Consumer complaint received 2025-01-23 00:00:00
Product: Payday loan, title loan, personal loan, or advance loan — Title loan
Issue: Problem with the payoff process at the end of the loan — 
Company: Select Management Resources, LLC
State: NM

Complaint narrative:
1. This complaint reports the intricacies of early loan repayments, interest reimbursements, and effects of consumer grievances on subsequent loan applications. It also scrutinizes the precision of credit score reporting and its role in loan approval determination. By documenting this experience, the objective is to contribute to the ongoing dialogue regarding consumer safeguards in the short-term lending sector, and the imperative for transparent and equitable lending practices. 
I secured XXXX loans from XXXX XXXX XXXX XXXX XXXX XXXX dba LoanMax, which states that payments in any amount may be made in advance at any time. Subsequently, both loans were repaid before the first due date. The initial loan allocated {$100.00} to interest, as corroborated by the documentation provided. The second loan was resolved through two concurrent payments, with {$78.00} and {$21.00}, designated as interest on the same day. The supporting documents are enclosed. Loan agreements stipulate that a portion of the interest charges should be reimbursed upon early repayment.

Analysis of the receipt indicates that the loan is current with a subsequent due date. However, all balances report zero for loan 1. Loan 2, with two payments in one day, documents the payment received and date, amount applied to interest, amount applied to principal, and the remaining principal balance. The next payment date was XXXX. The new principal balance is XXXX, the projected new interest is XXXX, and the projected new loan balance is XXXX. The loan is designated as current. The second payment amount is XXXX ; however, there is an amount applied to interest and amount applied to the principal. The loan remains designated as current with the same due date as the loan extension date. The next payment shows all zeros. 
Both loan documents contain the following : " Prepayment : if you pay off this loan early, you may be entitled to a refund of part of the finance charge. '' Subsequently, a complaint was filed with the XXXX XXXX XXXX ; however, the lender declined to acknowledge the interest charges despite the explicit language on the receipts. Notably, the company confirmed that the loan was repaid early, as previously reported. 
On XX/XX/year>, the complainant sought a third loan from the company. The application process was completed ; however, corporate approval was pending due to prior XXXX  complaints. Corporate management ultimately decided against proceeding with the loan and the application was returned to the applicant. Nevertheless, a letter dated XX/XX/year>, was received, stating that the loan application was rejected, citing a XXXX XXXX of XXXX. 
The credibility of the rejection letter is further challenged by the discrepancy between the reported XXXX XXXX and the complainant 's actual credit ratings. The complainant 's credit scores consistently exceeded XXXX across all reporting agencies to include the day visiting the lender 's establishment. Additionally, the complainant was notified of an increase in the XXXXn credit score at the time of the letter, higher credit rating persists to the present day. Consequently, the authenticity of the denial letter is called into question. This inconsistency raises concerns about the lender 's practices and reliability of their information. Given these circumstances, it appears plausible that the loan application 's denial XXXX have been influenced by factors beyond the stated credit score, potentially associated with the previous XXXX  complaint. 
To calculate the interest cost of a loan 1 of {$1000.00} at an annual interest rate of 35.99 % over two years, it was observed that the interest rate does not align with the payment schedule. This is also true of Loan 2. If a payment is made before the first due date, typically no interest will be incurred. This implies that early payment results in savings, which corresponds to the refund of financial charges, as stated in the loan documentation.

2. Problem with credit report or credit score

Company public response: Company believes it acted appropriately as authorized by contract or law
Company response to consumer: Closed with non-monetary relief