Consumer complaint received 2019-11-26
Company: ALLIANT CREDIT UNION
State: IL
Product: Vehicle loan or lease
Sub-product: Loan
Issue: Managing the loan or lease
Sub-issue: Problem with the interest rate

Complaint:
Complaint ABOUT ( 2 entities ) : XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX, IA XXXX Fax : XXXX XXXX XXXX Alliant Credit Union XXXX XXXX XXXX XXXX XXXX, IL XXXX FAX : XXXX XXXX XXXX Customers harmed : XXXX XXXX  XXXX XXXX , co-borrowers on an Alliant used vehicle loan to purchase the lease-expired XXXX XXXX XXXX that we have had since its 14th mile in XX/XX/XXXX. 

We first leased this vehicle from XXXX in fall of XX/XX/XXXX, a three year lease which meant it came off lease in XX/XX/XXXX. Late XX/XX/XXXX, we started working with XXXX XXXX XXXX ( XXXX ) to purchase the vehicle. Mid-XX/XX/XXXX we started working with Alliant Credit Union ( ACU ) to finance the vehicle purchase. Its been downhill from there. 
Our existing rate on the loan is 3.74 %, but we are being threatened with a 24.000 % Punitive rate by Alliant Credit Union over issues with the vehicle title. 
Chronology is below, we have been very proactive and engaged since the beginning in doing our part to fulfill the title transactions, but problems on both the XXXX and Alliant ends have us 120+ days in without the title processed. 
XX/XX/XXXX Receipt of XXXX paperwork, returned by us XX/XX/XXXX and received at XXXX on the XX/XX/XXXX. This mailer included all signed directives regarding the title. 
XX/XX/XXXX Alliant sends us their paperwork, returned by us XX/XX/XXXX. This mailer includes all signed directives regarding the title. Their letter to us states : After your packet is delivered to us, we will send you an email to confirm that weve received it. If you dont receive a confirmation email from us after one week XX/XX/XXXX We receive our end of sale XXXX mailer, which their cover memo indicates it is the final paperwork on their end of our vehicle purchase transaction. This includes a Bill of Sale, that shows amongst other things the Sales Tax paid in the transaction. 
XX/XX/XXXX Having heard nor seen anything from ACU on their end of the transaction at all ( besides their automated withdrawals of our loan payments ), we begin the first of MANY contacts by us to them inquiring as to the status by Secure Messaging in their app., by phone call, by fax, and by regular mail. ACU does not meaningfully or substantively respond to any of these. 
XX/XX/XXXX XXXX mid-XXXX transaction with our states Department of Motor Vehicles ( DMV ) to renew the expiring license plate sticker and vehicle registration is rejected due to titling issues. This is the first time and first notice to us that there is a problem. She then spends hours visiting the DMV, calling XXXX, and calling ACU to research. She follows ACU Lending Manager XXXX XXXX instructions to the last detail on what form is allegedly needed from XXXX to resolve. 
XX/XX/XXXX - Upon receipt of the XXXX paperwork that ACUs XXXX stated was required to complete this titling, XXXX visits the DMV and is again rejected. She again spends multiple hours talking with the DMV, calling XXXX, and calling ACU. Allegedly per ACU, XXXX indicates XXXX will not release the title over unpaid sales taxes. ACU Title Services telephones XXXX back on XX/XX/XXXX and indicates they and XXXX  have spoken and this should be moving forward. 
XX/XX/XXXX We receive a form letter First Notice from ACU dated XX/XX/XXXX threatening us with the punitive 24.000 % interest rate on our loan. 
XX/XX/XXXX We receive a call from ACU Title Services asking if we want them to ship us the final paperwork including Title, for the DMV completion of the transaction. We affirm we would appreciate this, and receive said mailer on XX/XX/XXXX. We take the paperwork into the DMV on Friday, XXXX and are told by the DMV that XXXX requested a new title in their name on XX/XX/XXXX, so the title ACU sent us is null and void. 
XX/XX/XXXX We fax both XXXX and ACU with the current status, that is unable to move forward with DMV until the new title that XXXX requested on the same day ACU sent us the existing title is received. 
XXXX XXXX We receive an ACU letter dated XX/XX/XXXX indicating our rate will move to 24.000 % onXX/XX/XXXX. The letter is signed Member Engagement Office and is in response to both our XX/XX/XXXX Complaint to their CEO and our XX/XX/XXXX fax about the latest title problem. It is the first and only written correspondence from Alliant on this entire matter, besides the canned First Notice received in XX/XX/XXXX and the overnight package with the now unusable title. 

Alliant Credit Union issues : 1. Lack of engagement, lack of responsiveness to our multiple contacts and complaints. We should have known before XX/XX/XXXX and the  messenger ought not to have been the IL DMV that there was a problem. 
2. Mis-information from their Lending staff on what was/was not needed to address this issue and resolve it. 

XXXX XXXX XXXX issues : 1. Erroneously withholding critical documents over unpaid sales taxes when they had two months prior sent us final documents including Bill of Sale signing off on Sales Taxes paid.

2. Requesting a brand new title in their name on XX/XX/XXXX, despite their above-mentioned final transactions paperwork dated XX/XX/XXXX.

Company response to consumer: Closed with explanation