Consumer complaint received 2025-11-13 00:00:00
Product: Vehicle loan or lease — Loan
Issue: Managing the loan or lease — Billing problem
Company: Exeter Finance, LLC.
State: FL

Complaint narrative:
Subject : FORMAL NOTICE OF DISPUTE, LEGAL VIOLATION NOTICE & LITIGATION HOLD Exeter Finance Account # XXXX -- - XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX, XXXX  XXXX Phone : ( XXXX ) XXXX Email : XXXX Co-Signer : XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXXXXXX XXXX XXXXXXXX XXXX : ( XXXX ) XXXX Email : XXXX Date : XX/XX/XXXX -- - Exeter Finance LLC Office of the President Attn : XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX, XXXX  XXXX -- - Re : Formal Demand, Comprehensive Legal Violation Notice, and Litigation Hold Account No. XXXX ( Original Balance : {$18000.00} ) Borrower : XXXX XXXX XXXX XXXX Co-Signer : XXXX XXXX XXXX -- - Office of the President and Exeter Compliance Department, This communication serves as a Formal Notice of Dispute, a Comprehensive Legal Violation Notice, and a Litigation Hold Letter regarding the materially inaccurate servicing, accounting, and credit reporting practices applied to the above-referenced auto loan. 

A full forensic audit of your servicing practices including my payment history, ledger activity, and verified call transcripts reveals a pattern of material errors, omissions, and deceptive practices consistent with previously documented enforcement actions involving XXXX XXXX XXXX, an organization linked to Exeter leadership. The severity and breadth of these violations require immediate executive-level intervention. 


-- - I. SYSTEMIC OPERATIONAL & ACCOUNTING FAILURES 1. Improper Interest Accrual & Misapplication of Payments Your internal calculations reflect inconsistent simple-interest methodology. Multiple payments including overpayments were misapplied, diverted into future buckets, misallocated to fees, or posted in a way that artificially delayed principal reduction. This violates the contractual waterfall of Interest Principal Fees and mimics patterns associated with negative amortization.

2. Deceptive Extension Practices ( TILA/UDAAP Violations ) Loan extensions were applied without clear, conspicuous disclosure of their financial consequences. Neither I nor my co-signer were informed that daily interest would continue to accrue during the deferral period, materially increasing the total cost of the loan. This constitutes a Deceptive Omission under UDAAP and violates TILA/Regulation Z disclosure requirements.

Your own representative admitted during recorded calls that interest continues to accumulate because the balance doesnt update, and that a borrower must call back to ensure proper principal application a practice unsupported by the contract or any consumer finance regulation. 

3. Third-Party Fee Irregularities Your partnership with XXXX XXXX involved payment processing fees not properly disclosed under Regulation Z. This includes ACH timing representations and interest-impact misstatements, violating TILAs requirements for fee and payment transparency. 

4. Admissions of Servicing Failure ( Verified Call Transcripts ) All calls were lawfully recorded based on Exeters initiation of consent ( This call may be monitored or recorded ), which satisfies 18 U.S.C. 2511 ( 2 ) ( d ) and Florida Stat. 934.03 ( 2 ) ( d ).

Your representatives admitted, among other things : You need to call back after the payment posts or it will not apply correctly. 

The balance doesnt update right away, interest continues anyway. 

Those extensions would be a major factor they do acquire a lot of interest. 


These statements confirm internal operational inconsistency and support a finding of Unfair Servicing Practices. 


-- - II. LEGAL VIOLATIONS & REGULATORY GROUNDING The following statutes and regulations were violated by Exeters servicing and reporting practices : 1. FAIR CREDIT REPORTING ACT ( FCRA ) 15 U.S.C. 1681s-2 ( a ) & ( b ) Reporting different delinquency severities across bureaus ( 60 DPD vs. 90 DPD for XX/XX/XXXX ). 

Reporting false loan terms ( 60-month term/ {$390.00} payment ). 

Missing payment data ( ND, X, or blank periods ). 

Failure to conduct a reasonable reinvestigation after receiving a dispute. 


2. TRUTH IN LENDING ACT ( TILA ) REGULATION Z 12 C.F.R. 1026.17, 1026.36, 1026.39 Failure to disclose financial impact of extensions. 

Failure to provide meaningful interest-accrual disclosures. 

Inaccurate or misleading payment-application representations. 

Failure to promptly credit payments as required by 1026.36 ( c ) ( 1 ) ( i ).

3. RESPA REGULATION X 12 C.F.R. 1024.35 & 1024.36 Failure to acknowledge my Notice of Error within 5 business days.

Failure to investigate and correct errors within 30 business days.

Failure to provide requested servicing documentation.

4. DODD-FRANK ACT UDAAP 12 U.S.C. 5531 & 5536 Deceptive omissions regarding extension consequences. 

Unfair payment posting and interest practices. 

Abusive servicing structure forcing borrower intervention to correct Exeters errors.

5. STATE VIOLATIONS FLORIDA & TEXAS DTPA Your servicing conduct constitutes consumer-level violations of : Florida Deceptive & Unfair Trade Practices Act ( FDUTPA ) Texas Deceptive Trade Practices Act ( DTPA ) due to the omission of material facts, contradictory agent statements, and the financial harm incurred.

-- - III. LITIGATION HOLD ( MANDATORY ESI PRESERVATION ) Effective immediately, Exeter is required to preserve ALL : Call recordings IVR routing logs Payment posting metadata Internal servicing notes Extension workflow logs CRA furnishing logs and ACDV responses XXXX XXXX XXXX Any and all documents or electronic files pertaining to Account # XXXX All system-of-record ( XXXX ) logs and audit trails Spoliation Notice : Any destruction, alteration, overwriting, or purging of XXXX after this notice will result in immediate action for sanctions under : FRCP 37 ( e ) Zubulake v. UBS Warburg Silvestri v. General Motors Corp . 


You are formally on notice. 


-- - IV. REQUIRED ACTIONS WITHIN 10 CALENDAR DAYS To resolve this matter without arbitration or litigation, Exeter must provide : 1. Corrected Ledger A fully accurate payment ledger reflecting correct simple-interest application and removal of all misapplications.

2. Corrected Credit Reporting Written confirmation that all inaccurate CRA data has been deleted or corrected across XXXX XXXX XXXX XXXX.

3. Full Discovery Package Complete copies of all call recordings, servicing notes, account histories, and extension documentation. 


4. Written Resolution Proposal A proposal addressing the corrected balance, remediation of financial harm, and dispute resolution.

This response is due within 10 calendar days of this notice. 

In the absence of timely resolution, I will immediately escalate to XXXX arbitration and pursue all statutory remedies available under federal and state law. 


-- - V. ELECTRONIC SIGNATURE NOTICE By transmitting this email from my email address ( XXXX ), I intend this communication to constitute my electronic signature, authorization, and attestation to the accuracy of the facts and disputes stated herein. 

For the avoidance of doubt : I am not signing on behalf of XXXX XXXX XXXX. 

XXXX is included as co-signer and for notice and contact purposes only. 



-- - Respectfully, XXXX XXXX XXXX XXXX Primary Borrower Account # XXXX Phone : XXXX Email : XXXX XXXX

Company response to consumer: Closed with explanation