Consumer complaint received 2026-04-30 00:00:00
Product: Vehicle loan or lease — Lease
Issue: Incorrect information on your report — Account status incorrect
Company: Car World Group
State: AR

Complaint narrative:
I am filing this complaint regarding inaccurate credit reporting by Car World related to an auto loan account that resulted in repossession in XXXX. After the repossession, the vehicle was sold at auction for approximately {$5000.00}. At the time of repossession, the balance was approximately {$20000.00}, leaving a deficiency balance of around {$15000.00}. Despite the repossession and liquidation of the vehicle, Car World is currently reporting this account to the credit bureaus as an active installment account with an ongoing monthly payment obligation ( $ XXXX ). This is inaccurate and misleading. This account is no longer an active installment loan and should not be reported with a monthly payment. Once a vehicle has been repossessed and sold, the loan is no longer active. The proper reporting status should reflect a charged-off or closed account with a deficiency balance, not an open installment account with a monthly payment. Reporting this as an active installment account is materially inaccurate and directly impacts my debt-to-income ratio, preventing me from qualifying for a mortgage loan. This reporting fails to comply with the Fair Credit Reporting Act ( FCRA ), including : 15 U.S.C. 1681s-2 ( a ) ( 1 ) ( A ) Prohibits furnishing inaccurate information 15 U.S.C. 1681s-2 ( a ) ( 2 ) Requires correction of inaccurate information 15 U.S.C. 1681e ( b ) Requires maximum possible accuracy I have attempted to resolve this matter directly with Car World. I contacted them and offered to make monthly payments toward the remaining balance in good faith. Car World refused to provide any reasonable repayment arrangement and instead demanded a lump sum payment of {$2000.00} within a very short time as the only option, which was not financially feasible for me. Despite my efforts to resolve the debt responsibly, they have continued reporting the account inaccurately. This inaccurate reporting is causing significant financial harm. It is being counted as an active monthly obligation, which is inflating my debt-to-income ratio and preventing me from qualifying for a home loan. I am currently working with a lender, and this issue is the primary barrier to approval. I am requesting that Car World : Immediately correct the credit reporting with all three credit bureaus to reflect : Account status : Charged-Off / Closed Monthly payment : {$0.00} Accurate remaining balance Cease reporting this account as an active installment loan Provide written documentation emailed to XXXX including : A Charge-Off Letter A Deficiency Balance Statement Proof of auction sale Conduct a full investigation into their reporting practices to ensure compliance with federal law I am prepared to provide supporting documentation, including communication records showing my attempt to resolve this account. I am requesting prompt resolution of this matter due to the immediate financial impact this inaccurate reporting is causing.

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