Consumer complaint received 2025-06-26 00:00:00
Product: Vehicle loan or lease — Loan
Issue: Managing the loan or lease — Problem with the interest rate
Company: Bridgecrest Acceptance Corporation
State: AL

Complaint narrative:
INTRODUCTION AND SUMMARY OF CLAIMS This letter constitutes a formal demand for remediation regarding serious violations of Virginia usury laws, the Truth in Lending Act ( [ 15 U.S.C. 1601 et seq. ] ), and other applicable consumer protection statutes in connection with the above-referenced auto loan agreement. This demand is made on behalf of XXXX XXXX XXXX, a XXXX senior citizen who was subjected to predatory and unlawful lending practices by Bridgecrest Acceptance Corporation ( Bridgecrest ) .

After thorough review of the loan documentation and payment history, it has been determined that Bridgecrest has engaged in the following unlawful practices : 1. Usurious Interest Rate : Charging an Annual Percentage Rate ( APR ) of 24.583 %, which substantially exceeds the maximum legal interest rate of 12 % permitted under [ Virginia Code 6.2-303 ] for non-bank lenders ; 2. Deceptive Financing Practices : Financing non-essential add-on products ( extended warranty, GAP insurance, GPS tracking device ) without transparent disclosure that these products would accrue interest at the usurious rate of 24.583 % ; 3. Unauthorized Fees : Including a {$290.00} processing fee without proper disclosure or authorization ; 4. Elder Financial Exploitation : Targeting a vulnerable senior citizen with an unconscionable loan product, raising serious concerns of elder financial exploitation under [ Virginia Code 18.2-178.1 ] ; and 5. Truth in Lending Act Violations : Failing to provide clear and conspicuous disclosures regarding the true cost of credit as required by the Truth in Lending Act ( [ 15 U.S.C. 1601 et seq. ] ) and its implementing regulation, Regulation Z ( [ 12 C.F.R. Part 226 ] ). 
XXXX. FACTUAL BACKGROUND On XX/XX/year>, XXXX XXXX XXXX XXXX, then XXXX XXXX XXXX, entered into a retail installment contract with Bridgecrest Acceptance Corporation for the purchase of a vehicle. The contract specified the following terms : Amount Financed : {$18000.00} Annual Percentage Rate ( APR ) : 24.583 % Finance Charge : Approximately {$17000.00} over the life of the loan Total of Payments : Approximately {$35000.00} The loan agreement included financing for several add-on products, including an extended warranty, GAP insurance, and a GPS tracking device, totaling approximately {$8600.00}. These optional products were financed at the same usurious interest rate of 24.583 %, substantially increasing the overall cost of the loan. 
XXXX XXXX has made regular payments on this loan since XX/XX/year>, and the current remaining principal balance is approximately {$5700.00}. During this period, she has paid excessive interest due to the unlawful interest rate charged by Bridgecrest. 

LEGAL VIOLATIONS A. Violation of Virginia Usury Laws [ Virginia Code 6.2-303 ] explicitly prohibits contracts for the payment of interest exceeding 12 % per year, except as otherwise permitted by law. The 24.583 % APR charged by Bridgecrest substantially exceeds this statutory maximum and constitutes a clear violation of Virginias usury laws.

[ Virginia Code 6.2-305 ] provides that a person who pays interest in excess of the lawful rate XXXX recover twice the total amount of interest paid within the two-year limitation period. Based on XXXX XXXX payment history, she is entitled to recover approximately {$18000.00} in usurious interest payments ( representing twice the amount of excess interest paid above the legal 12 % rate ). 
B. Truth in Lending Act Violations The Truth in Lending Act ( TILA ), [ 15 U.S.C. 1601 et seq. ], and its implementing regulation, Regulation Z ( [ 12 C.F.R. Part 226 ] ), require creditors to provide clear and conspicuous disclosures regarding the terms and costs of consumer credit. Bridgecrest failed to provide adequate disclosures regarding : 1. The true cost of the add-on products when financed at the 24.583 % interest rate ; 2. The nature and purpose of the {$290.00} processing fee ; and 3. The fact that the interest rate substantially exceeded the legal maximum under Virginia law. 
These failures constitute violations of TILAs disclosure requirements and entitle XXXX XXXX to statutory damages, actual damages, and attorneys fees. 
C. Elder Financial Exploitation [ Virginia Code 18.2-178.1 ] prohibits the financial exploitation of vulnerable adults through the use of their mental or physical impairment. By targeting a XXXX senior citizen with a predatory loan carrying an illegal interest rate, Bridgecrest engaged in conduct that raises serious concerns of elder financial exploitation. 
The loan terms imposed on XXXX XXXX were unconscionable and exploitative, taking advantage of her age and potential vulnerability. This conduct may also trigger reporting requirements under [ Virginia Code 63.2-1606 ], which establishes reporting requirements for suspected adult abuse, neglect, and exploitation.

Company response to consumer: Closed with explanation