Consumer complaint received 2025-12-29 00:00:00
Product: Debt collection — Auto debt
Issue: False statements or representation — Attempted to collect wrong amount
Company: American Finance LLC
State: SC

Complaint narrative:
I am submitting this complaint regarding American Finances continued reporting of improper and unlawful interest on a charged-off auto repossession, along with the failure to substantiate the debt despite prior disputes. 

The account stems from a vehicle repossession that occurred in XX/XX/year>. The loan was charged off, closed, and later sold, yet American Finance has continued to add incremental interest over the past XXXX years, resulting in a changing balance being reported to the credit bureaus. 

This reporting is inaccurate, misleading, and unlawful for the following reasons : 1. Improper Post-Charge-Off Interest on a Closed Auto Loan Once an auto loan is charged off and closed, interest may only continue if : The original signed retail installment contract explicitly authorizes post-charge-off interest, and Such interest is permitted under applicable state law, and The party furnishing the account has legal assignment of interest rights. 

American Finance has never provided : The original signed contract Any contractual clause authorizing post-charge-off interest Any documentation showing lawful assignment of interest rights after resale of the debt Absent this proof, post-charge-off interest is unauthorized.

2. Inaccurate Credit Reporting Under the Fair Credit Reporting Act ( FCRA ) Despite the account being charged off years ago, the balance continues to change, which renders the tradeline inaccurate and misleading. 

Under 15 U.S.C. 1681e ( b ) and 1681i, furnishers and credit bureaus must ensure maximum possible accuracy and conduct a reasonable reinvestigation when disputes are raised.

I have previously disputed this account with the credit bureaus, yet the balance has not been corrected and interest continues to accrue. This demonstrates a failure to reasonably investigate under 15 U.S.C. 1681s-2 ( b ).

3. Failure to Provide Mandatory Auto Repossession Disclosures ( Delaware Law ) As this transaction involves a Delaware-based creditor, the following deficiencies are critical : Under Delawares Uniform Commercial Code ( 6 Del. C. 9-610, 9-615 ), after repossession a creditor must be able to document : The commercially reasonable sale of the vehicle The date and amount of sale How the sale proceeds were applied to the balance The calculation of any alleged deficiency American Finance has not produced : The bill of sale for the repossessed vehicle Proof of the sale amount Proof that sale proceeds were credited to the account A complete deficiency calculation Without this documentation, the reported deficiency balance is unverifiable.

4. Debt Was Sold Interest Rights Not Presumed This account has been re-sold, yet American Finance continues reporting interest without demonstrating : Proper chain of title A valid assignment of interest-charging authority Compliance with state and federal law Debt purchasers do not automatically inherit interest rights those rights must be expressly assigned and lawful. 

Formal Demand for Documentation I am requesting that American Finance be required to produce all of the following or delete the tradeline : The original signed retail installment contract The original bill of sale for the vehicle A complete payment history and ledger, to the XXXX Documentation showing post-charge-off interest authorization Proof of repossession sale, including sale price and date Proof the sale proceeds were applied correctly Proof of lawful assignment, including authority to charge interest Proof that the balance reported is accurate and lawful under Delaware law If this documentation can not be produced, continued reporting violates the FCRA and Delaware law and the account must be deleted.

Requested Resolution Immediate cessation of improper interest Deletion of the tradeline from all credit reports if documentation can not be substantiated Written confirmation of correction or deletion This complaint does not acknowledge the debt and is solely a demand for legal compliance and accurate reporting.

Company response to consumer: Closed with explanation