Consumer complaint received 2025-01-25 00:00:00
Product: Vehicle loan or lease — Loan
Issue: Getting a loan or lease — Credit denial
Company: SANTANDER HOLDINGS USA, INC.
State: GA

Complaint narrative:
Discrimination, Denial of Credit, Financial and Emotional Harm Due to System Verification Failures Beyond My Control on XX/XX/XXXX and XXXX, XXXX Complaint Details On XX/XX/XXXX and XX/XX/XXXX, I attempted to complete vehicle financing transactions through Santander via XXXX for a XXXX XXXX XXXX XXXX. Despite submitting complete and accurate information ( Social Security number, proof of income, proof of residence, and verified contact details ), I was initially approved and then ultimately denied credit due to verification system failures outside my control. 

The verification system ( XXXX ) failed to generate quiz questions required to confirm my identity, displaying the following error : Based upon the configuration settings for your account, XXXX was unable to create questions for this individual. 

After repeated attempts to resolve the issue, XXXX, a Santander representative, informed me that I must seek alternative financing due to the inability to verify my identity through their automated system. No reasonable alternatives, such as manual verification of submitted documents, were offered. 

This denial of credit has caused severe financial and emotional harm, as I am now without a vehicle to transport my XXXX XXXX  child to school and medical appointments. The absence of transportation has : Prevented my child from receiving an adequate education. 
Caused missed medical appointments critical to my childs health.

Created additional transportation costs and logistical challenges, placing a significant financial and emotional burden on my family. 

Furthermore, valuable consideration was not provided for the consumer credit applications submitted on XX/XX/XXXX and XXXX, XXXX, as these transactions were not designed to benefit me as a consumer but instead serve as instruments of financial markets after the third day. Valuable consideration requires that an individual receives a tangible or intrinsic benefit that is roughly equivalent to or greater than the value of the transferred asset. No such benefit was provided to me. 

Key Transaction Details : Vehicle : XXXX XXXX XXXX XXXX Purchase Price : {$31000.00} Transaction ID : XXXX Quiz Configuration : XXXX Date of Quiz Attempts : XX/XX/XXXX and XXXX, XXXX Laws Violated and Their USC Citations 1. Fair Credit Reporting Act ( FCRA ) 15 U.S.C. 1681 et seq. 
The FCRA ensures fair and accurate treatment of consumer information during verification processes. By failing to verify my identity due to system errors and refusing to offer a manual verification alternative, Santander and XXXX violated FCRA protections. 
Violation : Denial of credit based on incomplete or flawed verification systems violates the FCRAs accuracy and fairness provisions. 
2. Equal Credit Opportunity Act ( ECOA ) 15 U.S.C. 1691 et seq.

The ECOA prohibits lenders from discriminating based on race, color, national origin, or other protected characteristics. The refusal to provide reasonable verification alternatives disproportionately impacts marginalized and economically disadvantaged groups, creating a disparate impact.

Violation : Denying credit due to reliance on flawed verification processes constitutes unlawful discrimination under the ECOA.

3. Gramm-Leach-Bliley Act ( GLBA ) 15 U.S.C. 6801-6809 The GLBA mandates that financial institutions safeguard sensitive consumer information and ensure fair and compliant verification processes. Santander and XXXX failure to provide a secure and fair alternative verification method breaches this obligation. 
Violation : Failure to ensure alternative identity verification options violates the GLBAs safeguarding requirements. 
4. Americans with Disabilities Act ( ADA ) 42 U.S.C. 12101 et seq. 
The ADA requires businesses to provide reasonable accommodations to ensure equal access to services for individuals with disabilities. By failing to resolve the verification issue or provide manual alternatives, Santander and XXXX created barriers that directly harm my XXXX childs rights to transportation for education and medical care. 
Violation : Denial of equal access to financial services and transportation violates ADA Title III protections.

5. Consumer Financial Protection Act ( CFPA ) 12 U.S.C. 5531 et seq.

The CFPA prohibits unfair, deceptive, or abusive acts or practices ( UDAAP ). By failing to address system failures and refusing to provide reasonable alternatives, Santander and XXXX engaged in unfair and abusive practices. 
Violation : Refusal to resolve the verification issue and provide alternatives constitutes an unfair act under the CFPA. 
6. Failure to Provide Valuable Consideration Under contract principles, valuable consideration requires a consumer to receive tangible or intrinsic benefits in exchange for their transaction. The credit applications submitted on XX/XX/XXXX and XXXX, XXXX, provided no such benefits, as they served as instruments for financial markets after the third day. 
Violation : Denying credit without ensuring consumer benefit violates fundamental fairness in consumer credit transactions. 

Monetary Damages and Harm 1. Financial Harm : I have incurred significant additional costs for alternative transportation. 
My child has missed school days and critical medical appointments, leading to further financial and emotional strain. 
2. Emotional Distress : The inability to meet my childs educational and medical needs has caused severe emotional distress.

3. Claimed Compensation : Immediate compensation of {$50000.00} for financial damages, emotional harm, and the failure to provide valuable consideration.

Reassessment of financing applications submitted on XX/XX/XXXX and XXXX, XXXX, using manual verification of all submitted documents ( proof of income, proof of residence, and Social Security card ). 

Discriminatory Practices and Their Impact Santander and XXXX failed to provide reasonable accommodations for manual verification when their automated system failed. 
This refusal disproportionately impacts vulnerable consumers, such as those dependent on transportation for medical and educational needs. 
The lack of alternative processes represents systemic discrimination, violating ECOA and ADA protections.

Desired Resolution 1. Investigate Santander and XXXX for violations of FCRA, ECOA, GLBA, XXXX, and XXXX. 
2. Require Santander to approve financing after manual verification of the submitted documents.

3. Impose penalties on Santander and XXXX to ensure compliance with federal laws. 
4. Immediate compensation of {$50000.00} for financial and emotional damages resulting from their actions. 
5. Implement mandatory training for Santander and XXXX representatives to ensure compliance with all consumer protection and anti-discrimination laws. 

Supporting Documents 1. Screenshot of the XXXX error message indicating verification failure. 
2. Financing approval details showing initial approval pending verification. 
3. Itemized purchase agreement for the XXXX XXXX XXXX XXXX from XXXX. 
4. Correspondence with XXXX XXXX AND XXXX AND Santander representative XXXX regarding refusal to provide alternative verification or financing.

Company response to consumer: Closed with explanation