Consumer complaint received 2024-12-28 00:00:00
Product: Vehicle loan or lease — Loan
Issue: Getting a loan or lease — Changes in terms mid-deal or after closing
Company: CREDIT ACCEPTANCE CORPORATION
State: MN

Complaint narrative:
Subject : XXXX XXXX XXXX XXXX XXXX XXXX, XXXX XXXX, and Credit Acceptance Dear Consumer Financial Protection Bureau, I am writing to formally file a complaint against XXXX XXXX XXXX, XXXX XXXX, and Credit Acceptance regarding a vehicle purchase that involved deceptive advertising, failure to disclose material information, and improper lending practices. 

Parties Involved : XXXX XXXX XXXX. 

XXXX XXXX XXXX XXXX ( the financing company involved ) Vehicle Information : Make and Model : XXXX XXXX XXXX XXXX : XXXX Date of Purchase : XX/XX/XXXX Detailed Complaint : Deceptive Advertising and Misrepresentation : In XX/XX/XXXX, I was in the market for a reliable van to support my small, family-owned business. I found a XXXX XXXX XXXX listed by XXXX XXXX XXXX, advertised as being in " excellent condition '' and backed by a XXXX warranty. Trusting their advertisement and reputation, I submitted a credit application to XXXX XXXX, including sensitive personal and financial information such as my bank statements and utility bill. 

Shortly after, I received a call from XXXX XXXX, the owner of XXXX XXXX, informing me that my financing was approved. We agreed on a {$5000.00} down payment, and I was instructed to visit XXXX XXXX on XX/XX/XXXX to test drive the XXXX and finalize the purchase. 

When I arrived at XXXX XXXX on XX/XX/XXXX, XXXX test drove the XXXX and decided to move forward with the purchase. However, XXXX then informed me that I needed to go to a different location to sign the paperwork. He handed me a business card with an address and directed me to XXXX XXXX, a dealership I had no prior knowledge of. Up until that moment, I believed everything was being handled through XXXX XXXX. 

At XXXX XXXX, I met XXXX XXXX, the owner. During the signing process, XXXX informed me at the last moment that the sale was as-is and the advertised warranty did not apply because the van was classified as a commercial vehicle. This critical detail was never disclosed during negotiations or in the advertisement. Feeling trapped after signing most of the paperwork, I proceeded with the purchase. XXXX then instructed me to return to XXXX XXXX to hand over the {$5000.00} down payment directly to XXXX. Before I left, XXXX made an unusual comment : If the financing company asks, tell them you bought the XXXX from me. 

Concealed Mechanical Issues and Warranty Misrepresentation : Less than six weeks later, on XX/XX/XXXX, the van suffered a catastrophic engine failure, losing all power while driving and becoming completely inoperable. A mechanic discovered aftermarket gaskets in the engineindicating prior substantial repairsand found no compression on XXXX side of the engine, likely due to a timing chain failure. There were no dashboard warning lights, raising concerns about whether the warning systems were functioning properly or tampered with. 

When I contacted both dealerships, they initially agreed in writing to replace the engine. However, XXXX XXXX later rescinded his offer, claiming I was being weird because I sought legal advice to protect my rights. Neither dealership provided the documentation I requested, including my credit application, inspection reports, or disclosures about the vans condition. 

Improper Lending Practices : XXXX XXXX transferred my personal and financial information to XXXX XXXX without my knowledge or consent. Credit Acceptance financed the purchase despite clear indications of unethical practices and misrepresentation. Their approval facilitated a transaction that has left me with a non-functional vehicle and significant financial losses.

Timeline of Events : XX/XX/XXXX : Found the van advertised by XXXX XXXX. 

XX/XX/XXXX : Test drove the van at XXXX XXXX, was redirected to XXXX XXXX to sign paperwork, and paid {$5000.00} down to XXXX XXXX 

XX/XX/XXXX : The van experienced catastrophic engine failure. 

XX/XX/XXXX : Contacted both dealerships, who initially agreed to replace the engine but later refused to honor their commitments.

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation