Consumer complaint received 2023-05-31
Product: Vehicle loan or lease — Lease
Issue: Managing the loan or lease — Billing problem
Company: Volvo Car Financial Services U.S., LLC

Complaint:
My wife was a victim of identity theft some time in XX/XX/XXXX. 
When it was discovered at the end of XXXX, all bank accounts, credit cards, etc. had to be changed. 
Volvo Car Financial, like all of our creditors was advised about the theft. 

I have verified with XXXX that considering the theft, Volvo was supplied all its payments in a very timely manner and can supply those records. 

Volvo Car Financial, on the other hand, is being VERY unreasonable. Not only did they report our payment 30 days late, which was made on XX/XX/XXXX by autopay, due XX/XX/XXXX, proving that we had NO intention to stiff VCF as our stellar record shows, but they swindled us out of {$480.00}, an extra payment that they insisted we pay and now refuse to return. 
This is what happened : As anyone who has been a victim of identity theft knows, one only becomes aware of it over time and correcting it takes months, if not longer. Phone messages started coming in about our 'request ' to open credit cards, phone service, etc- things that could have easily been mistaken for advertisement ploys. It was only when actual bills came in the mail at the end of XXXX that we realized our identity was stolen. 
The thief began his spending spree early XXXX. We went to our bank, XXXX, on XX/XX/XXXX to close our account, worried that the thief would try to steal our funds, as he had already ordered a XXXX XXXX card. 
We called VCF to alert them, as we did ALL of the other banks and corporations that we do business with. All the other businesses assured us that they would NOT victimize us TWICE by reporting any late payments while we straightened everything out, especially our autopays. 

Since our VCF autopay of {$480.00} was posted on XX/XX/XXXX, we thought the bank transfer was safe, because we changed our XXXX Checking account on XX/XX/XXXX. 
We did not realize that the electronic payment had somehow been cancelled. 
As soon as we were notified by XXXX that the payment did not go through, at least a week later, I called VCF, explained what happened, and paid {$480.00} over the phone on XX/XX/XXXX, posted XX/XX/XXXX to cover the returned XXXX payment. 

XXXX was then changed to our new bank account and on XX/XX/XXXX Volvo received {$480.00}. 

On XX/XX/XXXX, Volvo received {$480.00} for the monthly payment. 

I received an email stating that we owed VCF {$980.00}. I called VCF because I did not agree, but paid them {$960.00}, refusing to pay the delinquent fee they imposed. This payment was made on XX/XX/XXXX. The reason I agreed to pay them was actually because we became aware that they had reported us as having a late payment which dropped our credit rating XXXX points from Exceptional to Fair. 

I wanted to err on the side of providing them MORE money rather than less, erroneously believing that straightening this out subsequently would be fairly easy and quick. We were also turning in our leased XXXX XXXX on XX/XX/XXXX and leasing a XXXX XXXX. We did not want to jeopardize this transaction. 

On XX/XX/XXXX, I called VCF to ask about our request that they remove our late payment, considering that they had more money than we owed them. I also asked them to return the extra payment of {$480.00} that they had because we were leasing a another car from XXXX Volvo on XX/XX/XXXX and we were getting the run around from the dealership and Volvo Car Financial as to who would refund our overpayment. Each pointed the finger at the other. We didn't know if they would just apply it to our new lease payments. 

Speaking with the Volvo Car Financial Rep after we leased our XXXX XXXX, we were told that Volvo Car Financial and XXXX Volvo were two separate entities that have no financial relationship or obligation to each other. To a layman outside of the Car Selling industry this seems odd. 

We also told the VCF Rep that the Business Manager at XXXX Volvo called Volvo Car Financial to ask that they remove the late payment from our credit report considering the ramifications of our identity theft and that we had been doing business with VCF for decades and never missed a payment by purposefully setting up autopay. The Service Rep at VCF said that was not possible since the XXXXe Dealership manager could not take it upon herself to call without the customer 's permission. We were actually standing right next to the Business Manager when she called VCF upon our request. So yes, she did call with our permission. 

Insofar as returning the extra {$480.00} held by VCF, this Service Rep told us that we would have had to ask them for a return of the money BEFORE ending the lease and leasing a new vehicle. THAT is exactly what we did on XX/XX/XXXX and were told that it wasn't up to VCF to return the money, it was up to the dealership. Turns out that this is NOT true. So yes, we asked for the return of our money BEFORE the lease ended and got no where. 

In the interest of fairness and justice, we asked VCF to remove the 'late payment ' status considering the extenuating circumstances. We also filed a dispute with XXXX, whose Rep told us that it was up to VCF to correct it and do the right thing. Their hands were tied and that algorithms would determine our credit score based on VCF 's decision to do right by us or not. This will impact our borrowing of money, the cost of borrowing money etc. for 7 years. Considering that we are elderly, who knows where we will be in 7 years. But that is NOT the point. 

This is a matter of FAIRNESS. NO ONE should be victimized TWICE because a criminal wanted to steal all of our money and then, because VCF did not have the wherewithal to realize that and NOT jump the XXXX reporting a late payment without any warning, without communicating with us, AND keeping a LOT of our money that they just STOLE from us without any justification. 

Our bank transactions with VFC are as follows and can be supplied upon the asking. Our Auto Bill Pay was approximately on the XXXX of each month : VCFS Lease {$480.00} Transacted XX/XX/XXXX, Posted XX/XX/XXXX XXXX Closing of Checking Acct : XXXX opening New Checking Account XX/XX/XXXX Over the Phone, VCFS XXXX Immediate Bill Pay {$480.00} XX/XX/XXXX VCFS {$480.00} Transacted & Posted XX/XX/XXXX VCFS {$480.00} Transacted & Posted XX/XX/XXXX VCFS {$960.00} Transacted & Posted XX/XX/XXXX XX/XX/XXXX Request return of extra payment XX/XX/XXXX pending termination of lease of XXXX XXXX Returned XXXX autopay ended for this vehicle We sincerely hope that this is straightened out to our satisfaction. 

Thank you for your kind consideration.

Company response to consumer: Closed with explanation