Consumer complaint received 2024-10-15
Product: Debt collection — Auto debt
Issue: Attempts to collect debt not owed — Debt was paid
Company: AMERICA FIRST FEDERAL CREDIT UNION (AZ)

COMPLAINT FOR VIOLATIONS OF THE TRUTH IN LENDING ACT ( TILA ) AND THE FAIR CREDIT REPORTING ACT ( FCRA ) INTRODUCTION Plaintiff XXXX XXXX XXXX brings this action against America First Credit Union, alleging violations of the Truth in Lending Act ( TILA ), 15 U.S.C. 1635 ( a ), and Fair Credit Reporting Act ( FCRA ), 15 U.S.C. 1681, et seq. Plaintiff seeks rescission of the auto loan transaction based on the failure of the Defendant ( s ) to provide accurate disclosures under TILA and correction of inaccurate credit reporting by the Defendants and associated reporting agencies.

JURISDICTION AND VENUE This Court has jurisdiction over this action pursuant to 15 U.S.C. 1640 ( e ) ( TILA ), 28 U.S.C. 1331 ( federal question jurisdiction ), and 15 U.S.C. 1681p ( FCRA ).

Venue is proper in this judicial district pursuant to 28 U.S.C. 1391 ( b ) because Defendant ( s ) conduct business within this district, and the events or omissions giving rise to the claims occurred in this district. 
PARTIES Plaintiff : XXXX XXXX XXXX, an individual consumer, resides at XXXXXXXX XXXX XXXX XXXX XXXX  XXXX, XXXX, AZ XXXX. 
XXXX America First Credit Union : A credit union with its principal place of business at America First Credit Union XXXX XXXX XXXX XXXX XXXX, UT XXXX. 
FACTUAL ALLEGATIONS On or about XX/XX/year>, Plaintiff entered into a consumer credit transaction with Defendant America First Credit Union, financing the purchase of a vehicle. A security interest was retained in the vehicle as part of the transaction. 
Plaintiff received the loan agreement, but Defendant America First Credit Union failed to provide material disclosures required by 15 U.S.C. 1635 ( a ), including but not limited to the failure to clearly and conspicuously disclose the Plaintiff 's right to rescind the transaction. 
On XX/XX/year>, Plaintiff sent a written notice to Defendant America First Credit Union, invoking the right of rescission under 15 U.S.C. 1635 ( a ).

Despite Plaintiffs proper invocation of the right to rescind, Defendant America First Credit Union refused to honor the rescission, in violation of 15 U.S.C. 1635.

CLAIMS AGAINST America First Credit Union Count I : Violation of the Truth in Lending Act ( 15 U.S.C. 1635 ) Plaintiff re-alleges and incorporates by reference all preceding paragraphs as if fully set forth herein.

Under 15 U.S.C. 1635 ( a ), Plaintiff had the right to rescind the auto loan transaction due to Defendants failure to provide accurate material disclosures.

Plaintiff exercised the right to rescind within the statutory three-year period by sending a written notice to Defendant.

Defendants refusal to acknowledge and effectuate the rescission violates 15 U.S.C. 1635 ( b ), which requires creditors to take action within 20 days of receiving the rescission notice. 
Count II : Violation of the Fair Credit Reporting Act ( 15 U.S.C. 1681 ) Plaintiff re-alleges and incorporates by reference all preceding paragraphs as if fully set forth herein.

Defendant America First Credit Union inaccurately reported Plaintiffs payment history to the credit reporting agencies ( XXXX, XXXX, XXXX ) by reflecting payments Plaintiff did not owe after the rescission date. 
The inaccurate reporting has harmed Plaintiffs credit score and reputation and is a violation of the FCRA.

Plaintiff notified the credit reporting agencies of the inaccuracies and requested corrections, but Defendant and the credit reporting agencies have failed to correct the information.

PRAYER FOR RELIEF WHEREFORE, Plaintiff prays for the following relief : A declaration that Plaintiff validly rescinded the loan transaction under 15 U.S.C. 1635 ( a ).

An order requiring Defendant America First Credit Union to terminate its security interest in Plaintiffs vehicle and return any payments made under the rescinded loan.

Statutory damages, actual damages, and att
orneys fees as allowed under 15 U.S.C. 1640.

An order requiring Defendant America First Credit Union to correct all inaccurate reporting on Plaintiffs credit report and to notify the credit reporting agencies of the correct status.

Such other relief as the Court deems just and proper.

DEMAND FOR JURY TRIAL Plaintiff demands a trial by jury on all claims so triable.