Consumer complaint received 2024-04-08 00:00:00
Product: Vehicle loan or lease — Loan
Issue: Managing the loan or lease — Problem with fees charged
Company: CREDIT ACCEPTANCE CORPORATION
State: IA

Complaint narrative:
XXXX XXXX XX/XX/XXXX Consumer Financial Protection Bureau Subject : Formal Complaint Regarding Violations of Consumer Credit Agreement Dear Sir/Madam, I am writing to file a formal complaint against [ Unknown Name Mobile Credit Acceptance Agent ] and [ Best Deals Auto Sales and Service ] for multiple violations of consumer protection laws in relation to an auto purchase made through a consumer credit agreement. The transaction occurred on XX/XX/XXXX involving the purchase of XXXX XXXX XXXX XXXX The violations include but are not limited to : 1. **Unauthorized Preparation of Contract : ** The consumer credit agreement was prepared by an unknown name mobile credit acceptance agent rather than the dealer, who is not a legal entity in Iowa XXXX thereby engaging in fraudulent activities. 

2. **Failure to Disclose XXXX  Notice or XXXX : ** The agent failed to disclose or provide necessary paperwork regarding the rescission notice, violating numerous truth in lending laws. 

3. **XXXX XXXX XXXX  XXXX : ** The finance charge was misrepresented, not reflecting the sum total of all charges as required by law. 

4. *XXXX XXXX XXXXXXXX XXXX : ** A down payment of {$1700.00} was made to the dealer but was not correctly reflected in the itemization of the amount financed, leading to confusion and misallocation of funds. 

5. XXXX XXXX of XXXX with XXXX XXXX XXXX : ** The agent added the {$1700.00} back into the total price of the car, which was paid directly to the dealer, violating federal laws prohibiting such actions. 

6. **Failure to Disclose Optional Warranty : ** The agent did not inform me that the two-year extended warranty was optional, depriving me of the opportunity to make an informed decision. 

7. **Failure to Disclose Inclusion of Insurance and Service Maintenance : ** Insurance and service maintenance included in the finance charge were not properly disclosed by the agent. 

8. **Failure to Disclose Opt-Out Option for Third-Party Disclosures : ** The agent did not inform me of my option to opt out of third-party disclosures, such as credit reporting agencies or repossession companies. 

9. **Interest Charged on Swindled Amount : ** The {$1700.00} swindled amount was added back onto the total price of the car, resulting in me paying interest on money that was not supposed to be part of the transaction. 

I hereby demand that [ Unknown Name Mobile Credit Acceptance Agent ] and [ Best Deals Auto Sales and Service ] rectify this situation immediately by rescinding the transaction, refunding any overcharged amounts, and providing proper documentation for the transaction. 

I trust that the Consumer Financial Protection Bureau will thoroughly investigate this matter and take appropriate action to ensure that consumer rights are upheld and justice is served. 

Thank you for your attention to this matter. 

Sincerely, XXXX XXXX

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation