Consumer complaint received 2025-12-18 00:00:00
Product: Vehicle loan or lease — Loan
Issue: Repossession — Deficiency balance after repossession
Company: UNIVERSAL ACCEPTANCE CORPORATION (NE)
State: WA

Complaint narrative:
In XX/XX/XXXX, my XXXX XXXX XXXX was repossessed by CarHop. After the repossession, the vehicle was sold at auction, and CarHop reported a deficiency balance that they claim I still owe. I believe this balance is inaccurate, legally unenforceable, and inconsistent with the actual sale price of the vehicle. CarHops own deficiency letter reflects a sale price that is implausible and does not match statements that the vehicle sold for a substantially lower amount. The deficiency calculation, as reported, is unsupported and inconsistent, and I have reason to believe that CarHop  has acted in bad faith by attempting to collect a debt without providing any verification or documentation. 

I formally disputed the deficiency and demanded proof of a commercially reasonable sale pursuant to UCC Article 9 ( 9-610, 9-611, 9-613, and 9-626 ). I specifically requested documentation supporting the alleged sale, including auction details, bids, notices, condition reports, and a detailed calculation of the remaining balance. Despite these requests, CarHop has failed to provide any of this documentation. Their repeated refusals to substantiate the deficiency suggest reckless disregard for accuracy and compliance with federal and state law. 

I submitted multiple written disputes to CarHop, including emails that were rejected as mailbox full, preventing effective communication. Despite these attempts, CarHop continues to report the alleged deficiency to credit bureaus without providing validation or proof. I also disputed the reporting with Experian, but my dispute was denied in less than 48 hours without a thorough review of the documentation and evidence I provided, which indicates that my dispute was not properly investigated. The continued reporting of this inaccurate balance is negatively affecting my credit score, impeding my ability to obtain financing, and causing significant financial and emotional stress.

CarHops actions constitute violations of the Fair Credit Reporting Act ( 15 U.S.C. 1681s-2 ), which requires accurate reporting and proper investigation of disputes, as well as the Fair Debt Collection Practices Act, which prohibits attempting to collect amounts that are not verified or legally enforceable. The companys failure to provide documentation, combined with their ongoing attempts to collect and report this deficiency, demonstrates bad faith and a pattern of improper conduct. 

I have made every reasonable effort to resolve this issue directly with CarHop, including multiple written disputes and requests for proof, all of which have been ignored or rejected. Despite these efforts, the company has continued reporting and attempting to collect the disputed balance. I am requesting that CarHop immediately delete the alleged deficiency tradeline from all credit reports, correct any inaccurate reporting, permanently cease all collection activity related to this disputed balance, and provide full documentation and proof of the vehicle sale, including auction details, bids, notices, condition reports, and the calculation of the deficiency, in compliance with UCC Article 9. I am seeking immediate resolution in accordance with applicable law.

Company public response: Company believes it acted appropriately as authorized by contract or law
Company response to consumer: Closed with explanation