Initial Business Response /* (1000, 5, 2016/01/21) */
January 21,
Re: ***
Case No.: *** (Ref#19-18348-***-4-302)
Our Account No.: ***
Dear Mr***:
Thank you for your correspondence of January 14, 2016, regarding Ms***'s concernsI have taken the
opportunity to review this matter and ask that you include this statement of our position in your department's permanent record
Please note that PCI is a regulated sales finance company located in StCloud, MinnesotaAs such, our business is limited to the purchase of retail installment contracts and other forms of indebtedness from independent sellers of various goods
As a regulated sales finance company, our financing operations are routinely examined for compliance with applicable state and federal law and we have developed programs to meet these requirementsHowever, we have not developed these programs to merely meet applicable state and federal regulationsRather, we have in addition tailored our programs in light our experiences as an indirect lender to better serve the individuals and markets we serveThis means we make special effort to manage our relationship with our customers as it is in the interests of both Preferred Credit, Incand the customer that payment is made on a timely basis as non-timely payments result in late fees and adverse credit reporting
A review of Ms***'s account file reveals that no payment has been received for her October 2015, November 2015, December and January installmentsWe attempted to reach Ms*** as a result in order to remind Ms*** of her past due payments, to alert Ms*** as to the current status of her account, to determine if payment would be forthcoming and whether Ms*** would like to make payment arrangements so Ms*** could avoid late fees and/or adverse credit reporting
A review of Ms***'s account file also reveals that Ms*** had three separate payments dishonored by her bank in early Ms***, as a result, incurred associated dishonored check fees each time her payment was presentedMoreover, as Ms*** was unable to bring her account current since that time, she subsequently incurred late fees and is currently past due $in payments and fees
Nevertheless, in the spirit of compromise, while PCI is entitled to all amounts due under her contract, we will agree to waive all fees Ms*** has incurred upon receipt of a payment in the amount of $which represents Ms***'s past due installments for October 2015, November 2015, December and January PCI believes this to be a fair resolution
Should you have any questions or concerns, please do not hesitate to contact me at (320) ***
Sincerely,
John ***
Compliance Manager
I am rejecting this response because:
Good evening,I would have no problem accepting the proposed resolution, however my calculations of $1,were made prior to my April 15th payment of $Consequently, if the resolution proposal was adjusted to reflect that payment I would have no problem with resolving the account by the May 15th dateIn my opinion,(1300.00) would be a fair settlement for both partiesThis amount doesn't provide a full credit of $129.00, which serves I believe serves as a good faith effort to resolve this accountFurthermore I would like to thank you both for all your help and time concerning this matter
Initial Business Response /* (1000, 7, 2016/01/18) */
January 18,
Re: *** ***
Case No.: *** (Ref#19-18348-***-4-302)
Our Account No.: ***
Dear Mr***:
Thank you for your correspondence of January 5, 2016, regarding Mrs***'s concernsI have taken
the opportunity to review this matter and ask that you include this statement of our position in your department's permanent record
Please note that Preferred Credit, Inc("PCI") is a sales finance company whose business is limited to the purchase of sales finance contracts from various third-party, independent sellers of household goodsWe therefore do not share any common ownership, direction or control with any independent seller, including Total Air Cleaning, LLC
Our records indicate that PCI financed *** and George ***'s purchase of a Rainbow home cleaning system on September 4, from Total Air Cleaning, LLC of Camp Hill, PennsylvaniaOpting to not purchase the item by cash, check, or credit card, the ***'s sought financing by signing both a credit application and a retail installment contract that same dayAccording to the contract the ***'s executed, they agreed to finance $2,over twenty-four (24) equal monthly installments of $commencing October 25,
As an assignee lender, our business practices have been structured to ensure that any consumer for whom PCI provides financing understands the original sale, their underlying debt obligation, and the financing relationshipTo that end, a PCI Senior Account Representative spoke with Mrand Mrs*** over the phone on September 4, at 6:p.m(CST), to verify, among other things, that the information the ***'s provided on their credit application was accurate, that the ***'s understood the terms of the contract they signed, that the payments required under the contract fit into their monthly budget, that they were not victims of identity theft, that they were happy with the purchase, that they retained a copy of their contract, and that the original seller fulfilled all of the promises made during the presentationAt no time during this call did Mror Mrs*** express concern, dissatisfaction, or doubt about the terms of their financing including their required monthly payment and length of the repayment periodHad there been any issue raised regarding these issues, we would have clarified that matter with the ***'s and the original seller at that timeOur records indicate this to not be the case on either count
We subsequently informed the ***'s that they had been approved for financing and sent the proceeds of their contract to Total Air Cleaning, LLC, the original seller
A little over a week later, on September 14, 2015, as part of our quality assurance process, we called and spoke with Mr*** to review his financing arrangementAt that time Mr*** did inquire of our agent why they (the ***'s) did not get a four year loanOur agent advised Mr*** that the contract they executed was for a twenty-four (24) month term and that if they were interested in changing the length of the repayment period, Mr*** would need to contact the original seller
