to work through again a lack of choices and being at the mercy of others. Yes, we did make some poor choices but in a lot of cases those were the best choices of the options we had available. 
Finally, on XX/XX/XXXX, we had an opportunity which we had created for ourselves after years of doing without and struggling to get things paid off and on time. We finally had the opportunity to free up cash and get things moving for us as our credit rating had climbed high enough to qualify for a loan with which we were able to consolidate and clean up the last remnants of a stifling past. We planned, budgeted, and made arrangements with past creditors to clean up our mistakes. We did without and paid ahead to build up this rating though still not stellar or even remarkable. But we did it and decided to check into the offer. 
Besides some past mistakes still lingering we had a couple of current credit cards and a personal loan with XXXX for the amount of {$1200.00} originated on XX/XX/XXXX with a monthly payment of {$84.00} and a car loan with XXXX for the amount of {$5600.00} originated on XX/XX/XXXX with a monthly payment of {$160.00}. At first our idea was not a loan for the car but a personal loan to clean up our past indiscretions and the personal loan with XXXX which would reduce our monthly debt expenses to just the {$160.00} and the payment for the personal loan. However, after talking to XXXX XXXX XXXX, Branch Manager of One Main office located at XXXX XXXX XXXX, XXXX XXXX, XXXX, Pa XXXX, and going over some numbers we found it advantageous to do a {$5200.00} consolidation loan which would take care of the past obligations, the personal loan with XXXX, and the car loan. 
I called XXXX and got a payoff amount for those loans with a payoff date of XX/XX/XXXX while XXXX was on the phone with a higher office to get approval for the loan. After going over the initial leg work with the loan process we went to finish the process up with XXXX XXXX XXXX, Branch Account Manager. This was the creation of the contract which was all done electronically. I thought I was to get a copy via email but have yet to receive it. But we finished the paperwork and I was issued two checks : the first was for the amount of {$270.00} made payable to XXXX XXXX for a XXXX I have and the other was payable to XXXX XXXX XXXX in the amount of {$660.00} for an account on which I had defaulted. Both of these checks I sent to the respective creditors. The amounts for the payoff of the loans with XXXX were taken care of by the One Main office. 
I kept track of the accounts to see when they were credited. XXXX XXXX and XXXX XXXX both were cleaned up. I had used the remaining money to clean up other smaller accounts such as XXXX XXXX with whom I had had another defaulted account in collections. But as XX/XX/XXXX approached I saw no change and decided to check with XXXX. They said that they had not received anything. I called One Main and XXXX XXXX XXXX said that she had XXXX those checks to an address in Iowa and said that they had been received. I immediately called XXXX back with the tracking number, the address, and the name of the person who had signed for it. I was then informed that that was not their address. It was a bank that had a similar name but it wasnt them. I called XXXX XXXX XXXX and she told me that she was going to overnight the checks to XXXX in XXXX, Pa and put a stop payment on the two which went to Iowa. A couple of days later I saw that my accounts with XXXX had gone to a XXXX balance. I received a notice from XXXX around XX/XX/XXXX which included our original loan contracts and they were marked PAID with a date of XX/XX/XXXX. 
I was to start making my monthly payments of {$160.00} on XX/XX/XXXX for the loan with One Main but trying to keep with what XXXX I have done in the past we made our first payment of {$170.00} on XX/XX/XXXX and set up an automatic payment for the XXXX of every month which followed for the amount of {$170.00}. We have made every payment as scheduled since and every payment has been for the amount of {$170.00}. 
As time past we would check our credit and watch it rise. However, after the XXXX of the year, I noticed that on XXXX XXXX our paid on time score had dropped from 100 % to just 97 %. A few days later I had a message from XXXX XXXX from XXXX. I called her back and found that I was past due and the check that had been sent from One Main to payoff my loan had a stop payment. Thinking it was just a bit of confusion I explained what had happened in XX/XX/XXXX and gave her both XXXX XXXX XXXX and XXXX XXXX XXXX phone and fax numbers and names. I didnt hear anything and on XX/XX/XXXX I received a bill dated XX/XX/XXXX for {$590.00} with a minimum due of {$90.00}. I took it immediately to One Main and gave it to XXXX XXXX XXXX who immediately started looking into it. Then on XX/XX/XXXX I received another bill from XXXX dated XX/XX/XXXX and another letter concerning the check which was returned with a stop payment. It also included a photo copy of the check for the amount of {$530.00} indicating the stop payment was on XX/XX/XXXX. I faxed both copies to the One Main Office. I heard nothing so the next day I called and was told by XXXX XXXX XXXX that XXXX XXXX XXXX had taken care of it which included a separate check to pay off any fees and charges which were incurred. A couple of days later I received a call from XXXX XXXX stating that the problem had been resolved. 
On XX/XX/XXXX I received another phone message from XXXX XXXX. I tried to return her call and when I could not get her I tried a couple of times unsuccessfully the next day and left a message both times. On XX/XX/XXXX I received another bill from for a past due amount of {$170.00}. Since it was too late to call I faxed it to One Mains office. I heard nothing the next day which was filled with errands. I was taking a day off to cool downI was livid. We had worked our credit score up to XXXX, almost ready to go into the XXXX and finally start opening some doors for us. Instead because of the past due we had plummeted to the low XXXX and high XXXX. 
I go to work on XX/XX/XXXX at XXXX. About ten minutes into my shift I get a call. I answer it and it is XXXX XXXX from XXXX starting to question me about XXXX and my loan with them. She told me that One Main had pay off everything except {$55.00} and demanded to know what I was going to do about it. I told her never to call me at work again. When I got home One Main was closed and I faxed them a note with the latest bill stating that I want this resolved now. 
Here we are, XXXX and I have done the right thing but are now stuck with a pithy credit score which means more time with financial and career limitations, unbelievable interests rates, and being stuck with the broken down car the dealer wishes to unload.

Company response to consumer: Closed with explanation