Consumer complaint received 2023-09-19
Company: CREDIT ACCEPTANCE CORPORATION
State: GA
Product: Vehicle loan or lease
Sub-product: Loan
Issue: Managing the loan or lease
Sub-issue: Billing problem

Complaint:
on XX/XX/XXXX i went to a used dealership which name is, XXXX XXXX XXXX in XXXX and financed a used XXXX XXXXXXXX XXXX through credit acceptance corporation the car was advertised online for XXXX the annual percentage rate was 22.99 % the finance charge was is XXXX, the amount financed was XXXX and the total of payments which is the amount you will have paid after i supposedly made all payments which is XXXX and the total sale price the total cost of your purchase on credit, including my down payment the total was of XXXX the number of payments is 66 payments for XXXXthere calculation was wrong, they where suppose to put all the fees that was in the contract to the finance charge they added it to the amount finance instead. so the correct finance charge is suppose to XXXX and the amount finance suppose to XXXX my payments are suppose to be less as well the payments aren't correct. the reason how i got the calculation is by the laws they told me this was a car loan they did not tell me that this actually was a consumer credit transaction i had to find out for my self and in a consumer credit transaction the main law that they broke was it was suppose to be cash in hand it was not cash in hand, nor have i received a check or money in my bank account in a credit transaction i was not suppose to put any money down in a credit transaction they told me in order to get this car i would have to put down a down payment of XXXX but i didn't know the differed payment of XXXX which i had to pay as well i didn't know that this is also on the down payment so i payed a total of XXXX which i didn't know. the financed charge is defined .15 U.S. Code 1605 - Determination of finance charge Finance charge defines- ( 1 ) Interest, time price differential, and any amount payable under a point, discount, or other system or additional charges. 
( 2 ) Service or carrying charge.

( 3 ) Loan fee, finders fee, or similar charge.

( 4 ) Fee for an investigation or credit report.

( 5 ) Premium or other charge for any guarantee or insurance protecting the creditor against the obligors default or other credit loss. 
( XXXX ) Borrower-paid mortgage broker fees, including fees paid directly to the broker or the lender ( for delivery to the broker ) whether such fees are paid in cash or financed. 
( b ) Life, accident, or health insurance premiums included in finance charge Charges or premiums for credit life, accident, or health insurance written in connection with any consumer credit transaction shall be included in the finance charges unless ( 1 ) the coverage of the debtor by the insurance is not a factor in the approval by the creditor of the extension of credit, and this fact is clearly disclosed in writing to the person applying for or obtaining the extension of credit. 

Like I said and show you did not add my insurance on the financed charge you guys made me pay out of pocket when you where suppose to ask me what insurance company do I want to go with and you where suppose to pay for the premium as it says on the determine the finance charge on top of that my finance charge and amount finance is wrong the right amount is suppose to be XXXX is the finance charge and the amount financed is suppose to be XXXX. 
also all of these other laws which they had broke 15 U.S. Code 1611 - Criminal liability for willful and knowing violation Whoever willfully and knowingly ( 1 ) gives false or inaccurate information or fails to provide information which he is required to disclose under the provisions of this subchapter or any regulation issued thereunder, ( 2 ) uses any chart or table authorized by the Bureau under section 1606 of this title in such a manner as to consistently understate the annual percentage rate determined under section 1606 ( a ) ( 1 ) ( A ) of this title, or ( 3 ) otherwise fails to comply with any requirement imposed under this subchapter, shall be fined not more than {$5000.00} or imprisoned not more than one year, or both 15 U.S. Code 1615 - Prohibition on use of Rule of 78s in connection with mortgage refinancing and other consumer loans ( a ) PROMPT REFUND OF UNEARNED INTEREST REQUIRED ( 1 ) IN GENERAL If a consumer prepays in full the financed amount under any consumer credit transaction, the creditor shall promptly refund any unearned portion of the interest charge to the consumer. 
( 2 ) EXCEPTION FOR REFUND OF DE MINIMUS [ 1 ] AMOUNT No refund shall be required under paragraph ( 1 ) with respect to the prepayment of any consumer credit transaction if the total amount of the refund would be less than {$1.00}. 
( 3 ) APPLICABILITY TO REFINANCED TRANSACTIONS AND ACCELERATION BY THE CREDITOR This subsection shall apply with respect to any prepayment of a consumer credit transaction described in paragraph ( 1 ) without regard to the manner or the reason for the prepayment, including ( A ) any prepayment made in connection with the refinancing, consolidation, or restructuring of the transaction ; and ( B ) any prepayment made as a result of the acceleration of the obligation to repay the amount due with respect to the transaction.

