Consumer complaint received 2024-12-31 00:00:00
Product: Debt collection — Auto debt
Issue: Took or threatened to take negative or legal action — Seized or attempted to seize your property
Company: NAVY FEDERAL CREDIT UNION
State: TN

Complaint narrative:
on XX/XX/XXXX early am an unknown company damage my driveway while repo a vehicle without notices also refuse to provide driver insurance or contact information, I was told to sue them by the receptionist as result I have done following steps. 

Third Party XXXX XXXXXXXX XXXX XXXX XXXX DEBT COMPANY ORIGINAL NAVY FEDERAL, CHARGED OFF DEBT FAIL TO RESPOND TO BONAFIDE DISPUTE / XXXXXXXX XXXX XXXX XXXX XXXX debt is sold to a collection agency. 
Under UCC 3-301, the collection agency must be able to prove that they are entitled to collect the debt by providing proof that they are the holder of the debt or have the right to enforce it. 
If they can not produce evidence of the assignment or demonstrate they are the rightful holder, you have a valid defense under UCC 3-301 that they do not have the legal right to enforce the debt. 
Conclusion : UCC 3-301 ( 1 ) definitely applies when a third-party debt collector attempts to enforce a charged-off debt. The debt collector must be able to prove they are the holder of the debt or have the right to enforce the debt, typically through documentation of the debts transfer or assignment. If they can not provide such evidence, they may lack the legal standing to collect the debt, and you could successfully challenge their efforts. 
If you are dealing with a third-party debt collector, you have the right to request proof of their entitlement to collect on the debt. If they fail to prove their right to collect, they may be violating the UCC and other consumer protection laws, such as the Fair Debt Collection Practices Act ( FDCPA ). 
UCCC 3-301 ( 1 ) In the case XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX ), the Oklahoma Supreme Court dealt with the issue of self-help repossession and the legal rights of parties involved in a repossession, particularly regarding the proper notice and procedures required before and after repossession. Although the case primarily concerns the legal standing of the creditor ( the bank ) and the debtor in a repossession scenario, it is highly relevant to your question about the repo of a car without notice. 
Lets break it down to see how it applies : The Case : XXXXXXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX In XXXX XXXXXXXX XXXX XXXX XXXX XXXXXXXX, the bank has repossessed a vehicle from the debtor, XXXX XXXX, without providing prior notice. The key issue in the case was whether the bank had acted unlawfully in repossessing the car without giving the required notice or affording the debtor an opportunity to redeem the vehicle. 
The Oklahoma Supreme Court ruled that self-help repossession is only lawful if it does not breach the peace and if the repossession complies with the terms of the contract ( in this case, the security agreement ). However, in this case, the court found that the bank 's actions in repossessing the car without notice violated the debtor 's rights under the law. 
Key Points of the Case : Right to Notice Before Repossession : The case reinforced that the debtor is entitled to notice before a repossession occurs. This includes notice that the creditor intends to repossess the vehicle and provide an opportunity to cure the default ( if applicable ), especially when required by the Uniform Commercial Code ( UCC ) or the security agreement. 
Self-Help Repossession Must Not Breach the Peace : The ruling emphasizes that self-help repossession ( when the lender or creditor takes back the vehicle without involving law enforcement ) must not breach the peace. This means the creditor must avoid actions like taking the car in the middle of the night or forcibly entering the debtor 's property. A breach of peace could render the repossession illegal and subject the creditor to damages. 
Due Process and Fair Treatment : The case aligns with the notion that repossessions must be carried out in a manner that respects the debtors due process rights. This includes reasonable notice and an opportunity to address the default before drastic actions like repossession are taken. 
Application to Your Example : Repossessed Car without Notice If your situation mirrors the example you gave where a company repossessed your car in the middle of the night without any prior notice XXXX XXXX XXXX XXXX XXXX XXXX  can be relevant in several ways : Breach of Peace : If the repo company took the car without providing notice and did so in a manner that disrupted your peace ( such as repossessing it while you were unaware, in the middle of the night, or in a threatening manner ), this could be considered a breach of peace under UCC 9-609 ( which governs repossessions ). The Supreme Court in XXXX XXXXXXXX highlighted that the repossession must not disturb the peace, and if it did, the repossession could be considered illegal. 
