Consumer complaint received 2026-07-05 00:00:00
Product: Vehicle loan or lease — Loan
Issue: Struggling to pay your loan — Denied request to lower payments
Company: UNITED SERVICES AUTOMOBILE ASSOCIATION
State: MD

Complaint narrative:
On XX/XX/XXXX I purchased a XXXX XXXX XXXX from Cars of XXXX XXXX at XXXX XXXX XXXX XXXX XXXX Md. After immediate mechanical problems with the car on the drive home, the car was inspected the next day at an independent shop and it was found that this should not have passed mandatory Maryland XXXX XXXX XXXX. The state police towed the car and did their own investigation, which resulted in them charging the state inspector and revoking the passing inspection on my XXXX XXXX XXXX. Thus, the Cars of XXXX executed an illegal sale by selling me a vehicle with a revoked state safety inspection. The car is illegal to drive, illegally tagged and registered to me, unsafe to operate and a health hazard due to toxic fumes filling the cabin. The XXXX XXXX Police have instructed the dealer to rescind the sale, which they refuse to do. I also opened an investigation with the XXXX XXXX XXXX XXXX XXXX XXXX and they have informed Cars of XXXX that this is fraudulent misrepresentation. I myself have sent several emails demanding a sale rescission and full payment of the loan and my down payment. Cars of XXXX is refusing to rescind this illegal sale. I have contacted USAA numerous times this past month explaining the circumstances herein. I have been rerouted to multiple representatives who all repeat the same script. I FINALLY got a woman on the phone with USAA 's fraud department supposedly. Her explanations were that USAA is a third party in this and can not investigate, does not have a fraud department for fraudulent transactions, does not care that the asset they paid for is a total financial loss and unusable as transportation, and insisted that I have to still make my monthly payments for a car I can not drive. I tried to use the FTC Holder Rule to get USAA to put my payments on hold and to contact Cars of XXXX and demand their money back for fraud. USAA refused and insisted they are just a third party. USAA claims the FTC XXXX XXXX does not apply because this was a direct loan. This is false. USAA specifically approved the loan based on the VIN number of the vehicle, restricted the loan amount to {$7600.00} based on that XXXX, and explicitly mailed a paper check made out directly to the merchant, " The Cars of XXXX '' on XXXX XXXX which specifically states it is for the car and lists the last XXXX XXXX digits. Under XXXX CFR Part XXXX, this is a " XXXX XXXX XXXX '', meaning USAA is legally tied to the merchant 's fraud. Furthermore, under the Maryland XXXX XXXX XXXX XXXX XXXX XXXX ( XXXX ), a lender can not willfully enforce a loan obligation rooted in a void, illegal consumer contract. USAA is forcing a vulnerable consumer to pay for a fraudulent, toxic asset while refusing to conduct a high-level fraud investigation into a merchant check they issued. I demand that USAAs XXXX legal compliance team immediately halt collections and investigate this fraudulent contract.

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation