Consumer complaint received 2024-04-10
Product: Vehicle loan or lease — Loan
Issue: Problems at the end of the loan or lease — Unable to receive car title or other problem after the loan is paid off
Company: Tesla, Inc. (KS)

We had ordered a Tesla in XXXX of XXXX. We took delivery sooner than expected around XXXX, we weren't even supposed to take delivery until XXXX or XXXX of XXXX. First couple months of receiving the Tesla, we started noticing that payments weren't getting directly debited from our account, so we had contacted Tesla and let them know the issues. They said it was some issue with our car coming early not to worry about it. 

So we kept our eyes the Tesla mobile app and nothing ever happened or did they start got debiting our account for are agreed on monthly payment plan, which we were directed it would show up on our Tesla mobile app and that they had my card information on file for direct debit. Around XXXX of XXXX my XXXX  and I had received a settlement and decided to pay off some back debt and Tesla was one we decided to payoff. We had went on the mobile app or maybe online to Tesla.com and paid off the Tesla, because we knew there was issues with their financing program and they weren't sending us monthly bills. So, we were getting very concerned and worried we had made multiple communications with Tesla, and nothing got resolved. No payment plan was set up per our contract agreement and no one debited our account. Like i stated we just decided to pay the vehicle off on XX/XX/XXXX. XXXX in the amount of {$35000.00} per Tesla. After XXXX XXXX hours, the mobile app uploaded in the Tesla dot com website updated removing our financing tool to where we weren't even allowed to make payments at that point and said loan paid off, awaiting title. So we awaited the title for almost XXXX to XXXX months, never received it. So I did call in to Tesla. They said there were some issues in the lean processing department. They were going to look into it and make a case number. They came back and said there was additional amounts owed. I asked him to show me proof in what was owed because we thought we had made all the payments, Then I even contacted Tesla, the dealership and they said I had a negative {$14000.00} credit on my account.. which was very confusing and I didn't understand how a lending process could be screwed up so bad. I've had Around 10 to 15 car loans in my life, and I've never once had such a headache trying to get my monthly payment to go through, which we agreed on per our contract, We were worried that the payments weren't getting made and you guys weren't taking them, so we had requested a final payoff. You guys have given us that and we have paid it in full. The car has now been traded in and a new owner has the Tesla and they're demanding the title from the XXXX dealership. We turned it in and we can't provide that to them because you guys are holding it XXXX for some. nonsense. We don't even know where it's stemming from. It all falls on Tesla 's financing department, not doing their job correctly, not setting up the payment amount which was listed on the legal loan contract correctly. It's for the simple fact I made a payment of {$35000.00} to pay off the full loan in XXXX. XXXX over this last week has now split that XXXX payment up into i guess my so called past due monthly payments, which we have never received a monthly bill or notice until last week XX/XX/XXXX. That is when they started emailing pretty much XXXX  us and also i see Tesla tried debiting an old business card i had on file and i got fraud alerts from my bank.

The sad thing is, is Tesla is a very big company. They were using XXXX XXXX XXXX  to do this loan. and they should have had us set up on a monthly payment plan from the get go, regardless if our car came delivered earlier. That's why we were so concerned and that's why we just requested a payoff which we verified with multiple sources from the mobile app, from Tesla .com and from an phone representative. 
Now we have since traded a vehicle to XXXX XXXX, I had made multiple phone calls. to XXXX I guess in a XXXX  XXXX that was working on my case. Symptoms screenshots he wanted of payments I've made complied with everything they've asked, I didn't hear back from XXXX for months. I called back. He said Oh my XXXX, I thought this was already resolved and you had your title already .... see it got moved to another department, let me get you over to them. So we got me transferred over to them. They said they were still researching it. I told them we are interested in buying a new vehicle and getting out of this Tesla. We need to get this car traded in would like to get this all resolved as soon as possible. They said there's no issues with the loan, we are still researching a couple items and you should have your title shortly. 
My wife and I again waited months, no help from Tesla or response. So we traded a vehicle into XXXX XXXX. XXXX said they would deal with this and get it fixed with Tesla. Just on XX/XX/XXXX XXXX  XXXX representative XXXX XXXX had also went to directly to the Tesla dealership here in XXXX  XXXX, KS. And they did verify there was a {$14000.00} credit on my account and there was nothing owed on the account and to get a hold of XXXX XXXX to get the lien and title release. This is very frustrating because now they're claiming to get it reported to my credit, which I have a great credit score and never once been laid on a payment in my life. They had taken our final payoff quote and now started applying it to all the monthly payments, which is ridiculous because we never once received a monthly bill and our app never gave us an option to pay or else it would have been directly debited like it. been trying to do over these last couple weeks because we had a card on file. but it was a fraud alert because they tried so many at once the card started getting declined. They never had permission to run my card after the final payoff, and they never had permission to start debiting any of my accounts without speaking to me first period. This has been a issue and they have fraud issues that need to be investigated by the federal government at Tesla because this is not how auto lending should be taken and I shouldn't be getting hurt because they didn't do their job right and calculate the payments right indoor send me a monthly bill with my monthly payment. We agreed on through the contract. We thought we were being good consumers and were paying off the loan because you guys had issues with us receiving the car early in your financing team could never put together a monthly payment for us. So we thought we were being good people and come to find out we're now getting hurt from it because you guys did not get the loans set up right or miss something along the way. You can see in the documents below the payment was suppose to get debited starting XXXX of XXXX and they never started doing that and now have manipulated and have changed my final payoff payment to monthly payments. We as consumers are getting put into a hardship because of there bad accounting or lending practices which is completely unfair.