Lack of Notice : If you did not receive notice of the repossession or any opportunity to redeem the car, this could also be a violation of your rights under UCC 9-611, which requires the secured party ( the lender or creditor ) to notify the debtor of the repossession and sale. In your case, if you didnt receive a pre-repossession notice, or notice of the intent to sell the vehicle, this could be a violation of UCC requirements and a breach of your rights. 
Opportunity to Cure : If there was no attempt to provide you with a chance to cure the default ( such as catching up on missed payments before the car was taken ), then the creditor may have violated the terms of the security agreement or failed to follow the proper process outlined in UCC 9-609 and 9-611. 
Remedies Available : If the repossession was deemed to have violated UCC provisions or was conducted in an unlawful manner, you could potentially seek remedies such as damages for the illegal repossession, return of the car, or even monetary compensation for any harm caused by the wrongful repossession. In XXXX XXXXXXXX, the court upheld the idea that a creditor must follow legal procedures to protect the debtors rights, and a failure to do so could result in liability for the creditor. 
What You Can Do in a Similar Situation : If you find yourself in a situation where a car has been repossessed without notice, and especially if it was done in the middle of the night or under questionable circumstances, the principles of XXXX XXXX XXXX XXXX XXXX XXXXXXXX may apply to your case. Heres what you can do : Demand Proof of Notice : You can ask the creditor or the repossession company to provide proof that they properly notified you before the repossession took place. Under UCC 9-611, the creditor is required to give you notice of the intended sale of the vehicle before taking any action, and under UCC 9-609 , they can not repossess in a way that breaches the peace. 
Check for Breach of Peace : If the repossession took place under circumstances that caused a disturbance or were carried out without your knowledge ( such as at night when you were not expecting it ), you might have grounds to claim a breach of peace. If the repossession was conducted in an aggressive, disruptive, or clandestine manner, this could be deemed unlawful. 
Examine the Security Agreement : Review the security agreement you signed when you took out the loan. Many agreements outline how and when a creditor can repossess the vehicle, what notices are required, and any potential penalties for non-payment. If the creditor violated any terms of that agreement ( e.g., failing to provide notice or not giving you an opportunity to cure the default ), you may have a case for wrongful repossession. 
Seek Legal Remedies : If the repossession was wrongful, you may be entitled to remedies such as : Return of the vehicle if it was wrongfully repossessed. 
Damages for any emotional distress, financial loss, or other harm caused by the wrongful repossession. 
A lawsuit for breach of contract or violation of your rights under the UCC. 
Consult an Attorney : If you believe your car was wrongfully repossessed in violation of your rights, it may be helpful to consult with an attorney who specializes in consumer protection, debt collection, or repossession laws. They can advise you on your legal rights, assist you in taking action against the repossession company, and help you seek compensation if applicable. 
Conclusion : XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX  applies to your example by underscoring the requirements for repossession, particularly the need for notice and the prohibition against breach of peace. If the car was taken without notice, especially in the middle of the night, it could very well be considered a violation of both UCC requirements and your legal rights. You might have grounds to challenge the repossession and pursue legal action for damages or wrongful repossession, as the creditor is generally required to follow proper procedures. 
PER THE THIRD PARTY COLLECTING THE CAR WITHOUT NOTICE OF REPO OR ANY CONTRACT TO SHOW OWNERSHIP OR RIGHT OF REPO A LAWSUIT INEVITABLE Yes, if a third-party company repossesses your car without providing notice, without a valid contract, and without showing the right to repossess ( i.e., without demonstrating legal ownership or the right to act on behalf of the creditor ), there are strong grounds for a lawsuit. This is especially true if the repossession violates UCC provisions or consumer protection laws. 
Let 's break down why a lawsuit is inevitable under these circumstances and what the potential causes of action would be. 
Key Legal Issues in Your Scenario : Lack of Notice ( UCC and Consumer Protection ) : Under the Uniform Commercial Code ( UCC ), specifically UCC 9-609, a secured creditor ( or their authorized agent ) may repossess the vehicle, but notice is usually required before and after the repossession. 
Notice before repossession : While the UCC doesn't always require pre-repossession notice in every case ( if the contract allows for immediate repossession after default ), notice after repossession is almost always required especially if the car is going to be sold. 
If the car was taken without any prior notice to you, and you didnt have an opportunity to cure the default, this could be a violation of UCC requirements. 
Lack of Ownership or Right to Repossess : Third-Party Debt Collectors and Repo Agents : A third-party collector must prove they have the right to repossess the vehicle. If the repossession agent or debt collector can not produce evidence of ownership or a contract that clearly shows they have legal standing to repossess the vehicle, they may be violating your rights. 
