Consumer complaint received 2025-07-31 00:00:00
Product: Vehicle loan or lease — Lease
Issue: Repossession — Deficiency balance after repossession
Company: CREDIT ACCEPTANCE CORPORATION
State: NY

Complaint narrative:
I purchased a vehicle through Credit Acceptance in XX/XX/XXXX and paid a down payment. In early XXXX, the vehicle was impounded by the state due to alleged abandonment, though I was never contacted by Credit Acceptance or given an opportunity to retrieve it. I was not issued any written or verbal notice of repossession, default, or sale. After the car was sold without my knowledge, I was charged the full loan balance of approximately {$23000.00}, despite the vehicle only being worth {$18000.00} at the time of purchase. 

I contacted Credit Acceptance and requested clarification, including a full breakdown of the remaining balance, sale details, and notice procedures. They refused to provide any documentation or proof of notice and claimed it was not their responsibility since the state impounded the car. They also confirmed that a third party took over the lien, yet still insist that I owe the full balance.

I believe this violates the Fair Credit Reporting Act ( FCRA ), Fair Debt Collection Practices Act ( FDCPA ), and UCC regulations. I am now left with a major derogatory item on my credit report without any due process or proper explanation. Im requesting a full investigation, proof of their claims, and removal of the account if violations are found. 
I was never provided with a full loan agreement or repossession notices. The only document I received was a warranty form. Credit Acceptance claimed they sent notices by email, but I never consented to electronic-only communication and did not receive any certified letters. They were obligated to mail me physical notices under UCC and FDCPA. This lack of written notice further confirms their noncompliance with required legal procedures.

Credit Acceptance stated that the impound lot was charging {$6000.00} to release my car, which they used to justify not recovering the vehicle. I personally contacted the impound lot, and this fee was never quoted to me. I believe this is a false or exaggerated claim used to avoid responsibility. I am formally requesting documented proof or receipts showing the {$6000.00} impound fee, including the date, lot name, and contact. If they can not provide this, the charge should be considered unsubstantiated and the account balance disputed or removed. 
I was never provided with a full loan agreement or repossession notices. The only document I received was a warranty form. Credit Acceptance claimed they sent notices by email, but I never consented to electronic-only communication and did not receive any certified letters. They were obligated to mail me physical notices under UCC and FDCPA. This lack of written notice further confirms their noncompliance with required legal procedures. 


My vehicle was impounded by the state, and Credit Acceptance, as the lienholder, failed to notify me, recover the vehicle, or assist with resolution. They claim it wasnt their responsibility because the state impounded it, but as the legal lienholder, they had the right and obligation to intervene or release the vehicle. Instead, they allowed it to be sold without informing me and are now charging me the full remaining balance, despite someone else allegedly taking over the XXXX. 

I made a down payment on this vehicle and was never offered any assistance, notice of sale, or breakdown of fees. When I contacted the impound lot myself, they did not quote me the {$6000.00} Credit Acceptance now claims was the release fee. I request documented proof and receipts of all amounts paid or owed. This appears to be a false claim.

Credit Acceptance is currently facing legal action from other consumers for similar deceptive and unfair lending practices. Their behavior in my case violates the Fair Credit Reporting Act ( FCRA ), Fair Debt Collection Practices Act ( FDCPA ), and Uniform Commercial Code ( UCC ). I am requesting deletion of this tradeline due to unlawful reporting and a formal investigation into their actions.

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