Consumer complaint received 2025-07-03 00:00:00
Product: Vehicle loan or lease — Loan
Issue: Repossession — Voluntary repossession
Company: Upstart Holdings, Inc.
State: TN

Complaint narrative:
To Whom It May Concern at the Consumer Financial Protection Bureau, This is my second formal complaint against Upstart Auto Loan regarding the mishandling of my account and reporting practices that have now resulted in material financial harm, unnecessary fees, and severe damage to my credit profile. 

On XX/XX/XXXX, I signed and submitted a legally binding Voluntary Surrender Agreement to Upstart XXXX XXXX. This document clearly authorized Upstart to repossess and liquidate my XXXX XXXX XXXX ( VIN : XXXX ), which had been recovered by local police after being stolen and wrecked. At the time of signing, Upstart acknowledged receipt and a representative confirmed via email that they had " already placed the vehicle for repossession '' and were " working with the lot '' to recover the vehicle. This language constitutes both acknowledgment and active participation in the repossession process. 

However, despite their legal obligation to take possession and proceed with commercially reasonable liquidation, Upstart failed to retrieve the vehicle. The car has remained at XXXX XXXX XXXX XXXX XXXX since XX/XX/XXXX, and as of XX/XX/XXXX, the unpaid storage and administrative charges have accumulated to {$3400.00}. A formal notice from the shop confirms the vehicle has sat unclaimed for three months, and Upstart was sent a copy of this bill as well. 

I reached out to Upstart on XX/XX/XXXX, and requested communication about the status of the repossession. As of today, I have not received any written update, notice, or explanation from Upstart regarding their handling or abandonment of the repossession process. 

Meanwhile, Upstart has continued to report my loan as open and delinquent to the credit bureaus for XXXX, XXXX, XXXX, and now XX/XX/XXXX. This is inaccurate and misleading, given that they accepted the voluntary surrender, confirmed repossession was underway, and then failed to complete the process. This inaccurate reporting is further compounding the harm they caused me last year when they prematurely charged off my loan despite my compliance with a Right to Cure Notice. That matter was the subject of a prior CFPB complaint ( Case # XXXX ), which was closed after they reversed the charge-off. Unfortunately, their pattern of negligence and poor communication continues. 

I am attaching : The signed Voluntary Surrender Agreement The storage and recovery bill from XXXX XXXX XXXX XXXX dated XX/XX/XXXXXXXX  ) Email correspondence confirming Upstart initiated repossession My prior CFPB complaint response and history A recent credit report screenshot showing continued delinquent reporting The police report from the initial vehicle theft and recovery My requests : That Upstart immediately update my credit report to reflect accurate account status, including closure due to voluntary surrender or repossession. 

That Upstart either retrieve and liquidate the vehicle or formally forgive the remaining debt in light of their abandonment of repossession. 

That the $ XXXX in accumulated storage and admin fees at XXXX XXXX XXXX not be held against me, as I acted in good faith and followed all surrender procedures. 

Thank you for your review and consideration.

Company response to consumer: Closed with explanation