Consumer complaint received 2015-08-29
Product: Consumer Loan — Vehicle loan
Issue: Taking out the loan or lease — 
Company: Consumer Portfolio Services, Inc. (HI)

On XXXX/XXXX/15 I put {$500.00} down at a dealership, XXXX XXXX XXXX, to purchase a XXXX. I met with a sales person, provided 6 months of paystubs from my employer as of XXXX/XXXX/15, latest being XXXX/XXXX/15, personal and professional references, and was approved for financing by CPS, I then retained auto coverage on the car through XXXX according to CPS terms and requirements. After two hours, on the same day, XXXX/XXXX/15, I then drove away in my new vehicle. The first payment due date was reportedly due 45 days from XXXX/XXXX/15. I received a welcome call from CPS about 3 days after purchase, provided proof of my residence via email as requested. Then, on XXXX/XXXX/15, I receive a call from the dealership general sales manager, XXXX, stating to return the car as CPS 'decided ' not fund the loan. CPS is Consumer Portfolio Services, and I 've uploaded the contracts for your review. I questioned what was going on, how can this happen after 31 days, the fact when I have a signed contract of auto purchase agreement and related documents. XXXX stated that CPS " said '' my employer " said '' I quit a week, non specific dates, prior to XXXX/XXXX/15. This is a false statement. XXXX just maintained that CPS now has decided not to accept my previously approved loan. I then felt it was necessary to check my credit to see if CPS made an inquiry on XXXX, and they did, additionally, the dealership itself did twice on XXXX/XXXX/15, XXXX/XXXX/15, plus XXXX other auto lender entries whom will remain unnamed. Throughout the past month, I have received XXXX denial letters from " other '' banks, but not CPS. I then questioned why the dealership pulled my credit XXXX, on different dates, in addition to CPS the listed lien holder on agreement, and why then have I not received written notification from CPS of denial. It 's been 31 days since initial purchase date, and the lien holder is now just 'deciding ' to deny my loan, and take back the car I 've had for the past month and insured. On the date of purchase, my position was represented truthfully, and I provided all required documentation which I was asked for and I was approved and purchase agreement signed. To date, I have no proof of denial from CPS, no proof to support claims from dealership of CPS ' position, and I do not believe the dealership can do this or the bank after a legal agreement of acceptance has been made. I have not breached the agreement or terms thus how can the lien holder just decide, after already approving, an auto purchase a month plus later. My credit is now affected with XXXX hard entries and I will not be able to get another car, nor will I have a way to transport myself, family, etc., and I 've paid for insurance two months now, plus the {$500.00} I put down. I went on the CPS website and found they are a debt collection agency, which the FTC recently found their practices in violation. I do n't believe this can happen technically, plus the now degraded credit score, due to the dealership who does not provide lending, makes hard inquiries on my credit file in addition to the XXXX lenders they shopped, and I feel the dealership is in violation and should not have pulled my credit XXXX when they are not funding the auto loan, I expected inquiries from banks, but this. I have verifiable income from XXXX sources, my income is actually higher now than it was, on the initial date of acceptance XXXX/XXXX/15. This is seemingly very wrong for consumer lending practices and in bad faith of the dealership practices.