If they can not demonstrate they have the right to enforce the contract ( via a valid assignment or proof of ownership of the debt ), the repossession can be contested as unlawful. Under UCC 3-301, they must prove they have the right to enforce the debt. Without proper evidence, they may lack legal standing. 
Breach of Peace : Even if the third-party collector has the right to repossess, UCC 9-609 requires that repossession must be carried out without a breach of peace. If the repo occurred at an unreasonable time ( e.g., in the middle of the night ) or in a manner that caused disruption or fear, that could be considered a breach of peace. 
In this case, repossession without notice, in the middle of the night, could be argued to constitute a breach of peace, which would make the repossession itself unlawful. 
Potential Causes of Action for a Lawsuit : Given the facts you've outlined, here are the potential legal claims or causes of action that could lead to a lawsuit against the third-party repo agent, the creditor, or both : 1. Wrongful Repossession ( Breach of Contract & UCC Violations ) Lack of Notice : If the repossession was carried out without proper notice as required under UCC 9-611 ( post-repossession notice of intent to sell the car ), or if there was no opportunity for you to cure the default, you may have grounds for wrongful repossession. 
Lack of Standing : If the third-party repo agent can not prove that they have the legal right to repossess ( i.e., a valid assignment or proof that they own the debt ), they may not have had the legal right to take your car. In this case, you can sue for wrongful repossession. 
2. Breach of Peace ( UCC Violation ) Breach of Peace occurs when the repossession is conducted in a manner that disturbs the peace. This can include repossession at night, without warning, or in a manner that causes confrontation or distress. 
If the repo was conducted improperly ( e.g., forcibly entering your property, taking the car without your knowledge or consent ), the creditor or repo company could be liable for damages due to breach of peace. 
3. Conversion ( Theft or Unauthorized Taking ) Conversion is the wrongful taking or control over another person 's property. If the third party took the car without legal authorization, and they are unable to prove that they had the right to take it, you could have a claim for conversion. This is especially relevant if the car was taken without notice, without a contract, and without the proper authority to do so. 
4. Violation of Consumer Protection Laws ( Fair Debt Collection Practices Act, UCC, etc. ) FDCPA Violations : If the repossession was carried out by a debt collector ( i.e., a third-party collection agency ), and they did so improperly, you might have grounds to bring a claim under the Fair Debt Collection Practices Act ( FDCPA ). The FDCPA protects consumers from harassment and abusive practices by debt collectors, including improper or illegal repossession tactics. 
The UCC also protects consumers from creditors who act outside the bounds of the contract and the law. 
5. Emotional Distress ( Potential Tort Claim ) If the manner of repossession caused you significant emotional distress ( e.g., the stress of having your car taken unexpectedly at night or being wrongfully deprived of your vehicle ), you might have grounds for a claim of emotional distress. This is a more difficult claim to win, but if the repossession was done in an extremely inappropriate manner, it could potentially form the basis for damages. 
What You Can Do : Demand Proof : Send a formal demand letter to the creditor or repo company requesting proof of ownership and the right to repossess the car. They should provide you with a contract, proof of assignment, and any relevant documents that show they had the legal right to take the car. 

File a Complaint : You can file a formal complaint with consumer protection agencies, such as the Consumer Financial Protection Bureau ( CFPB ), the Federal Trade Commission ( FTC ), or your states attorney general office, if you believe the repossession violated consumer protection laws. 
Consider a Lawsuit : If the third-party repo company or creditor failed to follow the proper legal procedures ( notice, standing, etc. ), you may have a valid claim for wrongful repossession, conversion, breach of peace, or even emotional distress. Your attorney can assist in filing a lawsuit for damages. 
Conclusion : Yes, based on the facts you've outlined, a lawsuit is highly likely and advisable. The third-party collector repossessing your car without notice, without showing proper ownership, and potentially in violation of the UCC and consumer protection laws creates significant legal exposure for them. You may have several potential claims, including wrongful repossession, breach of peace, conversion, and violations of consumer protection laws. 
Its important to act quickly and consult with an experienced consumer rights attorney who can help guide you through the process of seeking damages, return of the car, or other legal remedies. : REPO DRIVER DAMAGE PROPERTY TO REPO THE CAR THE REPO COMPANY STATES THEY ARE NOT LIABLE TO GIVE DRIVERS NAME OR INFORMATION IS THIS TRUE IF NOT STEPS TO ENFORCE RELEASE OF INFORMATION POLICE REPORT HAS BEEN FILED In your situation, where the repo driver damaged your property during the repossession of your car and the repo company is refusing to provide the driver 's name or any information, you do have legal avenues to pursue in order to enforce the release of that information and hold the responsible parties accountable. 
