Consumer complaint received 2025-05-10 00:00:00
Product: Vehicle loan or lease — Loan
Issue: Getting a loan or lease — Problem with additional add-on products or services purchased with the loan
Company: CREDIT ACCEPTANCE CORPORATION
State: OH

Complaint narrative:
Final Notice of Contract Rescission and Legal Demand XXXX XXXX XXXX XXXX XXXX XXXX XXXX, OH XXXX XXXX XXXX Date : XX/XX/XXXX TO : CSC-Lawyers Incorporating Services XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX, MI XXXX Credit Acceptance Corporation Attn : Legal Department XXXX Contract Disputes XXXX XXXX XXXX XXXX XXXX XXXX XXXX MI XXXX Notice to Agent is Notice to Principal / Notice to Principal is Notice to Agent FINAL NOTICE OF CONTRACT RESCISSION, HOLDER RULE LIABILITY, FCRA VIOLATIONS, AND DEMAND FOR RELEASE & REFUND Account Number : XXXX Vehicle : XXXX XXXX XXXX XXXX XXXX XXXX Contract Date : XX/XX/XXXX Dealer : XXXX XXXX XXXX XXXX XXXX XXXX, OH ) Dear Legal Department and Agents, I am issuing this formal Notice of Rescission and Breach of Contract related to the above-referenced vehicle financing agreement. This notice serves as documentation of unlawful credit practices, misrepresentation, hidden defects, and deceptive contract terms. The vehicle has serious mechanical failures including persistent dashboard warning lights, an active gas leak, and unsafe highway performance, which violate the implied warranty of merchantability under the Uniform Commercial Code ( UCC 2-314 ).

I. LEGAL GROUNDS FOR CANCELLATION 1. Breach of Contract & Holder Rule ( 16 CFR 433.2 ) - I made a documented down payment of {$2000.00} as shown in the contract. 
- The selling dealer, XXXX XXXX XXXX, acted in deceptive ways by bundling {$2700.00} in unwanted XXXX and service products under high APR ( 24.99 % ) without adequate disclosure.

- Under the FTC Holder Rule, Credit Acceptance is liable for all claims I could assert against the dealer.

2. FCRA Violations ( 15 USC 1681s-2 ( b ) ) - Reported my account as 120-180 days late to all bureaus despite disputes and contradictory data.

- Failed to update or correct inaccuracies for over 120 days in violation of XXXX XXXX standards.

3. TILA & UDAP Violations - Charged {$1700.00} for service plans and {$980.00} for GAP without opt-out documents or disclosure.

- APR of 24.99 % paired with bundled products is predatory and violates Ohios Consumer Sales Practices Act ( R.C. 1345 ).

4. Deceptive Financing 16 CFR 444.3 / FTC Holder Rule - GAP and service contracts were disguised as mandatory. My signature was used to approve hidden interest-bearing products.

5. Breach of Implied Warranty ( UCC 2-314 ) - Vehicle was delivered with hidden and dangerous defects ( gas leak, dash lights, poor highway safety ).

- The vehicle was not fit for ordinary driving, violating implied warranty of merchantability.

6. ECOA Violations ( 15 USC 1691 ) - I was denied right to negotiate APR or reject bundled products, likely based on SSI or disability status.

II. FORMAL DEMAND I am exercising my legal right to rescind the contract and demand the following within 15 business days : 1. Full cancellation of the Retail Installment Contract.

2. Permanent deletion of all Credit Acceptance tradelines from all credit bureaus.

3. Release of lien on the vehicle.

4. Refund of my {$2000.00} down payment.

5. Written confirmation that no further collection or reporting will occur.

Failure to comply will result in civil litigation and complaints to the CFPB, FTC, and Ohio Attorney General. 

Sincerely, XXXX XXXX XXXX XXXX. This demand is also made under hardship protections due to my XXXX XXXX XXXX ( receiving SSI ) and the burden this loan places on our well-being. Protections invoked under : - ADA ( 42 U.S.C. 12101 et seq. ) - Equal Credit Opportunity Act ( 15 U.S.C. 1691 ) - Consumer Financial Protection Act ( 12 U.S.C. 5481 )

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