Consumer complaint received 2025-11-18 00:00:00
Product: Vehicle loan or lease — Loan
Issue: Problems at the end of the loan or lease — Problem with paying off the loan
Company: SANTANDER HOLDINGS USA, INC.
State: FL

Complaint narrative:
DECEPTION BETWEEN AUTO LENDER AND DEALERSHIP : LOAN PRESENTED AS SIMPLE INTEREST BUT ACTUALLY CALCULATED USING RULE OF XXXX / FRONT-LOADED INTEREST COMPLAINT AGAINST ( PER CFPB REQUIREMENT ) : Santander XXXX XXXX XXXX . 
Note : Although the CFPB system only allows selecting XXXX company, the issues in this complaint involve actions by Santander XXXX XXXX  XXXX ( lender ) and XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX ( originating dealership ). The dealership acted as the lenders face and agent during the credit application, loan-term disclosures, preparation of paperwork, and explanations regarding interest and payoff expectations. Therefore, although this complaint is formally filed against Santander Consumer USA XXXX, the dealerships conduct is integral to the issues described. 

WHAT HAPPENED On XX/XX/XXXX, I visited XXXX XXXX to purchase a XXXX XXXX. The dealer quoted a total price of {$39000.00} including taxes. When applying for financing as a self-employed borrower, I stated clearly that I had 1 year of self-employment. Without informing me, the dealership ran my credit with XXXX different auto lenders, even though I expected only XXXX inquiries ( attachment [ XXXX ] ). 
Later that night, after reviewing my contract, I discovered the dealership had entered false employment information, listing 2 years of self-employment instead of XXXX ( attachment [ XXXX ] ). 
The salesman assisting me was Lead XXXX XXXX XXXX XXXX ( attachment [ XXXX ], Vehicles buyers order with salesperson ). 
Although I explicitly requested a XXXX loan, the dealership stated that only XXXX option was available : Santander XXXX XXXX 14.83 % XXXX 72 months $ XXXX ( attachment [ XXXX ] ). 

STATEMENTS MADE BY DEALERSHIP STAFF Before signing, I asked both salesman XXXX XXXX and the manager shown in attachment [ XXXX ] whether the loan could be paid off early without penalty. 
Both answered : Yes, you can. 
I relied on this because my plan was to keep the loan no more than 2 years, then pay it off after my credit improved, since the interest was high. 

DEALERSHIP REFUSED TO REMOVE THE EXTENDED WARRANTY On XX/XX/XXXX, I attempted to cancel the {$2400.00} extended warranty to reduce the financed amount. The dealership refused to process the cancellation and only offered me to swap the extended warranty for a maintenance plan, which prevented me from reducing the financed amount. 

PROBLEMS DISCOVERED WITH HOW SANTANDER CALCULATED INTEREST When my credit improved in XXXX, I contacted Santander to refinance. The representative laughed and said : Santander does not refinance its own loans. 
On XX/XX/XXXX, I requested a payoff quote using XXXX web app, and it gave me {$25000.00} ( attachment [ XXXX ] ). 
The contract disclosed a XXXX XXXX of {$20000.00} over the XXXX term ( attachment [ XXXX ] ). 
Because I intended to keep the loan only short-term, expected simple-interest cost should have been : * {$6900.00} over 24 months * {$10000.00} over 36 months ( 3 years ) From XX/XX/XXXX to XX/XX/XXXX, I had already paid {$29000.00}. 
Using XXXX web App Transaction History, I reviewed the interest allocation ( attachment [ XXXX ] ). I found that in only 36 months, Santander had charged the equivalent of about 52 months of interest. 
This matches the XXXX front-loaded pattern even though the sales contract states Simple Finance Charge ( attachment [ XXXX ] ). 
This contradicts : * Truth in Lending Act ( XXXX U.SXXXXC. XXXX ) Rule of XXXX is prohibited for loans longer than 61 months * TILA disclosure requirements lenders must disclose front-loaded or non-simple-interest methods Santander did not disclose any such methodology. 

DEALER ACKNOWLEDGING THE FRONT-LOADED INTEREST In XX/XX/XXXX, I returned to XXXX XXXX to explain the issue. A finance employee drew a graph showing very high interest in the early months classic XXXX front-loading. I recreated it for clarity ( attachment [ XXXX ] ) based on the employees explanation drawing. This demonstrates the dealership understood the front-loaded structure being applied. 

ATTEMPTS TO RESOLVE THE ISSUE When contacting Santander over the phone : * They repeatedly told me I did not understand simple interest. 
* They sent an email explaining simple interest ( attachment [ XXXX ] ). 
* On XX/XX/XXXX, I filed a complaint with Santander. They gave me reference number XXXX ( attachment [ XXXX ] ). 
* Weeks later, when I called back to follow up the complaint case, Santander said no such complaint existed, and representatives laughed at me. 
* I requested a copy of the contract, but they were playing with me and never sent it or followed through with my request. 
* They dismissed my concerns even after I showed evidence of front-loaded interest and explained my intent to pay off early. 

WHY I BELIEVE THIS IS DECEPTIVE OR ABUSIVE * False employment information entered by the dealership ( attachment [ XXXX ] ). 
* Unauthorized excessive hard inquiries ( attachment [ XXXX ] ). 
* False assurances regarding early payoff. 
* XXXX front-loaded interest applied to a XXXX loan, prohibited under XXXX U.S.C. XXXX. 
* Failure to disclose front-loaded methodology, violating TILA. 
* Contract states Simple Finance Charge but Santander applied a front-loaded structure ( attachment [ XXXX ] ). 
* Attempts made to reduce the financed amount were undermined by the dealership, who refused to remove the warranty and only offered to swap it for a maintenance plan ( attachments [ XXXX ], [ XXXX ], [ XXXX ] ). 
* XXXX  mocking, dismissive behavior and playing or lying about the interest applied to my loan and the complaint record. 
* Dealers Financial interest-curve drawing showing awareness of the front-loaded structure ( attachment [ XXXX ] ). 

ATTACHMENTS [ XXXX ] Credit inquiry report [ XXXX ] Photo of dealership XXXX [ XXXX ] Santanders Transaction History [ XXXX ] Financial Dealers interest-curve drawing [ XXXX ] Contract / Sale Contract / Retail Installment Sale Contract [ XXXX ] Phone number for warranty-cancellation employee [ XXXX ] Extended warranty contract / MECHANICAL FAILURE SERVICE CONTRACT / Fidelity Contract [ XXXX XXXX Prepaid maintenance contract [ XXXX ] Payoff quote ( XX/XX/XXXX ) [ XXXX ] Email sent by Santanders agent explaining simple interest [ XXXX ] Documentation of Santander complaint # XXXX [ XXXX ] Document showing false employment information ( 2 years instead of XXXX ) [ XXXX ] Vehicles buyers order with salesperson ( XXXX XXXX )

Company response to consumer: Closed with explanation