Complaint Review: PRESTO AUTO LOANS - Phoenix Arizona

I borrowed money against my vehicle, which by the way was in excellent condition and had very low miles. My contract read May 2002 to May 2003 with a final balloon payment for June 2003. Because the loan was not ammortized the final payment in June could be more or less than the regular monthly payment of $350. I had a wonderful job and had no problem paying this back.

My family was having a rough time and this was the only way I could get enough money to help out. I didn't like having a lien placed on my car, but I had no doubt things would be okay. Well, was I wrong. I had to make an emergent move from AZ to PA in November 2002. I had been paying on a regular basis without a problem from May until I moved.

Prior to this move, my car had gone in for a simple oil change and the jerks who did the oil change messed up the transmission and gave me a serious oil leak. The car would never be the same. I couldn't drive it at all after this. It had a loud whine, and wouldn't shift correctly and the oil wouldn't stop leaking out.

I had to leave the car in Arizona to be disposed of at a junk yard, because I didn't know what else to do with it. I couldn't afford to bring it back to PA and it was no longer running.

When I got to PA I couldn't find a job. Eight months have gone by and I still don't have one. I live in a very depressed area where there is absolutely no employment whatsoever. Several months went by and I finally spoke with Presto. They wanted me to commit to a specific amount each month. I agreed too soon and told them I wouldn't be able to do it, but I would be getting some help to send in several months' payments to catch up.

In May I sent $1500 which paid me to and including April, and part of May 2003. I felt good. I had actually paid some into the month of May, but owing $275. I thought "this is great. Now I only owe $275. plus June's balloon payment." Still not working, I couldn't send in any money. This company has harassed me, hounded me, and threatened me with a felony conviction because I "disposed" of the car.

They wanted me to file a police report in Arizona that the car was stolen. I knew better, because I could be in bigger trouble for filing a false police report. The car wasn't stolen. I left with an acquaintance of someone I met casually who had offered to hold it for me or dispose of it because it was not running. The title still has the lien on it, and the company is having a fit because I didn't turn the car over to them. One person in particular is giving me the hard time -- the "collector" for the company.

I have a payment booklet from May 2002 to May 2003 and one extra for June. He is now telling me that I owe a June payment of $350, and a payment for July, and that my current balance is $1170. If I only owed $275 from May and a balloon payment from June, how can this be. If he had been adding interest to this loan all along, $1500 would only have paid me until February or March at the least. As it was I thought I was only paid to and including April. When he told me I was paid to part of May, I was really pleased to say the least.

He has wanted the car for himself since we initially spoke to make arrangements for payment way back in Feb/March. I think he is "fudging" paperwork so that it is so hard for me to pay the loan back that I'll give up and refuse to pay anything. I stayed in touch with this guy and he never once gave me credit for showing good faith in sending such a large amount in at one time.

He's a real PR. When he wanted me to file the police report, he said he would buy the car for himself. So, I think we all know now what he really wanted. He's wanted the car from the beginning, and not knowing where it is is just killing him.

I have a lawyer and I told him this. He had the nerve to say that he hoped I wasn't spending money on a lawyer when those funds were better sent to him for my balance. This is certainly none of his business anyway. I don't think he believes I have an attorney. He thinks I'm lying about it all. I've told my lawyer everything and I've sent him my contract information, etc.

This guy is a thief and will go to any length to cheat me after I've shown an effort to pay this account off, but he knows that by raising the amount constantly, it will make it virtually impossible for me to ever get caught up, so he continues to have a reason to harass me. I always intended to pay this loan whether I had the car in my possession or not. Not everyone would be that honest, but he doesn't believe anything I say.

Don't ever make the mistake I made and get caught up with such a crooked outfit. They're no better than LOAN SHARKS.

Can anyone offer me a solution?

Dinah

Hillside, South Dakota
U.S.A.