Consumer complaint received 2025-10-09 00:00:00
Product: Vehicle loan or lease — Loan
Issue: Managing the loan or lease — Billing problem
Company: CREDIT ACCEPTANCE CORPORATION
State: CA

Complaint narrative:
I am filing this complaint against Credit Acceptance Corporation ( the lender ) and XXXX XXXX XXXX, located at XXXX XXXX XXXX, XXXX XXXX, CA XXXX ( the selling dealer ), for deceptive and unfair auto financing practices, inaccurate credit reporting, and failure to properly disclose or document key parts of my contract. 
In XX/XX/XXXX, I purchased a vehicle through XXXX XXXX XXXX, who arranged financing through Credit Acceptance. The dealership submitted all paperwork electronically, I never physically signed any documents in person. All I did was verify my identity over the phone with Credit Acceptance as they requested. After the sale, I discovered that my trade-in vehicle was not included in the contract, even though it was part of the deal. I have text messages showing that I asked the dealer multiple times why my trade-in was missing, and they failed to give a clear answer. I also provided the payoff information for my old loan with XXXX XXXX, yet the dealer never confirmed payment was made. 
The contract date was XX/XX/XXXX, but I did not actually receive my vehicle until XX/XX/XXXX. ( also have proof in text messages ) During that delay, the dealer repeatedly told me the car is being prepared, even though my loan with Credit Acceptance had already started accruing interest and payments. This shows that the contract was executed before delivery and before I had possession or full understanding of the terms. 
Once I received the vehicle, I immediately noticed multiple issues : the tire sensor light was on, the hood latch was damaged, a speaker was blown, and there were several cosmetic and mechanical problems. I texted the dealer repeatedly to report these problems, and they either ignored me or gave excuses. I texted the dealer repeatedly to report these problems, and while they eventually told me to bring the car in, the repairs were never properly completed. 

I took the car back to the dealer several times, but the same issues continue. To this day, the vehicle still makes a grinding or popping noise when I turn the wheel, there is water leaking into the trunk after car washes, and the speaker on the passenger side still sounds staticky even though they claimed to have repaired it along with the passenger window. These repeated, unsuccessful repair attempts show that the vehicle was never brought to a safe or working condition, violating both the implied warranty of merchantability and the Song-Beverly Consumer Warranty Act ( California XXXX XXXX ). This shows a failure to deliver a vehicle in the promised condition and a breach of warranty obligations. 

In XX/XX/XXXX, my car was repossessed when my past-due balance was approximately {$6100.00}. I paid {$1300.00} within XXXX days to recover the car, expecting that payment to bring the account current. Instead, Credit Acceptance released the car but continued to classify my contract as in default. They then set up a verbal payment arrangement requiring {$590.00} every XXXX weeks for XXXX months, without providing a written modification or curing the default. 

On XX/XX/XXXX, Credit Acceptance uploaded a Payment Arrangement Confirmation into my online portal, stating that even under this new plan, the account is still in default. This means they are collecting money under XXXX different agreements simultaneously ( the original retail installment contract and an unrecorded verbal plan ). That is deceptive and unlawful under both federal and California finance laws. 

Between XXXX XXXX XXXX  Credit Acceptance reported my account to the credit bureaus as Closed, Repossession, and XXXX days late with a balance of {$46000.00}, even though I had already paid to recover the vehicle and continued making payments. Later, they re-reported the account as Open but still in default. This is false and misleading information, and it has severely damaged my credit. 

Additionally, Credit Acceptance representatives called me constantly, including on Sundays before XXXX XXXX, even after I asked them to stop. These calls were harassing and inappropriate, especially considering that I was already in a repayment plan. 

I want to be transparent : I understand that I fell behind on payments and that I owe money. But I have tried to cooperate and make things right. Instead of helping me, the dealer and lender have made the situation worse with poor communication, deceptive practices, and predatory behavior. 

I believe Credit Acceptance Corporation and XXXX XXXX XXXX have violated the following laws : Truth in Lending Act ( TILA, 15 U.S.C. 1601 et seq. ) for failing to properly disclose loan terms and misrepresenting payment applications.

Fair Credit Reporting Act ( FCRA, 15 U.S.C. 1681s-2 ) for reporting inaccurate and misleading information.

Fair Debt Collection Practices Act ( FDCPA, 15 U.S.C. 1692d ) for repeated harassing phone calls. 
California Rosenthal Fair Debt Collection Practices Act ( Civ. Code 1788 ) for unfair collection practices.

California Automobile Sales Finance Act ( ASFA, Civ. Code 2981 et seq. ) for executing an incomplete or false contract and failing to include trade-in details.

California Consumer Credit Reporting Agencies Act ( Civ. Code 1785.25 ) for knowingly furnishing false credit data.

California Unfair Competition Law ( Bus. & Prof. Code 17200 ) for engaging in unfair, unlawful, and fraudulent business practices.

California Electronic Signatures Act ( Civ. Code 1633.9 ) for executing an e-contract without proper consent.

Song-Beverly Consumer Warranty Act ( Civ. Code 1790 et seq. ) for failing to repair or disclose known vehicle defects.

I am requesting that the CFPB and the California Department of Financial Protection and Innovation ( DFPI ) review this case and take enforcement action.

Company response to consumer: Closed with explanation