Consumer complaint received 2021-02-27
Product: Payday loan, title loan, or personal loan — Title loan
Issue: Charged fees or interest you didn't expect — 
Company: Regional Management Corporation (TN)

I took out a loan back in XXXX of XXXX for {$4000.00}. I used my vehicle as collateral for the loan. I have taken loans out with this company before and usually make 1 or 2 payments before paying off the loan in full. This year was no different. I took the loan out in XXXX, first payment wasn't due until XX/XX/XXXX. I went to pay off the loan and to my surprise, the payoff was over {$5000.00} before my first payment was even due. I talked with XXXX, the Branch Manager, and expressed my concerns, as a payoff should cancel all future interest on the account. He explained to me that I took out a 80/20 rule loan that entitles them to be paid interest upfront on the loan. He explained that it wasn't a prepayment penalty, but the way the loan is setup. I wasn't aware of this type of predatory loan, nor was it explained to me at closing. Frustrated, I continued to make payments, later, requesting the payoff again. To my surprise, it was still over {$5000.00}. I then requested the breakdown of the loan documents. In looking at my paperwork, I was charged for several insurance policies and " other fees '' that I did not ask for, nor was I made aware of during closing. The amount financed totaled {$5500.00}, although I was only disbursed a {$4000.00} check. I called Regional Finance to complain about them packing the loan with insurance and " other fees '' without my knowledge or consent, neither did I receive a " right to rescind '' disclosure or anything. I also told them that I had received a phone call from a quality control company asking me if anyone from Regional Finance asked me or made me aware that I was getting insurance on the loan. My answer to them was, " no '' I was told by XXXX, that the employee, XXXX, who processed my loan, was no longer with the company. She also informed me that I can request, in writing, to have those insurances removed since it showed I had not used them, but it would not change my monthly payment amounts due. She stated that it would only reduce my principal. ( I never used it, because I didn't know I had it. ) I also received a letter in the mail, threating to repossess my vehicle if I did not pay the past due amounts. However, Regional Finance 's website shows different amounts due than what the branch tells me is due. I signed a document to deter 2 payments on the back end on XXXX. They moved those payments, however the online system never showed those payments pushed back, thus I would get letters from corporate office claiming that I was behind when it should have been fixed. I called to report this as well, and I was told that their online system has a glitch, and my account was XXXX of the few that show this discrepancy and that it can not be fixed. Therefore, I have no way of knowing the true amount I owe. I had to request documents asking Regional Finance to verify the debt as well as correct the online system. They sent me a statement on letterhead showing what was owed up through XXXX, but the online system still currently shows me as being late. I also got an alert on my credit report from XXXX stating that I was over 30 days late, when I am not. We are technically still in the month of XXXX. At this point, I have no idea what type of loan I got, what the true payoff is, what I actually owe, how the payments were applied, how much of it went to interest vs principal, what insurance policies was attached to the loan and etc. Now my credit report is showing that I am behind when I am not. All of their information is conflicting.