Consumer complaint received 2021-12-25
Company: General Motors Financial Company, Inc.
State: AZ
Product: Payday loan, title loan, or personal loan
Sub-product: Installment loan
Issue: Problem when making payments

Complaint:
I, the consumer and natural man entered a consumer credit transaction XX/XX/XXXX for the purchase of a XXXX XXXX XXXX XXXX from the seller, XXXX XXXX and assignee, GM Financial. Upon careful review of the Retail Installment Sales Contract and Purchase Money Security Agreement I have notice multiple billing errors. In regards to actions taken pertaining to this transaction, as of XX/XX/XXXX and by way of certified mail, I have exercised my Right of Rescission via a written notice and notarized affidavit of truth to the seller, XXXX XXXX XXXX XXXX. Though XXXX XXXX has communicated with GM Financial since the reception of my affidavit and notice, no action has been taken by XXXX XXXX or GM Financial to cure. In addition to, I have not yet taken written action against GM Financial, as XXXX XXXX had an opportunity to cure and did not respond to my notarized affidavit or notice of rescission with a notarized rebuttal, nor accept my offer to tender within 20 calendar days with respect to 12 C.F.R. 1026.23. Specific to the billing error, I have expressed violations under Regulation Z ( TILA ), FDCPA and FTC Act.

Finance Charge : {$7700.00} Amount Financed : {$17000.00} Number of Payments : 72 Amount of Payments : {$340.00} Itemization of Amount Financed : Total Cash Price : {$21000.00} Dealer Documentary Fee : {$340.00} Other ( Etch ) : {$290.00} Payments made on my behalf to Public Officials for official fees : {$390.00} Down Payment : {$6000.00} GAP : {$790.00} ( Claim of ) unpaid balance : {$16000.00} Under 12 C.F.R. 1026.13, I have noticed multiple billing errors in the Truth-in-Lending disclosures section of the Retail Installment Sales Contract and Purchase Money Security Agreement. The first being the number of payments as well as the amount of payments seems to be inaccurate on the Payment Schedule. With the support of all terms defined under 16 C.F.R. 433.1 and its specific definition under 16 C.F.R. 433.1 ( d ) which describes a purchase money loan in regards to the Truth-in-Lending disclosure is defined as ; A cash advance which is received in return for a finance charge within the meaning of the truth in lending act and Regulation Z, which is applied, in whole or substantial part, to purchase goods or services from a seller who ( 1 ) refers consumers to the creditor or ( 2 ) is affiliated with the creditor by common control, contract or business arrangement. Under Regulation Z, also known as truth-in-lending, the itemization of payments should mirror the finance charge amount as it is the dollar amount the credit will cost me. As another reference to the finance charge, 15 U.S.C. 1605 ( a ) states : the amount of the finance charge in connection with any consumer credit transaction shall be determined as the sum of all charges, payable directly or indirectly by the person to whom the credit is extended, and imposed directly or indirectly by the creditor as an incident to the extension of credit. With this understanding in reference to myself as a consumer, a consumer during such a transaction is subject to pay the finance charge, billed at a deferred date. However, if the finance charges are paid at the time of the purchase money agreement, there is no further agreement or obligation to pay. Itemized in error is the finance charges and that which is to be paid by the consumer. With consideration to UCC 9-103 and the official comments in part, which state : The concept of purchase money security interest requires a close nexus between the acquisition of collateral and the secured obligation. Thus, a security interest does not qualify as a purchase-money security interest if a debtor acquires property on unsecured credit and subsequently creates the security interest to secure the purchase price.

Pursuant to 12 C.F.R. 1026.13, the next billing error can be seen on the amount of credit provided to me or on my behalf ( {$17000.00} ). There is no authorized representative other than the appointed attorney-in-fact by the consumer to receive any credits on behalf of the consumer-in-fact.

These billing errors may be assumed to be furnished with wilful intent on misleading and/or deceiving the consumer of the character/amount of any debt ; 15 U.S.C. 1692e.

Company response to consumer: Closed with explanation