Key Legal Issues to Address : Property Damage During Repossession : If the repo driver caused damage to your property while attempting to repossess your car, this may constitute tortious conduct, such as negligence or even intentional damage. Depending on the circumstances, you may have grounds for a claim for property damage. 
Right to Know Who Caused the Damage : You are entitled to know the identity of the person who damaged your property during the repossession. The repossession company ( or the principal party responsible ) should not be withholding this information if a police report has been filed and if the damage is part of the repossession process. 
Liability of the Repossession Company : Even though the repossession driver may be the one who caused the damage, the repossession company is generally liable for the actions of its agents ( in this case, the driver ) while they are acting within the scope of their employment or job duties ( such as repossessing a vehicle ). 
If the repossession was carried out by an independent contractor, there may be additional steps to take to identify and hold the contractor accountable, but the repossession company could still bear responsibility for ensuring that their contractors act within the law and do not damage property. 
Steps to Enforce Release of Information and Hold the Repo Company Accountable : 1. Reaffirm Your Right to the Information ( Legal Basis ) The repossession company is likely bound by state laws that require it to provide information about the incident, especially if a police report has been filed. If they are refusing to provide the driver 's name or contact information, you can take the following steps : State Law on Property Damage : Many states have consumer protection laws and tort laws that hold repossession companies liable for damages caused by their agents. The repossession company is obligated to assist you in pursuing any claims you have for damage caused during repossession. 
Request in Writing : Formally request, in writing, that the repo company provide the driver 's information as part of the property damage claim. This letter should state the nature of the damage, the fact that a police report has been filed, and your demand for the driver 's identity. 

DONE Police Report : Since you've filed a police report, obtain a copy of the report if you haven't already. The police report should contain : Details about the incident ( the property damage ). 
The repo companys information. 
Any witness statements or documentation related to the repossession. 
Identifying details about the driver, if provided by the repo company or the driver himself. 
The police report will help validate your claim of property damage and is often necessary to pursue legal action or to file a claim with your insurance. 
3. SENT Formal Demand Letter If the repossession company is unresponsive to your initial requests, send a formal demand letter requesting the driver 's information and any relevant documentation. You can include : Details about the damage ( photographs, estimates, etc. ). 
A reference to the police report. 
Your demand that they provide the driver 's name so you can proceed with your claim. 
This letter should also specify a deadline for a response ( e.g., 10-15 business days ) and clearly state that if they do not respond, you will pursue further legal action, including the involvement of consumer protection agencies or litigation. 
4. Contact Consumer Protection Agencies ( If Repo Company Refuses ) If the repo company still refuses to provide information, consider escalating the matter by contacting relevant consumer protection agencies : State Attorney Generals Office : They may have specific guidelines or complaints related to repossession companies that are not complying with the law or are withholding information unlawfully. 
XXXX XXXX XXXX XXXX XXXX XXXX  : Filing a complaint with the XXXX  can put public pressure on the company to resolve your issue. 
Consumer Financial Protection Bureau ( CFPB ) : If the repossession was carried out by a debt collector, you can also file a complaint with the CFPB, which enforces the Fair Debt Collection Practices Act ( FDCPA ). 
5. Small Claims Court or Lawsuit ( Legal Action ) If you are unable to resolve the matter through the repossession company or consumer protection agencies, filing a lawsuit or taking the matter to small claims court may be your next option : Sue for Property Damage : If the repossession company refuses to provide the driver 's name or cooperate, you can consider filing a lawsuit for property damage. The repossession company may be held liable for the actions of its agent ( the repo driver ). 
In many states, you can file a small claims lawsuit for property damage ( often under a certain dollar amount, such as {$5000.00} or {$10000.00}, depending on the state ). 
Sue for Breach of Contract : If the repo company violated terms of your agreement ( e.g., repossession was conducted improperly ), you may also have a breach of contract claim. 

Demand the Driver 's Information in writing, citing the police report and property damage. 
Obtain the Police Report and use it as evidence to support your claim. 
File a Complaint with the Attorney General or consumer protection agencies if the company continues to refuse to cooperate. 
Consider Small Claims Court or Legal Action if the company is uncooperative or refuses to provide the necessary information. 
