Consumer complaint received 2023-03-20
Product: Vehicle loan or lease — Loan
Issue: Managing the loan or lease — Problem with fees charged
Company: Thrift Investment Corp. (NJ)

Received a letter on XX/XX/XXXX from XXXX XXXX XXXX, XXXX XXXX  XXXX XXXX XXXXXXXX XXXX XXXX XXXX ( my loan servicer ) which was dated XX/XX/XXXX advising that as of XX/XX/XXXX they acknowledge the payment on my account but at the present time I was past due and {$70.00} in late fees. My loan is due the first of every month and there's a grace period up to the XXXX of each month. After the XXXX of the month, there is a {$10.00} late fee. My wife calls the phone number every month to make my payment. Any time she calls and makes a payment after the XXXX of the month which was a few times due to me being laid off from my job, she makes the additional {$10.00} late fee payment. 

We were perplexed when we received this letter stating that they were {$70.00} in outstanding late fees so my wife and I called them today. The representative explained that there were XXXX consecutive months that the payment was received after the XXXX to which my wife advised that she kept records of the dates that she made payments along with confirmation numbers on most of the payments. XXXX particular payment in question was a payment that my wife made on XX/XX/XXXX to which the agent advised that he was able to see when she made the payment online however, they receive that payment on XXXX XX/XX/XXXX. My wife advised that she had a confirmation number that she made the payment on XX/XX/XXXX to which the agent replied that the confirmation number is just confirmation that a payment was set up because the payment can be made without funds being in the bank, to which my wife replied that yes, in that event, wouldn't then the payment would be reversed, and she would be responsible for late fees and an NSF fee. The agent advised that they were using a third-party payment processing service so that they do not receive their payments on the days that they're actually made, but rather per the voicemail when you pay on the system, it takes up to 2 to 3 business days. The servicer 's recording in fact says payments take two business days. She advised the agent that it's not fair for consumer not to know exactly when their payment posts. He said he understood, but did not offer any other solution other than making sure that we are allowed 2 to 3 business days, and if it's a holiday to add an extra day or two to confirm that the payment would be received by the XXXX. 

My wife advised the customer service person she never heard of anything like that before. Whenever bills are paid on the days they are due ( and up to and on the grace period ), we go online and we make a payment and receive a confirmation number and within a couple of days the payment would post to our bank account, but we get payment credit from the time the payment is made online or through their payment phone service, and not when the money leaves my bank account. The agent advised that they don't work that way and that payment dates are credited when the payment actually comes out of the consumers bank account. 

My wife asked the representative if she could call the company directly and make a payment and the customer service advocate explained that they have no way of taking payment and that the only way to make the payment was on the website or through the phone and again the confirmation number given was just to validate when a payment set up was made. He said it's the same principle when you call to make up payment for a credit card to which she advised him that was not true. If I go on a credit card website and make a payment for a later date, the payment is credited for the date that I choose to make the payment not a few days later, when the payment actually posts onto my bank account so that did not make sense at all. My wife made the entire payment today, however, we won't get credit for it being made today as we will get credit when it comes out of our bank account in what he hope is within XXXX days. This begs the question then if I go online or call their system and make a payment on the first of every month, why is my payment not credited for the first of the month, but rather the second or third day depending on how many business days it takes for the bank to clear my payment. I have just never heard of this before I wanted to make you aware of this. I don't mind paying the {$10.00} late fee if I go outside the grace period, what I don't think is fair is that I go online or call in to make the payment XXXX days before the grace period or the day of the grace period, receive a confirmation number, and end up paying a {$10.00} late fee because even though the loan company can see when I actually went online and made the payment, they will not give me payment credit until it posts from my bank account. Add to that the fact that they are saying that the late fees are from XX/XX/XXXX through XX/XX/XXXX and I'm only being made aware of it XX/XX/XXXX. When my wife questioned this she was told that they do not send letters every month for late fees. They are sending a letter 10 months from the first late fee and XXXX months from the last late fee. This does not make sense to me at all. Thank you for your time.