Consumer complaint received 2025-11-09 00:00:00
Product: Vehicle loan or lease — Loan
Issue: Repossession — Loan balance remaining after the vehicle is repossessed and sold
Company: Steel Lending Group LLC
State: OR

Complaint narrative:
COMPANY INFORMATION : Company Name : Steel Lending Group Product : Vehicle loan / Lease Sub-product : Loan Issue : Managing the loan or lease Sub-issue : Problem with the payoff process at the end of the loan COMPLAINT DETAILS : SUMMARY : XXXX XXXX XXXX illegally repossessed my vehicle in XXXX without proper notice, sold it in a commercially unreasonable manner, refused to return my personal property, and is now reporting false information to credit bureaus despite multiple violations of federal and state law. Their conduct violates the Fair Credit Reporting Act, Fair Debt Collection Practices Act, and constitutes unfair, deceptive, and abusive acts and practices ( UDAAP ). 

DETAILED COMPLAINT : In XXXX, XXXX XXXX XXXX financed my vehicle purchase from XXXX XXXX, a Washington State dealer. The vehicle was misrepresented as inspected and in good condition but immediately required significant repairs. I notified Steel Lending Group via certified letter about these issues, but they took no action.

FEDERAL LAW VIOLATIONS : 1. FAIR CREDIT REPORTING ACT VIOLATIONS ( 15 U.S.C. 1681 ) Steel Lending Group is reporting this account negatively to all three credit bureaus despite : - Illegal repossession without required notice - Commercially unreasonable sale of the vehicle - Invalid deficiency balance due to statutory violations Under 15 U.S.C. 1681s-2 ( a ) ( 1 ) ( A ), furnishers are prohibited from reporting information they know or have reasonable cause to believe is inaccurate. Steel Lending Group 's reporting is false and inaccurate because : - They violated repossession procedures under Oregon law ( ORS 79.0609-79.0611 ) - They sold the vehicle in a private sale to a dealership ( not at auction ) without notice or competitive bidding - They failed to provide legally required accounting - Under Oregon law ( ORS 79.0625 ), their violations eliminate any valid deficiency Their credit reporting is causing direct harm to my ability to secure housing, employment, and additional credit. I am currently applying for affordable housing and this false reporting may disqualify me.

2. UNFAIR, DECEPTIVE, AND ABUSIVE ACTS AND PRACTICES ( UDAAP ) Steel Lending Group 's conduct constitutes UDAAP under the Dodd-Frank Act : UNFAIR : Their repossession and sale practices cause substantial injury that consumers can not reasonably avoid and that is not outweighed by benefits : - No pre-repossession notice denying opportunity to cure - No notice of sale denying redemption rights- Below-market private sale without competitive bidding - False credit reporting based on invalid debt DECEPTIVE : They misrepresented : - That the vehicle was properly inspected before financing - That they conducted a legally compliant repossession and sale - That they have a valid deficiency claim to report to credit bureaus ABUSIVE : They took unreasonable advantage of : - My lack of understanding of my legal rights under UCC Article 9 - My inability to protect my interests during the repossession and sale process - My vulnerable financial position as a person with disabilities receiving prior disability benefits 3. FAIR DEBT COLLECTION PRACTICES ACT ( 15 U.S.C. 1692 ) Steel Lending Group 's collection practices violate the FDCPA : - Using unfair or unconscionable means to collect ( illegal repossession and sale ) - Reporting or threatening to report false credit information - Failing to validate the debt despite their statutory violations making it invalid 4. ADDITIONAL VIOLATIONS - Conversion of personal property ( refused to return belongings from vehicle ) - Violation of state UCC Article 9 requirements creating federal preemption issues- Potential violations of Military Lending Act protections ( if applicable ) TIMELINE OF EVENTS : XXXX ( Early ) : Purchased vehicle financed by Steel Lending Group from Used LLC XXXX : Vehicle immediately needed repairs ; sent certified letter to Steel Lending Group 2024 : Steel Lending Group took no action regarding misrepresented collateral XXXX  : Steel Lending Group repossessed vehicle WITHOUT any notice XXXX  : Steel Lending Group sold vehicle privately to XXXX, OR dealership WITHOUT notice to me XXXX : Steel Lending XXXX XXXX XXXX information to credit bureaus Present : Applying for affordable housing ; false credit reporting XXXX disqualify me HARM SUFFERED : XXXX CREDIT DAMAGE : False reporting on all three bureaus affecting : - Housing applications ( currently applying for affordable housing at XXXX XXXX ) - Employment opportunities - Future credit access - XXXX XXXX reduction XXXX. XXXX XXXX : - Loss of vehicle and transportation - Loss of personal property in vehicle - Potential liability for invalid deficiency balance - Increased housing and transportation costs XXXX. EMOTIONAL DISTRESS : - Anxiety over ongoing collection threats - Stress from credit damage and housing insecurity - Fear of legal action on an invalid debt 4. VIOLATION OF LEGAL RIGHTS : - Denied opportunity to cure default - Denied redemption rights - Denied right to commercially reasonable sale - Denied access to personal property COMPANY RESPONSE ( if any ) : Steel Lending Group has not responded to my demand letter ( sent [ Date ] ) requesting : - Deletion of credit reporting - Full accounting of sale - Waiver of claimed deficiency - Return of personal property DESIRED RESOLUTION : I request that the CFPB : 1. INVESTIGATE Steel Lending Group 's practices for systematic violations of consumer protection laws 2. ORDER Steel Lending Group to : a. IMMEDIATELY DELETE all negative credit reporting from Experian, Equifax, and TransUnion b. PROVIDE full accounting of the vehicle sale with documentation c. WAIVE any claimed deficiency balance due to their statutory violations d. COMPENSATE me for converted personal property e. CEASE all collection activities on this invalid debt 3. IMPOSE PENALTIES for violations of FCRA, FDCPA, and UDAAP provisions 4. DETERMINE if Steel Lending Group has engaged in similar practices with other consumers 5. PROVIDE me with written confirmation of all corrective actions SUPPORTING DOCUMENTATION : I have attached/can provide : - Demand letter to Steel Lending Group ( dated [ Date ] ) - Mechanic 's inspection reports documenting vehicle misrepresentation - Certified mail receipt for letter notifying them of vehicle issues- Credit reports showing negative reporting - [ Any other relevant documentation ] ADDITIONAL INFORMATION : I am a vulnerable consumer with documented XXXX who previously received XXXX benefits for 2.5 years. Steel Lending Group 's practices took unreasonable advantage of my financial situation and lack of legal knowledge. Their illegal conduct is now preventing me from accessing affordable housing through the N/NE Preference Policy , causing ongoing harm.

This complaint is submitted in conjunction with complaints to : - Oregon Attorney General 's Consumer Protection Division - Oregon Division of Financial Regulation I am available to provide additional information and documentation as needed for the investigation. 

CONTACT INFORMATION : Name : XXXX XXXX Address : XXXX XXXX XXXX XXXX XXXX XXXX, Or XXXX Phone : XXXX Email : XXXX Preferred Contact Method : Email I consent to CFPB sharing this complaint with the company and request a response within 15 days. 

Date : XXXX XX/XX/XXXX Signature : XXXX XXXX

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