You have the legal right to know who caused the damage to your property and to seek compensation for the damages. If the repo company is refusing to provide that information, legal recourse is your next step. Consulting with an attorney who specializes in consumer protection or tort law could provide additional support to ensure your rights are protected. 

NAVY FEDERAL IS THE COMPANY THE ORIGINAL CONTRACT WITH THERE WAS BONAFIDE DISPUTE SUBMITTED TO THEM VIA REGISTERED MAIL THEY NEVER REPLIED ENFORCEMENT ACCORDING TO SATISFACTION UCC 3-311 WAS NAVY FEDERAL ABLE TO SELL THE DEBT AFTER CHARGING IT OFF AND NOT REPLYING TO BONAFIDE DISPUTE? 

Under the Uniform Commercial Code ( UCC ), particularly UCC 3-311, the situation you've described involves some important legal principles regarding disputes and charge-offs, as well as the sale of a debt after a Bonafide dispute has been raised. Lets break this down step-by-step : 1. Bonafide Dispute Under UCC 3-311 : UCC 3-311 specifically addresses disputes and the right of the debtor to dispute the validity of a debt. When a debtor raises a Bonafide dispute ( a legitimate, good faith dispute about the debt or its amount ), the creditor is required to acknowledge and respond to the dispute in a reasonable manner. If a dispute is raised and the creditor fails to respond or resolve it, they may be in violation of certain provisions of the UCC and other applicable consumer protection laws. 
UCC 3-311 states that if a debtor sends a dispute ( such as a registered mail notice, which you did ), the creditor is required to respond or provide a resolution. A failure to respond to a bona fide dispute could affect the creditor 's ability to enforce the debt or take certain actions, including selling the debt or charging it off. 
2. Charging Off the Debt : Charge-off is an accounting action that the lender ( in this case, XXXX XXXX XXXX takes to declare the debt as unlikely to be collected. A charge-off does not extinguish the debt ; it is simply an accounting procedure that moves the debt off the creditors balance sheet. It is still a valid debt that the creditor ( or a third party ) can attempt to collect, unless there is some legal reason why the debt can not be enforced ( such as a Bonafide dispute or a failure to respond to the dispute ). 
In your case, if Navy Federal charged off the debt after receiving your dispute and without responding to it, they may have violated UCC 3-311. Charging off the debt without addressing the dispute could mean that the creditor has waived their right to enforce the debt or sell the debt, depending on the nature of the dispute. 
3. Selling the Debt After Charge-Off : After a charge-off, the creditor ( in this case, Navy Federal ) has the right to sell the debt to a third-party collection agency or debt buyer. However, there are specific conditions under the UCC and related laws that govern this process : Failure to Respond to a Bona Fide Dispute : If Navy Federal did not respond to your Bonafide dispute, they could have violated UCC 3-311, which requires them to address the dispute and offer a resolution before continuing with collection efforts. If they ignored the dispute, they might not have been legally able to sell the debt or attempt to enforce it while the dispute remains unresolved. 
Consumer Protection Laws : In addition to the UCC, there are consumer protection laws, including the Fair Debt Collection Practices Act ( FDCPA ), that require creditors and debt collectors to act fairly and respond to disputes. If the debt was sold to a third party after the dispute, the third-party collector must still adhere to these same laws, including validating the debt before attempting to collect it. 
4. Legal Impact of Not Responding to a Bonafide Dispute : Under UCC 3-311, creditors are not allowed to enforce or transfer a debt for collection if there is an unresolved Bonafide dispute. This means that if Navy Federal failed to address your bona fide dispute, they may not have been legally allowed to sell the debt or continue to attempt collection. Their failure to respond to your dispute could have prevented them from enforcing the debt, and any subsequent actions, such as selling the debt to a third-party collection agency, could be legally questionable. 
5. What Can You Do? 
Here are your options to enforce your rights under UCC 3-311 and other applicable laws : a. I HAVE DocumentED Everything : Keep copies of the dispute letter you sent to Navy Federal ( via registered mail ). 
Ensure you have proof of the failure to respond from Navy Federal. If they didn't reply to your dispute, this could be an important piece of evidence that they violated UCC provisions. 
Request copies of any communication or documentation related to the sale of the debt. If they sold the debt, they should have informed you of the sale and the new holder of the debt.

Company public response: Company believes it acted appropriately as authorized by contract or law
Company response to consumer: Closed with explanation