This concern was brought up once more on October 28, 2015, during a telephone conversation with Mrs***Our agent advised Mrs*** that our offices would not be able to change the terms of the contract she executed with the original seller
Additionally, review of the recovery log on this account denotes a professionally and fully compliant approach to the recoveries of this debtA review of the account reveals that on December 29, 2015, our offices called the work number Mr*** provided on his applicationOn that same date, pursuant to Mr***'s request, PCI took the necessary actions so that Mr*** would no longer receive calls at the work number providedAlso, pursuant to Mrs***'s correspondence to your office, we have removed Mr***'s cellular phone number from our system as wellTherefore, Mr*** will no longer receive calls from our office on the cellular number he provided
Nevertheless, in light of Ms***'s concerns regarding the original sale, Preferred Credit, Incwill be cancelling Ms***'s accountWe therefore make no further demand for payment and all credit reporting will be updated to reflect this factWe therefore consider the matter closed
Should you have any questions or concerns, please do not hesitate to contact me at (320)***
Sincerely,
John ***
Compliance Manager
Initial Business Response /* (1000, 7, 2015/07/08) */
July 7,
Re: *** ***
Case No.: Case# *** (Ref#19-18348-***-4-302)
Our Account No.: ***
Dear Mr***:
Thank you for your correspondence of June 25, 2015, regarding Ms***'s concernsI have taken the
opportunity to review this matter and ask that you include this statement of our position in your department's permanent record
Our records indicate we are financing Ms***'s and Mr***'s purchase of a Kirby home cleaning system from McMahan Enterprises, Incof Asheville, North CarolinaThis is evidenced by the application Ms*** and Mr*** completed on February 25, and the retail installment contract they executed that same dayAccording to that contract, Ms*** and Mr*** agreed to make payments of $each month commencing March 25,
A review of Ms***'s and Mr***'s account history indicates that they had made each installment without incident until January of In January of 2015, Ms***'s and Mr***'s payment went dishonored and when no additional payments were made recovery efforts naturally ensued
On March 18, 2015, a PCI field agent Jerry *** visited Ms*** at her residence to discuss her delinquent accountMr*** secured a payment arrangement from Ms*** that would draft payments in the amount of $automatically from her credit card each month commencing March 20,
On March 20, 2015, when PCI attempted to run Ms***'s payment as authorized, her payment was denied due to an invalid account numberWe contacted Ms*** to inform her of this development but she was unavailable to discussWe left a message to have her call us back regarding her account
Later that day, Ms*** contacted our offices regarding the message we had left herOur agents informed Ms*** at that time that the account number she previously provided did not include a valid account numberMs*** then arranged a new payment arrangement in the amount of $to be automatically drafted from her bank account on 20th of each monthUnfortunately, that payment arrangement was also rejected
We again reached out to Ms*** regarding this fact but to no availWith that, our office reached out to the personal references Ms*** provided during the verification processThese names and telephone numbers were obtained so that, in the unlikely event we were to lose contact with a customer, we would have a way to reconnect with our customerThis is the only reason outreach was made to Ms***'s motherWe regret if Ms*** has failed to recount this fact
On April 19, 2015, Ms*** contacted our offices regarding a withdrawal that had been made on her account by PCI on March 25, Our agent informed Ms*** that we had no record of this ever happeningMs*** advised that she would fax in a copy of her bank statement verifying the withdrawal by PCI
On April 21, 2015, PCI received a copy of Ms***'s bank statement identifying the drafted paymentPCI began an immediate investigation into the matter and determined that the payment had drafted in error for another account here at PCI
Ms*** was informed of this fact on April 24, We also inquired as to whether or not Ms*** would nevertheless like to have the amount applied to her account or if she would like a full refund of the paymentMs*** asked whether we would be willing to waive the remaining balance if she agreedWe declined and indicated that we would close Ms***'s account if she would also pay half of the potential remaining balance ($56.09)Ms*** equally declined and PCI refunded amount drafted in error on April 30,
We value Ms*** as a customer and we regret the error in the automatic withdrawal and apologize any hardship this may have caused Ms***For this, PCI is willing to waive all fees and remaining interest on the accountTherefore, Ms*** would merely need to remit $to close her account saving Ms*** almost $in interest and feesThis offer is valid until July 24,
We have also taken the opportunity to review the matter with our customer service managerPlease rest assured that appropriate remedial training will be undertaken
Should you have any questions or concerns, please do not hesitate to contact me at (320) ***
Sincerely,
John ***
Compliance Manager
I am rejecting this response because:
We missed some payments late last yearWe have made many payments on time since and the company is still showing 30/60/90/days lateWe asked them to remove this information, only to show the payments that were actually late and they refusedI am attaching a printout of what they are reporting and pages of bank statements showing payments
Initial Business Response /* (1000, 5, 2015/06/11) */
June 11,
Re: *** ***
Case No.: Case# *** (Ref#19-18348-***-4-302)
Our Account No.: ***
Dear Mr***:
Thank you for your correspondence of June 5, 2015, regarding Mr***'s concernsI have taken the