15 U.S. Code 1635 - Right of rescission as to certain transactions ( a ) DISCLOSURE OF OBLIGORS RIGHT TO RESCIND Except as otherwise provided in this section, in the case of any consumer credit transaction ( including opening or increasing the credit limit for an open end credit plan ) in which a security interest, including any such interest arising by operation of law, is or will be retained or acquired in any property which is used as the principal dwelling of the person to whom credit is extended, the obligor shall have the right to rescind the transaction until midnight of the third business day following the consummation of the transaction or the delivery of the information and rescission forms required under this section together with a statement containing the material disclosures required under this subchapter, whichever is later, by notifying the creditor, in accordance with regulations of the Bureau, of his intention to do so. The creditor shall clearly and conspicuously disclose, in accordance with regulations of the Bureau, to any obligor in a transaction subject to this section the rights of the obligor under this section. The creditor shall also provide, in accordance with regulations of the Bureau, appropriate forms for the obligor to exercise his right to rescind any transaction subject to this section. 
( b ) RETURN OF MONEY OR PROPERTY FOLLOWING RESCISSION When an obligor exercises his right to rescind under subsection ( a ), he is not liable for any finance or other charge, and any security interest given by the obligor, including any such interest arising by operation of law, becomes void upon such a rescission. Within 20 days after receipt of a notice of rescission, the creditor shall return to the obligor any money or property given as earnest money, down payment, or otherwise, and shall take any action necessary or appropriate to reflect the termination of any security interest created under the transaction. If the creditor has delivered any property to the obligor, the obligor may retain possession of it. Upon the performance of the creditors obligations under this section, the obligor shall tender the property to the creditor, except that if return of the property in kind would be impracticable or inequitable, the obligor shall tender its reasonable value. Tender shall be made at the location of the property or at the residence of the obligor, at the option of the obligor. If the creditor does not take possession of the property within 20 days after tender by the obligor, ownership of the property vests in the obligor without obligation on his part to pay for it. The procedures prescribed by this subsection shall apply except when otherwise ordered by a court.

But in the rescission I get to keep the property because you and the dealership broke the law and violated my rights.

15 U.S. Code 1662 - Advertising of down payments and installments No advertisement to aid, promote, or assist directly or indirectly any extension of consumer credit may state ( 1 ) that a specific periodic consumer credit amount or installment amount can be arranged, unless the creditor usually and customarily arranges credit payments or installments for that period and in that amount. 
( XXXX ) that a specified down payment is required in connection with any extension of consumer credit, unless the creditor usually and customarily arranges down payments in that amount. 
The down payment was illegal and these are the reason why really it was supposed to be in the finance charge.

