Consumer complaint received 2025-05-06 00:00:00
Product: Vehicle loan or lease — Loan
Issue: Problems at the end of the loan or lease — Unable to receive car title or other problem after the loan is paid off
Company: MECHANICS BANK
State: CA

Complaint narrative:
This letter serves as a formal legal notice and a demand to cease and desist from any attempts to repossess, collect, or otherwise assert control over the above-referenced vehicle. 

I have filed and mailed to your institution a Form 1099-C - Cancellation of Debt, lawfully discharging the account associated with this vehicle. You have received prior notice of this cancellation, and refusal to acknowledge it will constitute further bad-faith conduct. 

Servicing of this account was transferred to XXXX XXXX XXXX as of XXXX XXXX XXXX, while you retain a lien that you refuse to release. This creates a disputed legal status in which no party has full standing to collect, enforce, or repossess. 

I have initiated the lien release process with the XXXX DMV. As required, I have given your office 30 calendar days to respond. Failure to comply will result in DMV-accepted evidence of non-cooperation, at which point I will proceed to obtain a bonded title in my name, lawfully excluding your interest. 

Additionally, I previously filed complaints with the Consumer Financial Protection Bureau ( CFPB ), XXXX  DFPI, FDIC, and tXXXX XXXX XXXX XXXX regarding Mechanics Bank 's ongoing practice of issuing electronic statements without my consent, in violation of the E-SIGN Act and federal servicing regulations. 

Furthermore, under the arbitration clause contained in the original Retail Installment Sales Contract ( RISC ), I have already extended the opportunity to Mechanics Bank to settle this dispute through arbitration. This satisfied the contractual obligation for pre-litigation resolution. Therefore, I now retain the full right to pursue legal relief in U.S. District Court without further delay or obligation. I will exercise that right if unlawful repossession or interference continues.

Please be advised that if any action is taken to repossess the vehicle or assert ownership during this period of regulatory dispute and lienholder ambiguity, I will initiate a lawsuit in U.S. District Court for : Securities fraud Fraudulent servicing practices Violation of federal consumer protection statutes Conversion and unlawful seizure You are hereby instructed to cease all enforcement activity unless it pertains to full lien release and formal closure of this matter. No further correspondence is required unless it confirms compliance with this demand.

FEE SCHEDULE - NOTICE OF CLAIMED DAMAGES UNDER UCC Pursuant to UCC 1-308, I hereby reserve all rights without prejudice. By acting in contradiction to this notice or failing to rebut it within the legal window, Mechanics Bank consents to the following administrative fee schedule : Unlawful repossession attempt : {$50000.00} per occurrence Continued collection attempts on discharged debt : {$25000.00} per instance Failure to acknowledge lien release request : {$15000.00} flat Violation of E-SIGN or TILA notice rights : {$10000.00} per notice Unauthorized reporting to credit bureaus : {$5000.00} per tradeline per month Tacit agreement to this schedule will be presumed if no written rebuttal is received within 10 business days from receipt of this notice. 

A copy of this correspondence has been sent via certified mail to XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX

Company response to consumer: Closed with explanation