Developer Finance Corporation

Corporation's Finance Departments failure to process checks in a timely manner. Been charged daily rate of $6 for over ten days after sending check. I have been submitting my payments for land purchased through another company to this company for over five years with little decrease in my account. The problem is that when I send a payment earlier than scheduled, it is not sent for collection to my bank for an additional 6 to 10 days. Developer Finance Corp. says that I signed a contract with them that says I pay a $6 daily fee on top of my finance charge of 10%. I have looked at all my paperwork from the purchase of this land and I have not found anything with Developer Finance Corp that says I agree to pay and additional $6 daily fee. My only guess would be that my initial contract was sold to this company. Since 2009, I have paid over $15,000 in payments. The original purchase price was $24,000 and the current remaining balance is $21,468, as of Jun 30, 2013. A prime example of their failure to process payment was last month when my bank sent out the payment check on the 13th of July but was not received for collection until the 27th. This long delay is shown in my current bill. My monthly payment is $257.47, whereas last month $7.35 went to principal while $250.12 went to finance charge. I have called to complain directly with the company finance department but when I threaten to get a lawyer, I get hung up on and then no one will answer questions that I have about this action. There is no service manager or someone other than a customer representative to assist me with this matter. I have run out of options and do not know what to do next. I have been sending payment out ahead of schedule to no avail. This month's payment was submitted on the 13th of August but as of today, Aug 20th, no processing has been completed. My bank, [redacted], has tried to help us with this matter and can only submit our payments. I have had no trouble with other payees that I have actions with through my bank. It is only with Developer Finance Corp and trying to pay early. The daily fees and additional finance charges are unbelievable. Any assistance would be greatly appreciated.Desired SettlementI want Developer Finance Corp to show me my signature on their contract stating that I agreed to pay a daily fee of $6 on top of my 10% finance rate. If they can not show me my signature, I want the daily fee that I have been getting charged for the last four years to be paid to the principal of my account and this daily charged to be removed. That amount is around $8760 as of this month. When I have asked for this document with my signature, they have failed on numerous occasions to produce it.Business' Initial Response Please accept this communication as Developer Finance Corporation's ("DFC") response to a complaint received by you on August 20, 2013 concerning Case [redacted] -- [redacted]. Please be advised that DFC takes consumer complaints very seriously and denies any allegation of wrong-doing in connection with this matter.Mr. [redacted] has been a valued customer of ours since September of 2008. DFC is not the originator of land receivable accounts, but the purchaser of such receivable accounts. DFC purchased Mr. [redacted]'s account from [redacted] in September of 2008.Enclosed is a copy of Mr. [redacted]'s executed/signed Promissory Note (Attachment A). Mr. [redacted] is paying principal and interest in accordance with the terms of his Promissory Note. Mr. [redacted] agreed to pay $25,110.00, with an interest of 10.90% annually, payable in 240 equal monthly installments of $254.47 each beginning with his September 20, 2008 payment and continuing for each month thereafter until paid in full. The interest calculation type for Mr. [redacted]'s account is daily interest, which means interest is calculated from payment receipt date to payment receipt date.On or about July 21, 2013 Mr. [redacted] contacted our customer service department and spoke with [redacted] Mr. [redacted] expressed he was unhappy with the terms of his land account because he felt he was paying too much in interest and was going to try and refinance with another lender.On or about August 20, 2013 Mr. [redacted] called again and spoke with [redacted] and their call disconnected. Mr. [redacted] called back and this time [redacted] received his call. Mr. [redacted] stated that he had been hung up on by [redacted] Our customer service representatives only hang up if they are being verbally abused by a customer, and that was not the case with Mr. [redacted]; the call was simply disconnected. While speaking with [redacted] expressed his unhappiness with the time it takes our payment processor to post payments that have been generated by his bank's on-line payment system. [redacted] explained that we have no control over the US mail and the length of time it takes to reach our payment processing center. DFC's payment processor is [redacted] and the remittance address is Developer Finance Corporation, [redacted] XXXXXX, [redacted] XXXXX-XXXX. ([redacted] sweeps payments daily and processes the payments that same day.) [redacted] also explained that even though Mr. [redacted] may have entered his payment into his bank's online system on a particular day, it does not mean his bank mailed his payment that same day.During Mr. [redacted]'s