Consumer complaint received 2024-11-01
Product: Credit reporting or other personal consumer reports — Credit reporting
Issue: Problem with a company's investigation into an existing problem — Their investigation did not fix an error on your report
Company: CREDIT ACCEPTANCE CORPORATION (CA)

In XX/XX/XXXX, I obtained an auto loan from Credit Acceptance Corporation ( CAC ) for a vehicle that, unbeknownst to me at the time of purchase, had significant mechanical issues. 

Over the course of ownership, the vehicle frequently broke down, requiring numerous costly repairs. Despite investing substantial funds into fixing the car, it continued to have recurring problems. By XX/XX/XXXX, the vehicle was no longer operational, and the cost to repair it exceeded its value and the remaining balance on the loan. Due to the financial burden of repairing a non-functional vehicle and compounded by a change in life and home income, I was unable to continue making payments. Consequently, the vehicle was repossessed once in XX/XX/XXXXXXXX XXXX XXXX XXXX XXXX XXXX XXXXXX/XX/XXXX, CAC reported the account as a repossession every single month on my credit reports. This repeated monthly reporting created the misleading appearance of multiple repossessions, rather than accurately reflecting the single repossession event. From XX/XX/XXXXXXXX XXXX XXXX XXXX XXXX CAC did not furnish any data regarding this account. Then, in XX/XX/XXXX, CAC reported another repossession, despite no additional repossession occurring. In XX/XX/XXXX, I settled the account in full, and CAC is now showing the account as closed and settled for less than the full amount. 

I have filed multiple disputes with XXXX XXXX XXXX XXXX, citing the inaccurate and misleading reporting of multiple repossessions. On XX/XX/XXXXXXXX XXXX XXXX I discovered that my disputes were marked as completed without the expected corrections or removal. I contacted all three credit bureaus the same day, and representatives from each agreed that reporting consecutive months of repossession is misleading and not a fair or accurate representation of the situation. They initiated disputes on my behalf, yet CAC continues to report inaccurately. 

CAC 's reporting practices violate the Fair Credit Reporting Act ( FCRA ), which mandates that information furnished to credit bureaus must be accurate and complete. By repeatedly reporting the repossession and adding an additional repossession in XX/XX/XXXX, CAC is providing false and misleading information that adversely affects my creditworthiness. 

The consequences of CAC 's actions have been severe : - Denied Housing : I was denied an apartment lease due to the negative impact on my credit report, despite meeting all other qualifications. 

- Limited Banking Access : For years, I had been unable to access traditional banking services, forcing me to rely on prepaid debit cards and depend on friends to make payments for bills that do not accept prepaid cards.

- Credit Opportunities Blocked : I have been denied credit applications for personal loans and credit cards, limiting my financial flexibility and subjecting me to higher interest rates. 

- Emotional and Financial Stress : The inaccurate reporting has caused significant stress, hindering my ability to achieve financial stability and meet basic needs. 

On XX/XX/XXXX, CAC responded to my XXXX complaint by insisting their reporting is accurate and stating they are within their rights to report the repossession as they have. They were dismissive of my concerns and did not acknowledge the misleading nature of their reporting practices. 

I have also become aware that CAC is facing a class-action lawsuitConsumer Financial Protection Bureau and the XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX. Credit Acceptance Corporation XXXX XXXX XXXX XXXX XXXX XXXXaccusing them of predatory practices and unfair reporting. This suggests a pattern of harmful tactics that align with my experience.