Consumer complaint received 2024-01-18
Product: Vehicle loan or lease — Loan
Issue: Problems at the end of the loan or lease — Problem with paying off the loan
Company: Mercedes Benz Financial Services (CA)

I lost my job a few months ago and got behind on making my car payments. My last payment to my car loan was in XX/XX/XXXX. I checked the portal in early XX/XX/XXXX, and it indicated a past due balance of around {$1300.00}, with a payoff amount of {$4400.00}. 
On XX/XX/XXXX, I attempted to logon to the Mercedes-Benz Financial portal and was denied access. On XX/XX/XXXX, I called Mercedes-Benz Financial and was directed to another department of theirs called the XXXX XXXX. I then was told my car loan was charged off. Upon learning about my charged off status, I searched for potential loan options with other banks in order to consolidate my Mercedes-Benz Financial debt . I became pre-approved for a loan with another bank, but they just needed a payoff letter from Mercedes-Benz to proceed. 

On XX/XX/XXXX, I called the Mercedes-Benz XXXX XXXX Department and was connected to a representative named XXXX XXXX XXXX I explained to him that I wanted to resolve my debt and requested that I be sent a written payoff statement. XXXX stated that my payoff balance was {$5900.00}, but that he could not send me anything in writing and could only provide that information verbally. I explained how the bank needed a written payoff statement to which he responded that the bank could contact them directly to obtain that information. 
After asserting my rights to a payoff statement, I was placed on a 30 minute hold, and was finally sent a letter indicating a payoff amount of {$5900.00}. The payoff balance of {$5900.00} does not align with my records, which indicate a payoff balance of {$4400.00}, and I explained this to XXXX and inquired about the difference. XXXX confirmed that {$4400.00} was the balance indicated in records, however, my payoff balance was currently {$5900.00}, and that it needed to be paid in full or my car would be repossessed. XXXX could not provide any explanation for the difference. I then requested I be sent an itemized statement so that I could investigate the reason for the difference and emphasized to them how they should have this information readily available. They stated that this was not something they could provide me at the moment and that I may receive something similar in 48 hours. The manager, XXXX XXXX, insisted that I pay the {$5900.00}, and if there was an error, that I would be refunded. 

On XX/XX/XXXX, I sent an email to the Mercedes-Benz XXXX XXXX Department recapping the details of my XX/XX/XXXX call. I explained how there was a big discrepancy in the balance owed and I requested an itemized statement once again. I also emphasized the urgency of this matter and my eagerness to resolve this debt immediately. On XX/XX/XXXX, Mercedes-Benz XXXX XXXX Department responded to my email and provided me with the amortization report and the payment history for my account XXXX XXXXXXXX. The amortization report and payment history provided both support a payoff balance of {$4400.00}. When I had access to view my account via the online portal, this was the amount reflected. Furthermore, my credit report indicates a balance of {$4400.00} and XXXX further confirmed that I had a payoff amount of {$4400.00}. 

On XX/XX/XXXX, I responded to Mercedes-Benz XXXX XXXX Department and explained such and requested a corrected payoff statement indicating a balance of {$4400.00}. As of today, XX/XX/XXXX, I have yet to receive a response from Mercedes-Benz Financial . 

As a consumer, I have a right to the information I requested. Mercedes-Benz Financial is insisting that I pay a balance that does not align with me and has not provided me with any explanation for such a balance. It is clear that they are making it difficult for me to resolve my debt so that they can retain the rights to repossess my car and make money off of the {$14000.00} in equity.