Consumer complaint received 10-04-2017 about Vehicle loan or lease (Loan) with Mid-Atlantic Finance Co., Inc. (FL).
Issue: Problems at the end of the loan or lease
Sub-issue: Problem with paying off the loan

Complaint: On XXXX/XXXX/XXXX, my vehicle was involved in a collision. As a result my insurance company deemed it a total loss. On XXXX/XXXX/XXXX, I received a debt collection call from Mid Atlantic regarding payment. I advised them the car had been totaled and that they should have already received communication from the insurance company. According to the representative they had not received any documentation from the insurance company at the time of the phone call. He then asked for the insurance contact information and claim info which I did not have at the time. I then received another call from them on XXXX/XXXX/XXXX about a payment. By this time, I had already contacted the insurance claims department who then advised me that they had already been in contact with someone from Mid Atlantic in order to discuss a settlement. After XXXX/XXXX/XXXX, the calls stopped but then on XXXX/XXXX/XXXX, one week after they had already been in negotiations with XXXX we received 2 certified letters via the USPS stating the vehicle was in repossession status as of XXXX/XXXX/XXXX ( please see attached ). We did n't even have an account with Mid atlantic on this date. The second letter was verbatim to the first with a different date. On XXXX/XXXX/XXXX I then log in to the account to see why we would receive this repossession notice when they are aware of the total loss. I noticed the account opens up with a delinquent status showing 18 days past due ( see attached ). It also shows that they received a check for a little over {$6800.00} from XXXX on XXXX/XXXX/XXXX. So why would the account still reflect a late status? At this point, I then called customer service and once my phone number was recognized, I received the automated " this is an attempt to collect a debt '' message before speaking to a rep. once the rep came on the phone I asked about the delinquent status showing after they received payment from XXXX, she then transferred me because she was not able to answer the question. Once transferred, I asked about the status of the account. I was told by this representative that there was still a balance on the account and it will continue to accrue " late days '' until the balance is paid. I then asked why GAP insurance coverage had not been applied to the remaining $ XXXX balance. She advised me that it could take 30-60 days for them to receive payment from GAP. I then asked, are they going to report this negatively on our credit if it reaches 30 days and she stated yes. I asked how could they do this knowing we have GAP coverage and we were n't notified of any settlement offers and balances. She could not explain this to me. I also asked for the information to the GAP and she provided me with a company named XXXX and a phone number of XXXX. I called the company and was told that I did not have an account with them and to clarify with my lienholder. Once I tried to call Mid Atlantic back I was transferred, placed on hold and then disconnected. After trying to resolve this with them several more times, I finally had to call my original dealership to get the correct GAP company. They provided me with information to XXXX. I contacted XXXX on XXXX/XXXX/XXXX and was told by the claims department that as of XXXX/XXXX/XXXX, there was not a claim filed on my behalf by Mid Atlantic. He proceeded to tell me that once a check is issued to Mid Atlantic from XXXX the document time line starts for the claim to be processed. I advised him the check was issued on XXXX/XXXX/XXXX and was told that it would be in my best interest to get the claim started so that we do not run into any delays of processing. Not only did Mid Atlantic falsely represent seizing my vehicle by sending a legal binding certified document that states " repossession '' with an invalid account date, they also lied about my GAP coverage and the time frame of receiving payment when they had not even filed a claim yet. By them delaying communication and filing a claim with GAP coverage ( XXXX ) they are allowing the " late days '' on a payment to accrue thus resulting in a negative credit impact.

Company response to consumer: Closed with explanation