Complaint Review: Credit Acceptance Corporation - Southfield Michigan

Hi! Credit Acceptance is on a dialer system- an automatic telephone system , it will call you as long as you have a past due balance owed, a NSF-bad check that can back, or you are deliquent. You need to bring your account current to avoid further collections( reps use this term to say repossession, CAC tells reps not 2 say"repo" caused CAC has to go by Federal guideline under the Fair Credit Reporting Act -ftc.gov/os/statutes/fcra.htm check out the Federal Trade Commission website , CAC can't call you home @ at all hours only Federal laws requires hours to call a debtor or customers between (8am and 9pm , Customers Time, not CAC). CAC has a smart dialer that will call using Eastern Time, cause most customer live in the Eastern Time zones. The dialer automatic knows when to call @ the appropriate time zone to avoid bein fine or in trouble with the FCRA. The original calls are coming from the Las Vegas/Henderson, Nevada @ Credit Acceptance office : 2460 Paseo Verde Pkwy ste 110, Henderson, Neveda 89074 (702) 990-2700. CAC or any companies can't call your job if you tell them not to and you must request remove of the work number in writing and also, have the collection reps document that you can't be called @ your job and calls are monitored sometimes, make sure you get the reps name, reps here dont have id #, only phone ext, that can't be given out, but each time you call in they have initials each time an account is touched( CSN, my old initials would be on that notes area of the account for incoming or outbound calls to collect. You need to call CAC @ 1-800-634-1506, and request the fax # to Operations support 2 request by a letter stating you want CAC-credit Acceptance-to stop calling your phone number (per law FCRA) and they must request your reference #, ur mom's phone number @ your request. The dealer is the one who put all these phone numbers on file and you can have it removed, it doesnt stop the collection process, so make sure you request a payment history and you can also pay by money gram- receive code : Southfield 4074, Western Union-Quick Collect: Acceptance, MI, u need ur refence/acct #, pay to Credit Acceptance Corporation. Good Luck!! -Charisse "Cinnamon"

1. Credit Acceptance is a lender. Go to www.creditacceptance.com do some research. 2. Credit Acceptance does their own collections on active accounts 3. Did credit acceptance provide the 3rd party account information? If so, then they have violated the FDCPA laws. If, not they have done nothing wrong but use a number listed on the application to contact the debtor. I know it whomps but based on the info provided Credit Acceptance has not done anything wrong.

Milacent, It is ILLEGAL to contact a third party on a debt unless there is written permission to do so. The grandmother of the OP was being contacted, and she was NOT a borrower on the OP contract. The references were being contacted, and they were not on the loan. These actions are ILLEGAL. Is this hard for you to comprehend? And, changing the phone number to an unlisted one IS always the best option. This is because there is absolutely no reason to ever speak to a debt collector on the phone. WRITTEN COMMUNICATIONS only, and sent by CERTIFIED MAIL/RRR only. Create a paper trail. That is your best defense. And, Credit Acceptance Corp. DOES buy loans from other lenders, as well as charge offs, in addition to being a sub-prime lender. I worked for many years in the financial world, and know exactly how it works.

"...For example: They buy 1 million dollars worth of defaulted contracts for 2-3 cents on the dollar, or even 5 cents if they are fresh. Giving the benefit of the doubt at 5 cents, that $1,000,000 in bad paper actually costs them only $50,000! It is a common scam..." (Steve - Not a Lawyer) This is not a true statement. Credit Acceptance does not purchase defaulted portfolio's. Here is a TRUE example of how they work: 1. Bobby Ford Auto wants to sell a car to Steve 2. Steve's credit rating is 515 (sub-prime) 3. Bobby Ford Auto Can't finance Steve through Ford Credit (Prime) 4. Bobby Ford Auto finances Steve's car with Credit Acceptance (sub-prime) 5. Steve's interest rate is high at 18%-24% because he has a bad credit rating but he get's the car. It's important to know about how to handle your Finance Company. If you are receiving a lot of calls it may be useful to request a validation of your debt, if only to verify that your payments are accurate and you are not past due more than you assume. Also verify that your credit report is showing your credit rating correctly. Steve - Not a Lawyer, has suggested to another poster to "change the phone number", but we all know that this doesn't stop the problem that resulted in encountering the Sub-Prime world. If you have a chance to improve your credit with Credit Acceptance, try to correct the issue rather that avoid it via a new telephone number. Best of luck to you Toya in correcting this frequent call issue. - Milacent

John, Thanks, no offense taken. I am aware that it was Credit acceptance, and have no idea why I wrote Asset Acceptance. Credit Acceptance does buy portfolios of auto contracts. Major junk debt buyers. It boost their net worth on paper to fool the stockholders. For example: They buy 1 million dollars worth of defaulted contracts for 2-3 cents on the dollar, or even 5 cents if they are fresh. Giving the benefit of the doubt at 5 cents, that $1,000,000 in bad paper actually costs them only $50,000! It is a common scam. And, the OP clearly stated that the calls were going to a third party, being the grandmother who was not a borower on the contract, but only a reference. This is the major legal violation. Discusing someone's debt with someone not on the contract. The best advice for Toya, is to change that phone number to an unlisted one and do not give it out. Change the Grandmother's number to an unlisted one too. There. Problem solved.

No offense Steve, but the OP was talking about CREDIT Acceptance and not ALLIED Acceptance-unless they somehow are the same company. I was reading this whole thing as they were a collection agency also and not the original creditor at first.

KJ, Asset Acceptance are debt collectors and junk debt buyers. They ARE NOT creditors of any kind. Therefore, the FDCPA does apply here. Where in the OP was anything mentioned about them being the original creditor? The post was clearly placed correctly in the collection agency category. Were you confused by the reference to the "loan application"? That was obviously provided to the debt buyer and is now being used for skip tracing purposes. This is very common.

FDCPA does not cover the original creditor .. Michigan laws may, or your state laws, or they may choose to voluntarily honor it .. (not likely)

Toya, The letter you need to send as per your rights under the FDCPA is a CEASE COMMUNICATIONS letter. When you send this by certified mail, return reciept requested, be sure to put the certified# on the letter itself and keep a copy for your records. This proves WHAT you sent. Now, when they violate, you simply file a small claims suit for up to $1000 in statutory damages and legal fees, and actual losses. Don't get mad, get paid!

I will not try and discourage you from sending a cease calls letter. When they are calling 10 times per day, are they leaving messages? Or do they call back after speaking with you? If you are not answering the phone, and they do not leave a message, they are following the law. The FDCPA says that they can contact you once in a day. That means they can attempt to contact you many times.