Consumer complaint received 2024-08-29
Product: Vehicle loan or lease — Lease
Issue: Problems at the end of the loan or lease — Problem when attempting to purchase vehicle at the end of the lease
Company: AMERICAN HONDA FINANCE CORP (TN)

On XX/XX/XXXX, I requested a payoff. The payoff provided from their website did not ask anything about where the car was being traded, or purchased. A pay off through XX/XX/XXXX was provided in the amount of {$32000.00}.

On XXXX, Honda/Acura Financial Services received the payoff check in the amount of {$32000.00} from XXXX XXXX XXXX ( the dealer we traded the vehicle in to ). This was confimred by the tracking information, as well as confirmed by phone from one of the representatives I spoke with. 

On XX/XX/XXXX, I had heard nothing from Honda/Acura Financial Services , so I reached out to them. I was told my payoff was short {$370.00} ( taxes and lease termination fee ). I called and spoke with the dealership, then called back and paid the {$370.00} that day just to get the loan paid off as I didn't want it to negatively impact my credit. The representative could not clearly explain nor tell me where in the contract it stated they could hold a payoff/payment to may account, nor could he explain why I had to pay the lease termination fee per contract. He just kept telling me that was how it worked, but couldn't point me to where it said that. He assured me that in 3 days ( could have been 3-4 or something like that, but I heard 3 for sure ) it would be fully paid off and reflected on my account. 

My account with Honda/Acura Financial Services reflects the XXXX was posted to my account on XX/XX/XXXX. But the payoff still has yet to be posted and it was received 5 days prior to the additional {$370.00} they demanded I pay. 

Since then, I have called them multiple times to inquire about when my loan would be paid off and the loan payoff would be posted. It is now XX/XX/XXXX, and the loan payment/payoff still hasn't been posted. I called them on XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, and twice on XX/XX/XXXX. Everyone of the times I have called, I have been told it would be 3 days, or 1-3 days ( on the most recent call ). They have been saying 3 days since XX/XX/XXXX. Each day I have called, I have requested multiple time to speak to a manager, to which I am told they can't transfer me. I have asked to speak to the department who posts the payments, and was told they can't transfer the call and don't even have the ability to transfer calls to anyone. 

On XX/XX/XXXX I spent 53 minutes on the phone, most of it on hold, for the representive to try to figure out where in the contract it stated that they could hold the payment/payoff, and where it stated that I could not trade the vehicle to a dealer outside of Honda/Acura with out paying the lease termination fee. I have leased cars for many years now, and have always traded in the vehicles and never had to deal with anything like this. 

Also, on XX/XX/XXXX, I asked why no one had informed me that the payoff was put on hold and not being posted, he told me that was my problem to figure it out, and they weren't going to notify me. 

On XX/XX/XXXX, the dealership contacted Honda/Acura Financial Services , they were told that it would be posted to the account tomorrow ( XX/XX/XXXX ) but would take a few days to reflect to my account and stated Monday was a Holiday, so I needed to call on Tuesday to see if it had been posted. The dealership asked why it had not been applied yet, and was told they had no idea.

I and the dealership should not have to keep calling every day to see if this has posted, to kept being told a few days, 1-3 days, or 3 days. 

I get daily calls from Honda/Acura Financial Services , harrassing me to make my payment. This begun on XX/XX/XXXX after I called and I am still receiving this call every day. 

On XX/XX/XXXX, 4 days after they received my payoff, a late fee was accessed to my account. 

On XX/XX/XXXX, a manager from Acura did finally call back, she stated the payoff would be completed today XX/XX/XXXX. I asked her where in the contract it stated about holding payoffs and where it stated I can't trade to another dealer. She said that in the contract it doesn't state they can hold payments/payoffs. As far as the lease termination fee, she said in section XXXX of the contract. When I pushed back and said I didn't end the lease or return the vehicle, it was purchased, she kept telling me that section addressed me not being able to sell/trade to another dealer, when I asked her to show me where, not just tell me I couldn't she could not do that. This was on a call that she did tell me was being recorded. She said if you decide to go through an outside dealer, you are charged more. She kept saying it was in section XXXX, but couldn't tell me where it stated that trading to a dealer/dealer purchasing it I would be charged {$370.00}. She also referenced section XXXX, but it didn't say that either. She said section XXXX, but that is the turn in fee, it wasn't turned in. She again assured me initially that I could see it was paid off today, but then said it would be tomorrow. By end end of the call, she stated it was paid off on their end. She stated there was no overage, even though there was 4 days extra added to the payoff.