Consumer complaint received 2025-12-14 00:00:00
Product: Vehicle loan or lease — Loan
Issue: Repossession — Loan balance remaining after the vehicle is repossessed and sold
Company: TOYOTA MOTOR CREDIT CORPORATION
State: TX

Complaint narrative:
IMPORTANT CLARIFICATION : This is a NEW CFPB complaint and is NOT a duplicate, NOT an identity theft claim, and NOT a fraud allegation. The account at issue belongs to me. This complaint concerns XXXX XXXX XXXX XXXX conduct as a furnisher of information, specifically the misrepresentation of its role, misclassification of the credit obligation, and furnishing of inaccurate and misleading information to consumer reporting agencies, in violation of the Fair Credit Reporting Act ( FCRA ). 

XXXX. Misrepresentation of Creditor Status The governing contract for this account is a Retail Installment Sales Contract ( XXXX ). The contract explicitly identifies XXXX XXXX XXXX XXXX as the SELLER / ORIGINAL CREDITOR. Toyota Motor Credit Corporation is not identified as the originating creditor and appears only as an assignee/servicer. 

Despite this, XXXX XXXX XXXX furnishes credit reporting data in a manner that misrepresents its role, presenting itself as the creditor without properly reflecting the original seller/creditor. This misrepresentation is materially misleading and affects how the obligation is interpreted by consumer reporting agencies and third parties. 

XXXX. Misclassification of the Credit Obligation The contract and Toyotas own Notice of Acceleration explicitly describe the transaction as a Retail Installment Sale of a Motor Vehicle. It is not a loan. 

Nevertheless, XXXX XXXX XXXX furnishes data to credit bureaus that results in the account being classified as an installment loan, altering the legal nature of the obligation. XXXX, as an assignee, has no authority to recharacterize the underlying contract or change its classification for reporting purposes. 

XXXX. Furnishing Information Known or That Should Be Known to Be Inaccurate ( FCRA 623 ( a ) ( 1 ) ( A ) ) XXXX XXXX XXXX possesses the original contract and related documents. Therefore, XXXX knows or should know that : It is not the original creditor The obligation is a retail installment sale, not a loan Reporting inconsistent with the contract is inaccurate and misleading Continuing to furnish data that contradicts Toyotas own records violates Toyotas duties as a furnisher under the FCRA. 

XXXX. Failure to Conduct a Reasonable Investigation After Dispute ( FCRA XXXX ( b ) ) I disputed the accuracy and classification of this tradeline with consumer reporting agencies. Despite this, XXXX XXXX XXXX continues to verify and furnish the same inaccurate and misleading information. 

Verifying information that contradicts the governing contract and XXXX own notices demonstrates a failure to conduct a reasonable investigation and a failure to review all relevant information, as required by the FCRA. 

XXXX. Inaccurate and Misleading Post-Repossession XXXX XXXX XXXX XXXX also furnishes reporting that reflects inaccurate balances, statuses, and/or adverse activity inconsistent with repossession and sale. Once a vehicle is repossessed and sold, ongoing reporting that implies continuing performance failures without proper reconciliation is materially misleading. 

XXXX. Demonstrated Inability to XXXX XXXX XXXX XXXX XXXX consumer reporting agency has already deleted this same XXXX tradeline due to inability to verify. This demonstrates that the information XXXX is furnishing is not reliably verifiable and should not continue to be reported. 

XXXX. Harm Caused XXXX XXXX Credits furnishing of inaccurate and misleading information has caused significant XXXX XXXX damage, loan denials, higher borrowing costs, and ongoing financial harm. The continued verification of incorrect data has also caused substantial emotional distress.

Company response to consumer: Closed with explanation