call with [redacted], a misunderstanding developed as Mr. [redacted] refers in his complaint about begin charged a fee on top of his finance charge; this truly isn't so. His interest is charged from payment receipt date to payment receipt date. What [redacted] was trying to explain to Mr. [redacted] is he is charged a daily interest charge of $6.38. The $6.38 is the current daily interest charge in accordance with the terms of his Promissory Note, and if we do not receive Mr. [redacted]'s payment the same time each month, one month he may be charged 24 days of interest and another he may be charged 32 days of interest. Enclosed is a sample of checks (Attachment B) our lockbox processor received from Mr. [redacted] since 2008. The checks have been enclosed to show the actual date of the check. Please compare the date of the checks to the Effective Date on Mr. [redacted]'s payment history, which has also been enclosed (Attachment C). The Effective Date is the date DFC's lockbox processor ([redacted]) received Mr. [redacted]'s payment and the date his interest was calculated through. While looking at his payment history, please also note no fees have been charged to Mr. [redacted]; there are no late fees or any other fees reflected on his account.In his complaint, Mr. [redacted] states that his bank sent out his July 20, 2013 (actual due date) payment on July 13, 2013. I pulled a copy of Mr. [redacted]'s July payment (included in Attachment B) and the check date is July 17, 2013. If Mr. [redacted] input his payment information on July 13, his bank did not process his check until July 17, and then it is unknown when his bank mailed his check, but our lockbox processor did not receive his July payment until July 26, 2013. During his call with [redacted], Mr. [redacted] gave another example, his August 20, 2013 payment (actual due date). Mr. [redacted] mentioned that he had entered his August payment information online on August 13. However, the date on his August check (included in Attachment B) is August 15. Our lockbox processor did not receive his check until August 19, which means there were two business days between when he entered his payment information and when the check was cut, and then two weekend days and two business days for the payment to reach our lockbox processor. After researching the sample of payments enclosed, the July 20, 2013 payment is the only payment where the timing was inconsistent, and we have no way of knowing why this occurred. To help us gain some insight in regards to Mr. [redacted]'s on-line bank we researched [redacted] website and found the following under the FAQ section:Why does it take four days to deliver some payments?Whenever possible, payments are issued electronically, which takes one to two business days to process. For payees who do not accept electronic payments, a paper check is mailed through the U.S. Postal Service, which requires about four days for delivery.The information from [redacted] website is consistent with the date on Mr. [redacted]'s checks and the date DFC's payment processor receives his checks. Again, the only inconsistent payment is the July 20, 2013 payment.[redacted] offered a possible solution to Mr. [redacted]'s concerns by offering him a different payment option. DFC has an online payment service that is free of charge for customers who enroll in the program. Payments are credited the same business day if payments are made before 4pm EST and the following business day if payments are made after 4pm EST. There are terms and conditions provided on our website.As another solution to Mr. [redacted]'s concerns, DFC is willing to modify the interest calculation type from daily interest to scheduled interest. DFC would prepare a letter of modification, Federal Express the letter of modification to Mr. and Mrs. [redacted] for their signature, and provide a postage paid return envelope for their convenience. We ask Mr. [redacted] to contact us should this be one of the options they choose and we would be glad to expedite the letter of modification to them.In actuality, thus far, Mr. [redacted] has benefited from having his account set up as a daily interest account. To demonstrate, two payment histories have been provided for your review (Attachments C & D). The first payment history (Attachment C) is Mr. [redacted]'s actual payment history based on a daily interest calculation. Please note the balance after the August 20, 2013 payment received on August 19. August 19 is the Effective Date of his payment and the date through which his interest was calculated. The balance after the application of his August payment is $21,364.59. The second payment history (Attachment D) was prepared to show how the application of payments would have been applied if Mr. [redacted] had a scheduled interest account. The balance after the August 20 payment on Attachment D reflects a balance of $21,387.98. Mr. [redacted]'s actual balance is $23.39 lower than what it would have been had his account been structured as a scheduled interest account. DFC regrets any misunderstanding that may have developed regarding Mr. [redacted]'s account and will work with Mr. [redacted] to provide a satisfactory resolution to this matter. If you should have any questions or concerns, please do not hesitate to contact me at X-XXX-XXX-XXXX extension [redacted]. [redacted] of [redacted]Attachments

