Consumer complaint received 2026-06-10 00:00:00
Product: Payday loan, title loan, personal loan, or advance loan — Installment loan
Issue: Charged fees or interest you didn't expect — 
Company: UPGRADE, INC.
State: VA

Complaint narrative:
Date : XX/XX/XXXX To : Upgrade , Inc . Address : XXXX XXXX XXXX XXXX XXXX Floor, XXXX, AZ XXXX Account Number : XXXX Statement Period : XX/XX/XXXX - XX/XX/XXXX Valid Account Principal : {$15000.00} SUBJECT : FORMAL BILLING DISPUTE & DEMAND FOR MANUAL ACCOUNT AUDIT FOR INCORRECT INTEREST CALCULATION To Whom It May Concern at Upgrade, I am writing to formally dispute the interest calculation displayed on my current Home Improvement Loan billing statement dated XX/XX/XXXX ( referenced in the attached files image.png and image_2.png ). A review of this statement reveals a significant accounting error : an unauthorized contractor charge under merchant " XXXX '' which was subsequently reversed to a {$0.00} principal balanceis still being actively factored into Upgrade 's average daily balance calculation. As a result, my account is being improperly penalized with inflated interest accruals. 1. Statement Facts and Discrepancy Breakdown According to my account summary visible across image.png and image_2.png : The Unauthorized Charge : On XX/XX/XXXX, an advance of {$1700.00} was processed against my account under merchant Kefficient. This charge was a contractor error and was subsequently reversed out. The statement correctly reflects a " Remaining Balance '' of {$0.00} for this specific transaction line item. The Valid Principal Charge : On XX/XX/XXXX, the correct advance of {$15000.00} was processed. This represents the actual, authorized balance of my loan for my home improvements. The Systemic Calculation Error : The statement lists {$350.00} in " Interest Accrued in this Statement Period '' and a " Total Interest Accrued to Date '' of {$450.00}. Because the {$1700.00} charge was invalid and successfully reduced to {$0.00}, no interest should ever be calculated against it. Upgrade 's automated billing system has clearly failed to backdate the reversal cleanly, meaning your system is actively compounding interest based on an inflated, inaccurate cumulative balance of {$17000.00}. 2. Regulatory Compliance Considerations While a billing error on an automated statement is a common technical flaw, failing to rectify it once notified constitutes an unfair billing practice. Under consumer financial protection standards, interest can only contractually accumulate against valid, outstanding promotional principal balances that the consumer actually authorized and utilized. Charging interest on a cleared, erroneous transaction line item forces me to pay a penalty for a merchant mistake that Upgrade 's system already recognized as reversed. 3. Immediate Demands for Resolution To resolve this dispute without escalation to federal regulatory channels, I require Upgrade to complete the following actions immediately : 1 Conduct a Manual Account Audit : By-pass the automated billing software and have an Upgrade accounting representative manually audit the lifecycle of the {$15000.00} advance from its inception on XX/XX/XXXX. 2 Re-Calculate Historical Interest Accrual : Completely strip out the {$1700.00} advance from the historical average daily balance calculations for both the current statement period and any previous cycles. Interest must be calculated exclusively against the outstanding {$15000.00} balance at the agreed-upon rate of XXXX XXXX 3 Issue an Adjusted Statement : Adjust the " Interest Accrued in this Statement Period '' and " Total Interest Accrued to Date '' balances downward to accurately reflect the true math, and provide me with a corrected statement or written confirmation of the adjustment. Please note that my promotional end date is clearly marked as XX/XX/XXXX. I fully intend to manage and resolve my valid principal balance before this deadline to ensure no interest is paid, but I require my Upgrade account ledger to be mathematically flawless moving forward. I expect a prompt response confirming that this audit has been initiated. If this matter is not resolved swiftly, this dispute timeline and the attached evidence from image.png and image_2.png will be forwarded directly to the Consumer Financial Protection Bureau ( CFPB ) and the Better Business Bureau ( BBB ) for formal administrative enforcement. Sincerely, XXXX XXXX XXXX XXXX CT XXXX, VA XXXX

Company response to consumer: Closed with explanation