Complaint Review: Insurance Auto Auctions Inc.

I have submitted a bid for IAAI auction car. The primary damage was described as Theft, and one other is Battery is missing. After I found days later that my bid happened to be the winning one. I was charged a late fee for not paying on time in addition to the exorbitant auction fees I have to pay on top of the winning price. In addition, revisiting the items, it appears to be missing more than stated in the description, meaning it was hidden to consumers or bidders just like me.

I have sent them an email asking them to cancel out the item under my name and the replied me with a policy that reads if a buyer fails to pay for the car within 9 days, she should be subject to $1000 or 15% whichever is higher without even open a dialog to go through my concerns as a consumer. Another thing is to force me with legal action with the possibility of having me to pay for their lawyer fees. I replied with 3 facts that they need to bear in mind:

Fact 1: I was not aware of that policy or rule

Fact 2: A defect was concealed to the consumer on a sale product

Fact 3: the information displayed on the sale/bidding board did not say "AS IS"

Fact 4: ......

For a winning price of $1178 I believe, I will have to end up paying $1678.00 for Buyer Fee + Tax + Internet fee + late fee for a product that was described in full for the consumer to make an informed decision based on commerce law. 

They need to immediately cancel the item out of my name.