Consumer complaint received 2026-06-29 00:00:00
Product: Vehicle loan or lease — Loan
Issue: Managing the loan or lease — Problem with fees charged
Company: Karwaala Inc
State: TX

Complaint narrative:
OFFICIAL CONSUMER COMPLAINT Date : XX/XX/year> Complainant Name : XXXX XXXX Complainant Phone : XXXX Complainant Email : XXXX Respondent Business Name : Karwaala Finance ( associated with Southwest Mitsubishi ) Respondent Contact Info : XXXX Account Number : XXXX SUBJECT : Formal Complaint Against Karwaala Finance for Unfair Collection Practices and Refusal of Medical Hardship Accommodation 1. EXECUTIVE SUMMARY I am filing a formal complaint against Karwaala Finance regarding their predatory, inflexible, and unconscionable handling of my auto loan account during a severe medical emergency. I suffered a significant XXXX XXXX that temporarily impacted my income and ability to pay. Despite my immediate, proactive outreach to establish a temporary payment plan or extension, Karwaala Finance has completely refused to offer any hardship accommodation, acting with aggressive disregard for my physical and financial well-being. XXXX. CHRONOLOGICAL TIMELINE OF EVENTS * XX/XX/year> : I suffered a XXXX XXXX XXXX resulting in XXXX XXXX XXXX XXXX XXXX XXXX * XX/XX/year> : I was evaluated by my physician regarding the XXXX XXXX XXXX Due to the severity of the injury, the physical limitations, and the necessary treatment plan, my doctor placed me on strict medical leave and explicitly ordered me not to return to work until XX/XX/year>. This sudden loss of income temporarily impacted my ability to make my full auto loan payment. * XX/XX/year> : I proactively contacted Karwaala Finance at XXXX to inform them of my XXXX XXXX XXXX XXXX and my doctor-ordered work restriction. I requested a temporary hardship accommodation, extension, or reduced payment plan until I could return to work. * XX/XX/year> : Karwaala Finance completely denied my request for medical hardship assistance. The representative was highly inconsiderate of my physical trauma, refused to work out a solution, and demanded immediate full payment under the threat vehicle shutdown and repossession.On XX/XX/year> after it was towed XX/XX/year> with no notice according to the contract ; She stated that I get behind two payments they can tow it but I stated that from my understanding it was not two but three and I requested a copy of my contract and she said she would sign submit a request and that it will take up to 4 to 5 business days. On XX/XX/year>, I also requested a condition report from the towing of my vehicle but the company did not responded back through text. So, yes I ended up getting it back paying two compund payments and partial tow fee which other fees will be added to my car payments.My vehicle has scratch marks on my passenger front side rim and pulls the right side while driving indicating possible alignment damage. On XX/XX/year> after returning to work for a week I requested a extension due to I wont get paid until next Friday they rejected my request and and my vehicle will be shut down XX/XX/year> leaving me stranded for work. XXXX. NATURE OF THE COMPLAINT & CONSUMER HARM * Lack of Loss Mitigation Options : Karwaala Finance is failing to provide standard industry loss mitigation or good-faith negotiation to a consumer facing a documented, temporary medical crisis. * Aggressive Collection Tactics : The lenders refusal to note my account or offer a reasonable pathway forward constitutes predatory and heavy-handed collection behavior aimed at a vulnerable consumer recovering from a physical injury. * Threat to Essential Transportation : I rely entirely on this vehicle to travel to my mandatory medical appointments and rehabilitation. Karwaala Finances aggressive stance puts my ongoing medical recovery and health at severe risk. XXXX. ATTACHMENTS PROVIDED To verify my claims, I have attached the following documentation to this file : * Attachment A : Redacted medical documentation ( doctors note ) dated XX/XX/year> confirming my XXXX XXXX and my work restriction through XX/XX/year>. XXXX. DESIRED RESOLUTION I am requesting that the regulatory authorities intervene to compel Karwaala Finance to : XXXX. Halt any immediate repossession or vehicle disablement actions while this dispute is open. XXXX. Establish a formal, temporary Medical Hardship Program on my account, such as a 30-to-60-day payment deferral or a temporary partial-payment structure. XXXX. Waive any late fees accumulated directly as a result of their refusal to cooperate during this medical crisis. XXXX. Ensure I get a copy of contract and tow condition report which I requested Respectfully submitted, XXXX XXXX

Company public response: Company disputes the facts presented in the complaint
Company response to consumer: Closed with explanation