15 U.S. Code 1640 - Civil liability ( a ) INDIVIDUAL OR CLASS ACTION FOR DAMAGES ; AMOUNT OF AWARD ; FACTORS DETERMINING AMOUNT OF AWARD Except as otherwise provided in this section, any creditor who fails to comply with any requirement imposed under this part, including any requirement under section 1635 of this title, subsection ( f ) or ( g ) of section 1641 of this title, or part D or E of this subchapter with respect to any person is liable to such person in an amount equ
al to the sum of ( 1 ) any actual damage sustained by such person as a result of the failure ; ( 2 ) ( A ) ( i ) in the case of an individual action twice the amount of any finance charge in connection with the transaction, ( ii ) in the case of an individual action relating to a consumer lease under part E of this subchapter, 25 per centum of the total amount of monthly payments under the lease, except that the liability under this subparagraph shall not be less than {$200.00} nor greater than {$2000.00}, ( iii ) in the case of an individual action relating to an open end consumer credit plan that is not secured by real property or a dwelling, twice the amount of any finance charge in connection with the transaction, with a minimum of {$500.00} and a maximum of {$5000.00}, or such higher amount as may be appropriate in the case of an established pattern or practice of such failures ; [ 1 ] or ( iv ) in the case of an individual action relating to a credit transaction not under an open end credit plan that is secured by real property or a dwelling, not less than {$400.00} or greater than {$4000.00}.

28 U.S. Code 3002 - Definitions ( 3 ) Debt means ( A ) an amount that is owing to the United States on account of a direct loan, or loan insured or guaranteed, by the United States ; or ( B ) an amount that is owing to the United States on account of a fee, duty, lease, rent, service, sale of real or personal property, overpayment, fine, assessment, penalty, restitution, damages, interest, tax, bail bond forfeiture, reimbursement, recovery of a cost incurred by the United States, or other source of indebtedness to the United States, but that is not owing under the terms of a contract originally entered into by only persons other than the United States ; and includes any amount owing to the United States for the benefit of an Indian tribe or individual Indian, but excludes any amount to which the United States is entitled under section 3011 ( a ).

( 4 ) Debtor means a person who is liable for a debt or against whom there is a claim for a debt.

( 10 ) Person includes a natural person ( including an individual Indian ), a corporation, a partnership, an unincorporated association, a trust, or an estate, or any other public or private entity, including a State or local government or an Indian tribe.

( 15 ) United States means ( A ) a Federal corporation ; ( B ) an agency, department, commission, board, or other entity of the United States ; or ( C ) an instrumentality of the United States.

SO IF THE UNITED STATES IS A CORPORATION HOW DO I OWE DEBT AND IM NOT A CITIZEN OF THE UNITED STATES I AM A CITIZEN OF GEORGIA THAT IS A VIOLATION 15 U.S. Code 6803 - Disclosure of institution privacy policy ( a ) DISCLOSURE REQUIREDAt the time of establishing a customer relationship with a consumer and not less than annually during the continuation of such relationship, a financial institution shall provide a clear and conspicuous disclosure to such consumer, in writing or in electronic form or other form permitted by the regulations prescribed under section 6804 of this title, of such financial institutions policies and practices with respect to ( 1 ) disclosing nonpublic personal information to affiliates and nonaffiliated third parties, consistent with section 6802 of this title, including the categories of information that may be disclosed ; ( 2 ) disclosing nonpublic personal information of persons who have ceased to be customers of the financial institution ; and ( 3 ) protecting the nonpublic personal information of consumers.

( b ) REGULATIONS Disclosures required by subsection ( a ) shall be made in accordance with the regulations prescribed under section 6804 of this title.

( c ) INFORMATION TO BE INCLUDEDThe disclosure required by subsection ( a ) shall include ( 1 ) the policies and practices of the institution with respect to disclosing nonpublic personal information to nonaffiliated third parties, other than agents of the institution, consistent with section 6802 of this title, and including ( A ) the categories of persons to whom the information is or may be disclosed, other than the persons to whom the information may be provided pursuant to section 6802 ( e ) of this title ; and ( B ) the policies and practices of the institution with respect to disclosing of nonpublic personal information of persons who have ceased to be customers of the financial institution ; ( 2 ) the categories of nonpublic personal information that are collected by the financial institution ; ( 3 ) the policies that the institution maintains to protect the confidentiality and security of nonpublic personal information in accordance with section 6801 of this title ; and ( 4 ) the disclosures required, if any, under section 1681a ( d ) ( 2 ) ( A ) ( iii ) of this title.

