Consumer complaint received 2024-12-18 00:00:00
Product: Debt collection — Auto debt
Issue: Written notification about debt — Didn't receive enough information to verify debt
Company: TOYOTA MOTOR CREDIT CORPORATION
State: MI

Complaint narrative:
Complaint Details Issue : Refusal to honor a Sight Draft Bill of Exchange for vehicle purchase. 

Business Information : XXXX XXXX XXXX XXXX, XXXX, MI XXXX Business Name : Toyota Motor Corporation Dealership Name : XXXX XXXX of XXXX Address : XXXX XXXX XXXX XXXX, XXXX, MI XXXX Sales Agent : XXXX Details of the Complaint : On [ date ], I attempted to purchase a vehicle from XXXX XXXX of XXXX using a valid Sight Draft Bill of Exchange as a method of payment in full. After discussing the matter with sales agent XXXX, I was informed that the dealership would not accept my financial instrument. When pressed for a legal justification, XXXX admitted, " We have no legal reason why we don't accept Bills of Exchange. '' This refusal has significantly impeded my ability to purchase a vehicle, directly affecting my progress, livelihood, and day-to-day activities. 

The dealership 's refusal to honor the Sight Draft Bill of Exchange violates several state and federal laws. A Sight Draft Bill of Exchange is a legally recognized negotiable instrument under the Uniform Commercial Code ( UCC ) and federal regulations, including the Code of Federal Regulations ( CFR ). The instrument provides for immediate payment upon presentation, ensuring the dealership receives guaranteed funds promptly.

Legal Violations Cited Michigan Uniform Commercial Code ( UCC ) : Article 3 ( 440.3101 et seq. ) : Governs negotiable instruments and mandates their acceptance as valid methods of payment unless explicitly excluded by contract.

Article 4 ( 440.4101 et seq. ) : Covers bank deposits and collections, ensuring the immediate processing of such instruments.

Federal Regulations : 12 CFR Part 229 ( Regulation CC ) : Ensures the timely clearing and settlement of negotiable instruments, including sight drafts.

15 U.S.C. 1693 ( Electronic Fund Transfer Act ) : Facilitates the efficient transfer and processing of financial instruments to avoid unnecessary delays.

Michigan Consumer Protection Act ( MCL 445.901 et seq. ) : Protects consumers from arbitrary or discriminatory practices by businesses, including financial discrimination without legal justification.

New Jersey Consumer Fraud Act ( N.J.S.A. 56:8-1 et seq. ) : Mandates fair business practices in the sale of goods, including transparency and non-discrimination in payment methods.

Impact on Livelihood The refusal to accept the Sight Draft Bill of Exchange has caused substantial hardship, including : Impeding Progress : My inability to secure reliable transportation has limited my mobility and professional opportunities.

Affecting Livelihood : As someone who relies on transportation for daily work and personal responsibilities, this refusal hinders my ability to sustain income and meet obligations.

A Sight Draft Bill of Exchange is a faster and more efficient payment method : It guarantees immediate payment upon presentation, reducing the risk of non-payment for the dealership.

It eliminates financing delays and ensures a seamless transaction for both parties.

Resolution Sought I request the following resolutions : Immediate Acceptance : That Golling Toyota of Warren and Toyota recognize the Sight Draft Bill of Exchange as a valid payment method, as required by law.

Policy Change : That Toyota and its affiliated dealerships establish clear policies and training on the acceptance of negotiable instruments to prevent future occurrences. 
Compensation : For the inconvenience and delays caused by this refusal, including reimbursement for any associated costs or lost income.

Company response to consumer: Closed with explanation