Corporation's Finance Departments failure to process checks in a timely manner. Been charged daily rate of $6 for over ten days after sending check. I have been submitting my payments for land purchased through another company to this company for over five years with little decrease in my account. The problem is that when I send a payment earlier than scheduled, it is not sent for collection to my bank for an additional 6 to 10 days. Developer Finance Corp. says that I signed a contract with them that says I pay a $6 daily fee on top of my finance charge of 10%. I have looked at all my paperwork from the purchase of this land and I have not found anything with Developer Finance Corp that says I agree to pay and additional $6 daily fee. My only guess would be that my initial contract was sold to this company. Since 2009, I have paid over $15,000 in payments. The original purchase price was $24,000 and the current remaining balance is $21,468, as of Jun 30, 2013. A prime example of their failure to process payment was last month when my bank sent out the payment check on the 13th of July but was not received for collection until the 27th. This long delay is shown in my current bill. My monthly payment is $257.47, whereas last month $7.35 went to principal while $250.12 went to finance charge. I have called to complain directly with the company finance department but when I threaten to get a lawyer, I get hung up on and then no one will answer questions that I have about this action. There is no service manager or someone other than a customer representative to assist me with this matter. I have run out of options and do not know what to do next. I have been sending payment out ahead of schedule to no avail. This month's payment was submitted on the 13th of August but as of today, Aug 20th, no processing has been completed. My bank, [redacted], has tried to help us with this matter and can only submit our payments. I have had no trouble with other payees that I have actions with through my bank. It is only with Developer Finance Corp and trying to pay early. The daily fees and additional finance charges are unbelievable. Any assistance would be greatly appreciated.Desired SettlementI want Developer Finance Corp to show me my signature on their contract stating that I agreed to pay a daily fee of $6 on top of my 10% finance rate. If they can not show me my signature, I want the daily fee that I have been getting charged for the last four years to be paid to the principal of my account and this daily charged to be removed. That amount is around $8760 as of this month. When I have asked for this document with my signature, they have failed on numerous occasions to produce it.Business' Initial Response Please accept this communication as Developer Finance Corporation's ("DFC") response to a complaint received by you on August 20, 2013 concerning Case [redacted] -- [redacted]. Please be advised that DFC takes consumer complaints very seriously and denies any allegation of wrong-doing in connection with this matter.Mr. [redacted] has been a valued customer of ours since September of 2008. DFC is not the originator of land receivable accounts, but the purchaser of such receivable accounts. DFC purchased Mr. [redacted]'s account from [redacted] in September of 2008.Enclosed is a copy of Mr. [redacted]'s executed/signed Promissory Note (Attachment A). Mr. [redacted] is paying principal and interest in accordance with the terms of his Promissory Note. Mr. [redacted] agreed to pay $25,110.00, with an interest of 10.90% annually, payable in 240 equal monthly installments of $254.47 each beginning with his September 20, 2008 payment and continuing for each month thereafter until paid in full. The interest calculation type for Mr. [redacted]'s account is daily interest, which means interest is calculated from payment receipt date to payment receipt date.On or about July 21, 2013 Mr. [redacted] contacted our customer service department and spoke with [redacted] Mr. [redacted] expressed he was unhappy with the terms of his land account because he felt he was paying too much in interest and was going to try and refinance with another lender.On or about August 20, 2013 Mr. [redacted] called again and spoke with [redacted] and their call disconnected. Mr. [redacted] called back and this time [redacted] received his call. Mr. [redacted] stated that he had been hung up on by [redacted] Our customer service representatives only hang up if they are being verbally abused by a customer, and that was not the case with Mr. [redacted]; the call was simply disconnected. While speaking with [redacted] expressed his unhappiness with the time it takes our payment processor to post payments that have been generated by his bank's on-line payment system. [redacted] explained that we have no control over the US mail and the length of time it takes to reach our payment processing center. DFC's payment processor is [redacted] and the remittance address is Developer Finance Corporation, [redacted] XXXXXX, [redacted] XXXXX-XXXX. ([redacted] sweeps payments daily and processes the payments that same day.) [redacted] also explained that even though Mr. [redacted] may have entered his payment into his bank's online system on a particular day, it does not mean his bank mailed his payment that same day.During Mr. [redacted]'s call with [redacted], a misunderstanding developed as Mr. [redacted] refers in his complaint about begin charged a fee on top of his finance charge; this truly isn't so. His interest is charged from payment receipt date to payment receipt date. What [redacted] was trying to explain to Mr. [redacted] is he is charged a daily interest charge of $6.38. The $6.38 is the current daily interest charge in accordance with the terms of his Promissory Note, and if we do not receive Mr. [redacted]'s payment the same time each month, one month he may be charged 24 days of interest and another he may be charged 32 days of interest. Enclosed is a sample of checks (Attachment B) our lockbox processor received from Mr. [redacted] since 2008. The checks have been enclosed to show the actual date of the check. Please compare the date of the checks to the Effective Date on Mr. [redacted]'s payment history, which has also been enclosed (Attachment C). The Effective Date is the date DFC's lockbox processor ([redacted]) received Mr. [redacted]'s payment and the date his interest was calculated through. While looking at his payment history, please also note no fees have been charged to Mr. [redacted]; there are no late fees or any other fees reflected on his account.In his complaint, Mr. [redacted] states that his bank sent out his July 20, 2013 (actual due date) payment on July 13, 2013. I pulled a copy of Mr. [redacted]'s July payment (included in Attachment B) and the check date is July 17, 2013. If Mr. [redacted] input his payment information on July 13, his bank did not process his check until July 17, and then it is unknown when his bank mailed his check, but our lockbox processor did not receive his July payment until July 26, 2013. During his call with [redacted], Mr. [redacted] gave another example, his August 20, 2013 payment (actual due date). Mr. [redacted] mentioned that he had entered his August payment information online on August 13. However, the date on his August check (included in Attachment B) is August 15. Our lockbox processor did not receive his check until August 19, which means there were two business days between when he entered his payment information and when the check was cut, and then two weekend days and two business days for the payment to reach our lockbox processor. After researching the sample of payments enclosed, the July 20, 2013 payment is the only payment where the timing was inconsistent, and we have no way of knowing why this occurred. To help us gain some insight in regards to Mr. [redacted]'s on-line bank we researched [redacted] website and found the following under the FAQ section:Why does it take four days to deliver some payments?Whenever possible, payments are issued electronically, which takes one to two business days to process. For payees who do not accept electronic payments, a paper check is mailed through the U.S. Postal Service, which requires about four days for delivery.The information from [redacted] website is consistent with the date on Mr. [redacted]'s checks and the date DFC's payment processor receives his checks. Again, the only inconsistent payment is the July 20, 2013 payment.[redacted] offered a possible solution to Mr. [redacted]'s concerns by offering him a different payment option. DFC has an online payment service that is free of charge for customers who enroll in the program. Payments are credited the same business day if payments are made before 4pm EST and the following business day if payments are made after 4pm EST. There are terms and conditions provided on our website.As another solution to Mr. [redacted]'s concerns, DFC is willing to modify the interest calculation type from daily interest to scheduled interest. DFC would prepare a letter of modification, Federal Express the letter of modification to Mr. and Mrs. [redacted] for their signature, and provide a postage paid return envelope for their convenience. We ask Mr. [redacted] to contact us should this be one of the options they choose and we would be glad to expedite the letter of modification to them.In actuality, thus far, Mr. [redacted] has benefited from having his account set up as a daily interest account. To demonstrate, two payment histories have been provided for your review (Attachments C & D). The first payment history (Attachment C) is Mr. [redacted]'s actual payment history based on a daily interest calculation. Please note the balance after the August 20, 2013 payment received on August 19. August 19 is the Effective Date of his payment and the date through which his interest was calculated. The balance after the application of his August payment is $21,364.59. The second payment history (Attachment D) was prepared to show how the application of payments would have been applied if Mr. [redacted] had a scheduled interest account. The balance after the August 20 payment on Attachment D reflects a balance of $21,387.98. Mr. [redacted]'s actual balance is $23.39 lower than what it would have been had his account been structured as a scheduled interest account. DFC regrets any misunderstanding that may have developed regarding Mr. [redacted]'s account and will work with Mr. [redacted] to provide a satisfactory resolution to this matter. If you should have any questions or concerns, please do not hesitate to contact me at X-XXX-XXX-XXXX extension [redacted]. [redacted] of [redacted]Attachments