( d ) EXEMPTION FOR CERTIFIED PUBLIC ACCOUNTANTS ( 1 ) IN GENERALThe disclosure requirements of subsection ( a ) do not apply to any person, to the extent that the person is ( A ) a certified public accountant ; ( B ) certified or licensed for such purpose by a State ; and ( C ) subject to any provision of law, rule, or regulation issued by a legislative or regulatory body of the State, including rules of professional conduct or ethics, that prohibits disclosure of nonpublic personal information without the knowing and expressed consent of the consumer.

( 2 ) LIMITATION Nothing in this subsection shall be construed to exempt or otherwise exclude any financial institution that is affiliated or becomes affiliated with a certified public accountant described in paragraph ( 1 ) from any provision of this section.

( 3 ) DEFINITIONS For purposes of this subsection, the term State means any State or territory of the United States, the District of Columbia, Puerto Rico, Guam, American Samoa, the Trust Territory of the Pacific Islands, the Virgin Islands, or the Northern Mariana Islands.

( e ) MODEL FORMS ( 1 ) IN GENERAL The agencies referred to in section 6804 ( a ) ( 1 ) of this title shall jointly develop a model form which may be used, at the option of the financial institution, for the provision of disclosures under this section.

( 2 ) FORMATA model form developed under paragraph ( 1 ) shall ( A ) be comprehensible to consumers, with a clear format and design ; ( B ) provide for clear and conspicuous disclosures ; ( C ) enable consumers easily to identify the sharing practices of a financial institution and to compare privacy practices among financial institutions ; and ( D ) be succinct, and use an easily readable type font.

( 3 ) TIMING A model form required to be developed by this subsection shall be issued in proposed form for public comment not later than 180 days after October 13, 2006.

( 4 ) SAFE HARBOR Any financial institution that elects to provide the model form developed by the agencies under this subsection shall be deemed to be in compliance with the disclosures required under this section.

( f ) EXCEPTION TO ANNUAL NOTICE REQUIREMENTA financial institution that ( 1 ) provides nonpublic personal information only in accordance with the provisions of subsection ( b ) ( 2 ) or ( e ) of section 6802 of this title or regulations prescribed under section 6804 ( b ) of this title, and ( 2 ) has not changed its policies and practices with regard to disclosing nonpublic personal information from the policies and practices that were disclosed in the most recent disclosure sent to consumers in accordance with this section, shall not be required to provide an annual disclosure under this section until such time as the financial institution fails to comply with any criteria described in paragraph ( 1 ) or ( 2 ) .16 CFR 433.2 - Preservation of consumers ' claims and defenses, unfair or deceptive acts or practices.

433.2 Preservation of consumers ' claims and defenses, unfair or deceptive acts or practices.

In connection with any sale or lease of goods or services to consumers, in or affecting commerce as commerce is defined in the Federal Trade Commission Act, it is an unfair or deceptive act or practice within the meaning of section 5 of that Act for a seller, directly or indirectly, to : ( a ) Take or receive a consumer credit contract which fails to contain the following provision in at least ten point, bold face, type : 18 U.S. Code 911 - Citizen of the United States Whoever falsely and willfully represents himself to be a citizen of the United States shall be fined under this title or imprisoned not more than three years, or both.

That is a violation you the car dealer and the creditor have be claiming us the consumer as a citizen of the united states when we are the citizen of what ever state we are at like for example I am the citizen of Georgia so for them willfully knowing all of this and still did an illegal transaction i told them i wanted to rescind my contract which i have the right to rescind my contract as it states in the law i wanted to cancel my contract. i have been stressing emotionally hurt and damaged. i know i am not the only one that's been going through this stressing with these people and i do not want them to keep getting over on people and not following the consumer law.

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