Consumer complaint received 2021-07-07
Company: Farrell Holdings, LLC
State: NV
Product: Vehicle loan or lease
Sub-product: Loan
Issue: Problems at the end of the loan or lease
Sub-issue: Problem with paying off the loan

Complaint:
PAC Financial was the company I had to work with when I found a XXXX XXXX XXXX at XXXX XXXX. On XXXX I signed a contract to finance {$8900.00} with my payments being XXXX for 56 months. I honored this contract every month paying the monthly installments. Recently I decided it was time to upgrade, so I found a XXXX XXXX XXXX that I liked at XXXX XXXX. First thing in the morning on XXXX XXXX test drove the car and told the salesman I wanted to take it home. He began to work on getting a purchase agreement for my XXXX XXXX as a trade in. When the sales man called to get a payoff on the XXXX XXXX from PAC he mentioned how rude and difficult the representative was. He said they did not want to give the number to him and was more concerned with when they would be receiving their check. I wasn't surprised because the one attempt O made to bet a payoff figure myself the representative did not give it to me. Tired of going back and forth I gave up and ended the call. After the salesman confirmed that they would be cutting a check within ten days, the rep finally gave him a payoff quote of {$7600.00} that was good for 10 days. When he told me that the payoff was {$7900.00} I immediately knew the number was too high. I let the salesman and financial director at XXXX know that I had an automatic payment already det up for today the XXXX and they advised me to stop payment on it because the payoff amount will clear out the account. I continued to move forward with the trade in process believing I could rectify the situation with PAC later. After an entire day of meeting all Buicks requirements, I left with my new XXXX XXXX XXXX. When I contacted XXXX  XXXX to stop payment they told me that I couldn't stop the payment or anything until the payment had posted to the company and I needed to call back in a few days once it's posted to have XXXX  XXXX reverse the payment after they investigate the transaction and reach out to PAC. I monitored my account and called back on the XXXX of XXXX and started the reverse payment process with the bank. I began to go through all my documents related to the XXXX XXXX XXXX. I reached out to PAC and requested my payment history. The representative was short and did not want to go into detail about anything and told me that she is not going to explain how the daily interest works or go over every payment I made. At that point I demanded a manager and was connected to " XXXX ''. He seemed to be attentive and willing assist me. I was able to get my payment history right then and he did explain the things I was asking about. I then compiled all my records and saw that PAC had been taking all their interest payments up front. At times entire payments were going to PAC and my principle balance was not getting any smaller. The print out that was provided by PAC was so vague that I had to create my own spread sheet to show many details not provided in PACS worksheet like how the payment was being divided up and what the daily interest rate was. One of the first things that concerned me was that the finance charge of {$8000.00} was almost entirely paid. I was told that the finance charge is the interest over the whole life of the contract. The contract was for 56 months and I had only barrowed the money for 24 months, so there was 32 months of unused interest that should be refunded back to me. In addition, after paying {$300.00} every month for a year, that my principle balance had only gone down by {$400.00}. I reached back out to PAC and " XXXX '' to see if a resolution could be made. He was not the same concerned individual. In fact, I wasn't able to get him on the phone at all. The representative told me that I was no longer a client and needed to request in writing if I had a complaint or dispute. I went to their web site and filed an electronic dispute and that by doing so I would be contacted with in 10 days. I also wrote up a formal dispute and certified mailed it to them with a guaranteed delivery date of the XXXX of XXXX. Even with both of these forms of disputes recorded and submitted NOONE has reached out to me at all. I recently received a " Notice of Default and Requirement of Strict Compliance '' that was dated XX/XX/XXXX stating that I failed to pay the monthly installment when it was due and that as of XXXX XXXX I owe {$260.00}. The amount that they are stating that is an unpaid monthly installment. However, I have never had a monthly installment in the amount of XXXX it has always been XXXX like my contract agreement provided. Also according to XXXX XXXX during their investigation they reach out to the company the payment was going to and inquire whether the payment was a legitimate charge and if the company says that they need their payment then XXXX XXXX will pay the bill. XXXX XXXX notified me that they were reversing the payment because PAC would not respond. If they would have responded to the bank and told them that the payment was needed to close the account they would have been paid. PAC Financial has been inconsistent with reporting to XXXX the whole time I was with them. They would rarely report and when they did the information they reported would be inaccurate. Now, within 20 days of attempting to payoff my account in good standing, they have reported to XXXX that I am delinquent, and it appears that I have two auto loans out and one is not in good standing. I have been working on my credit score for a couple years not and PAC has dropped my score by 35 points. PAC Financial does not have consistant or accurate accounting. For example when XXXX requested a payoff amount he was quoted {$7600.00}, the check was accually cut for {$7600.00} but looking at the payment history the balance owed as of XX/XX/XXXX was {$7700.00}. The numbers just don't add up. Please help me to understand and rectify the situation I find myself in with PAC Auto Finance XXXX. XXXX XXXX XXXX, Utah XXXX XXXX

Company response to consumer: Closed with explanation