Consumer complaint received 2025-05-15 00:00:00
Product: Payday loan, title loan, personal loan, or advance loan — Earned wage access
Issue: Issues with repayment — 
Company: EGL US, LLC
State: FL

Complaint narrative:
I am writing to formally file a complaint regarding the mishandling of my loan, BMG Moneys failure to honor its contractual obligations, and the financial harm caused by a retroactive change in payment policy. Despite my full compliance with the signed loan terms, I have been wrongfully penalized and misclassified as delinquent. 

On XX/XX/XXXX, I entered into a loan agreement with BMG Money in the amount of {$6000.00}, with bi-weekly payments of {$110.00} beginning XX/XX/XXXX, via payroll deduction through my employer, XXXX XXXX XXXX XXXX. On the same date, I completed and signed a Payroll Deduction Authorization Form authorizing these deductions. 

However, on XX/XX/XXXX, I was contacted by a BMG representative who informed me that I had missed a loan payment dated XX/XX/XXXX. This was the first time I was made aware of any issue. I explained that payments were set to be automatically deducted via payroll, as authorized in my agreement. The representative ignored this explanation, placed full responsibility on me, and failed to investigate further. I was instead repeatedly warned about delinquency penalties. 

After consulting with my employers Payroll and Benefits Departments, I learned this issue had affected multiple employees due to a misalignment between BMGs expectations and the Districts payroll deduction schedule. Despite this being a known systemic issue, I received additional delinquency notices from BMG on XX/XX/XXXX and XX/XX/XXXX, and my account now reflects four missed payments, which I dispute. This misreporting has placed my credit at risk and caused considerable stress. 

On XX/XX/XXXX, I spoke with XXXX XXXX XXXX XXXX Director of Benefits, who confirmed that the error stemmed from there being three pay periods in XXXX, but only two were scheduled for deductions. She noted that BMG followed this schedule but still marked the XX/XX/XXXX payment as missed. Despite acknowledging this payroll deduction issue, both XXXX XXXX and XXXX XXXX XXXX, BMGs Senior Vice President, instructed me to make the past-due payments manually. 

This instruction contradicts the terms and intent of my loan documentation. Specifically : Promissory Note ( XXXX ) I authorized payroll deductions to fulfill my loan obligation as a convenient and primary method of payment. 

The note clearly states that I may revoke payroll authorization. However, it does not permit BMG to alter, override, or retroactively shift the payment method or responsibility without notice or consent.

There is no clause that allows BMG to assign fault to the borrower for deduction failures caused by third-party payroll systems.

Excerpt : I may have authorized and requested periodic allotments, direct deposits, or payroll deductions I HAVE VOLUNTARILY AND KNOWINGLY MADE ANY SUCH AUTHORIZATION, AND I HAVE THE RIGHT TO REVOKE Payroll Deduction Authorization Form ( XXXX ) I signed a document authorizing bi-weekly payroll deductions of {$110.00} beginning XX/XX/XXXX. 

The form clearly indicates deductions would align with the employers payroll processingnot BMGs internal schedule. 

Nowhere does it permit BMG to request manual payments unless deductions failed and the borrower was properly notified. 

XX/XX/XXXX BMG Communication This notice confirms that BMG unilaterally changed its business model and will no longer follow the Districts deduction calendar.

The policy now requires borrowers to log in and make manual payments during non-deduction weeks.

This policy was introduced months after my loan was signed, and can not be applied retroactively to existing agreements.

No Legal Language Permits Retroactive Deduction Schedule Changes There is no clause in my Promissory Note or Authorization Form that : Grants BMG the right to override the employers deduction calendar.

Permits BMG to shift responsibility to borrowers when deductions fail due to system issues.

Authorizes BMG to impose retroactive payment responsibilities without proper notification and agreement.

Summary Conclusion BMG Money is not contractually authorized to hold me responsible for payroll deduction failures that occurred while I was fully compliant with the terms of my agreement. The XX/XX/XXXX policy update does notand legally cannotapply to loans signed prior to its issuance. The attempt to enforce it retroactively is unsupported by the documentation and has resulted in : False delinquency reporting Credit risk and reputational damage Unexpected out-of-pocket expenses Unwarranted emotional and financial stress I am requesting the following within ten ( 10 ) business days : Immediate correction of my account to remove all false delinquency status.

Written confirmation that no negative credit reporting has occurred or will occur related to this issue.

Assurance that original payroll deduction agreements will be honored for loans signed prior to XX/XX/XXXX. 

Financial relief or adjustment options to resolve the strain created by this improper policy enforcement.

Company response to consumer: Closed with explanation