Consumer complaint received 2025-04-04 00:00:00
Product: Vehicle loan or lease — Loan
Issue: Managing the loan or lease — Problem with fees charged
Company: SECURITY FINANCE CORP
State: NC

Complaint narrative:
For reference, I previously filed CFPB Complaint ID XXXX regarding Professional Financial Services ( PFS ), which remains unresolved. Additionally, CFPB Complaint ID XXXX was filed regarding XXXX XXXX  XXXX XXXX and is still under internal review by your agency. 
Both complaints are directly related to this matter and form a clear, connected pattern of consumer harm, involving collusion, fraudulent and illegal loans, predatory lending practices, ADA violations, and unlawful servicing schemes between the originating dealer and the lender. 
I financed a vehicle through XXXX XXXX XXXX XXXX, who prepared and submitted my loan paperwork to Professional Financial Services ( PFS ). At no point during the transaction was I informed of any recurring payment fees. After the loan was signed, I received a call from someone at PFS. I was at work and not focused on the call, but I understood the fee they mentioned applied only to phone payments not regular mobile app payments. 
Later, when I attempted to make a payment, I discovered that PFS charges a {$4.00} fee on every single monthly payment made through their mobile app which is the only digital payment method they offer. There is no online payment portal, no ACH, and no way to make an electronic payment without this recurring fee. 
Over a 60-month term, this illegally adds {$290.00} in undisclosed junk fees to the total loan cost on top of a 15.99 % APR. This charge was never disclosed at the time of signing, and it only became apparent after trying to use their app. This is a hidden finance charge not a convenience fee and it violates multiple consumer protection laws. 
The only free method PFS offers is to mail in a physical check, which : Is inaccessible to me Is outdated, unreliable, and insecure in 2025 - like being told I can only watch a movie by renting a VHS tape May not be a realistic option for many consumers Creates serious difficulty for XXXX individuals like myself Constitutes a violation of the Americans with Disabilities Act ( ADA Title III ) due to no reasonable accommodations being offered I received a phone call from PFS a few days after the purchase, where they briefly mentioned a payment fee. I understood that fee to apply only to phone payments not through the app. At no point was I informed, verbally or in writing, that every payment made through their app would include a recurring fee. 
Over 60 months, this adds nearly {$300.00} in hidden costs on top of a 15.99 % APR making the loan even more expensive and harder to manage. This fee was never disclosed at the time of signing, and I was not given any documentation from PFS disclosing it. 
This system forces consumers into one of three illegal outcomes : 1. Pay nearly {$300.00} in hidden, recurring junk fees over the life of the loan 2. Use an obsolete, inaccessible, and unreliable method ( paper check ), which should not be acceptable in modern lending 3. For XXXX consumers like myself : Face discrimination through non-accessible systems with no reasonable accommodations, in direct violation of the Americans with Disabilities Act ( ADA Title III ) Violations of Law : Truth in Lending Act ( TILA ) : Failure to disclose recurring, unavoidable payment fees ADA Title III : Discrimination by only offering a free payment option ( mailing checks ) that is not accessible to XXXX consumers Unfair/Deceptive Acts or Practices ( UDAP ) : Coercing consumers into fee-based payment methods while hiding costs Tennessee state lending laws : Failure to provide clear and complete loan terms I contacted PFS about the fraudulent loan, and they refused to speak with me. I was told that I could not speak to them directly and that they would only speak to an attorney if I hired one. As the borrower legally bound to this loan, I have the right to request documents and dispute the loan. This refusal is a direct violation of federal law. 
To this day, PFS has never provided me with a copy of the finalized loan agreement from their side. I only have the documents the dealership handed me nothing official from the lender. This obstructs my right to validate and dispute the loan and further supports that this loan is fraudulent and improperly serviced. 

Further Violations of Law : Truth in Lending Act ( 15 U.S.C. 1638 ( a ) ) Failure to disclose recurring, mandatory finance charges. The {$4.00} fee is not optional and is tied to the only viable way to make payments. It qualifies as a finance charge and was never disclosed in the TILA box at the time of signing. Labeling it a convenience fee does not exempt it from disclosure. 
Fair Debt Collection Practices Act ( 15 U.S.C. 1692g ) Refusing to allow me, the borrower, to dispute or validate the debt. Denying communication unless I hire legal counsel is unlawful.

Tennessee Consumer Protection Act ( Tenn. Code Ann . 47-18-104 ( b ) ) Engaging in fraudulent, deceptive, and unfair loan servicing practices.

Americans with Disabilities Act ( 42 U.S.C. 12182, Title III ) Failure to provide accessible, non-discriminatory payment options and no reasonable accommodations for XXXX consumers. 

Tennessee Contract Law Refusing to provide a copy of the full loan agreement and acting in bad faith by withholding key contractual documentation. 


Additionally, this loan is fraudulent and unenforceable under both state and federal law. 
Under the Tennessee Consumer Protection Act and applicable contract law, consumers are not responsible for paying fraudulent or deceptive loans. 

Under the FTC Holder Rule ( 16 C.F.R. 433 ), I have valid claims and defenses against XXXX XXXX XXXX for fraud and deception, and therefore those same defenses apply against PFS, who took assignment of the loan. 

PFS can not legally continue to collect on this debt and must seek restitution from XXXX XXXX XXXX not me. 
This situation represents more than just poor communication or oversight it reflects a pattern of collusion between XXXX XXXX XXXX XXXX and Professional Financial Services ( PFS ) to push a fraudulent loan, enriched with undisclosed junk fees and structured in a way that targets vulnerable consumers. The result is a predatory loan arrangement that violates federal and state law, bypasses transparency, and blocks the borrower from access, dispute, or resolution.

Company response to consumer: Closed with explanation