opportunity to review this matter and ask that you include this statement of our position in your department's permanent record
Preferred Credit, Inc(PCI) is a relationship-driven companyIt is for this reason, among others, why our business practices have been structured to ensure that any consumer understands the original sale, the consumer's underlying debt obligation as well as the financing we are providing before that financing is providedIt is also the reason why we have developed clear standards of conduct, conduct extensive training, and conduct call monitoring for quality assuranceIt is unfortunate, therefore, to hear that despite these efforts that Mr*** was left with a customer service experience that led to the filing of this complaint as we believe Mr*** to be a wonderful customer and value our relationship with him
Prior to the extension of credit, PCI takes the opportunity to speak directly with each consumer to ensure the consumer understands the original sale, the consumer's underlying debt obligation as well as the financing we are providingTo that end, on May 2, 2015, our senior account representative, ***, spoke with Mr*** at 10:a.m(CST) to review the information that Mrand Mrs*** provided on their credit application was accurate, that they understood the terms of the contract they signed, that they retained a copy of the contract they signed, that they were happy with the purchase and that the dealer fulfilled all of the promises made during the presentation
At this time, we also take the opportunity to review with each consumer our automatic payment programMr*** elected to take part in the program, the terms of which was originally included with the application he provided, and reviewed with him during our verification processThis included the clarification that each draft would occur on the 5th of each month and addressed Mr***'s concern as to whether or not additional payments could be made in order to pay off his accountMr***'s automatic payment arrangement was further confirmed by a confirmation letter as well as by a quality assurance call made on May 11,
However, on June 5, 2015, Mr*** contacted our offices seeking a refund of the automatic payment he originally authorized due to an online payment he had made a few days beforeOur agent initially informed Mr*** that it was our policy to not refund payments that were otherwise duly authorizedMr*** asked for an exception to that policy and was ultimately put in contact with one of our customer service managers, ***, to review the matterThe ensuing exchange between Mr*** and our customer service manager, though fully compliant, could have gone betterNevertheless, the call ended with what Mr*** had requested: a refund of his June automatic draft
We value Mr*** as a customer and we appreciate his dedication to honor his contractual obligationsPCI will be refunding Mr*** the amount of the automatic payment taken on June 5, This will be taken care of in an expedited mannerWe have also taken the opportunity to review the matter with our customer service managerPlease rest assured that appropriate remedial training will be undertaken
Should you have any questions or concerns, please do not hesitate to contact me at (320) ***
Sincerely,
***
Compliance Manager
Initial Consumer Rebuttal /* (2000, 7, 2015/06/11) */
(The consumer indicated he/she ACCEPTED the response from the business.)
Initial Business Response /* (1000, 5, 2015/12/17) */
December 17,
Re: *** ***
Case No.: *** (Ref#19-18348-***-4-302)
Our Account No.: ***
Dear Mr***:
Thank you for your correspondence of December 14, 2015, regarding Ms***'s concerns
Preferred Credit, Inc(PCI) takes all such matters seriouslyAs such, I've taken the opportunity to review this matter and ask that you include of copy of our position in your department's permanent record
Please note that PCI is a regulated sales finance company located in StCloud, MinnesotaAs such, our business is limited to the purchase of retail installment contracts and other forms of indebtedness from independent sellers of various goods
As a regulated sales finance company, our financing operations are routinely examined for compliance with applicable state and federal law and we have developed compliance programs to meet these requirementsThese compliance programs extend to our recovery operations
However, PCI has not simply designed our compliance program regarding our recovery operations to ensure compliance with applicable lawWe have in addition tailored our recovery processes and procedures to our experiences as an indirect lenderGenerally, this means we are, unlike other sales finance companies or lenders, more proactive in managing our relationship with our customersWe do this as it is in both the financial interest of the customer as well as PCI that payments are made on a timely basisTherefore, calls are made to alert customers as to the status of their account, to review the activities that have occurred on their account, to determine when payment might be forthcoming, to make possible arrangements to bring the account current and for other legitimate purposes, all in compliance with applicable state and federal lawIf a field agent is in the area and available, they may attempt to visit the customer in person to review the account status in hopes of setting up a payment arrangement so that the customer can avoid any additional fees and/or adverse credit reportingAgain, all being done in compliance with applicable state and federal law
Nonetheless, we recognize Ms***'s concernsWe will therefore cease all collection activity on Ms***'s account, including not having any of our field agents attempt to reach Ms*** in person
Should you have any questions or concerns, please do not hesitate to contact me at (320) ***
Sincerely,
John ***
Compliance Manager
November 17, Re: *** M *** Case No.: *** Our Account No.: *** Dear Mr***:
Thank you for your correspondence of November 16, 2016, regarding Ms***’s concernsI have taken the opportunity to review this matter and ask that you include this statement of our position in your department’s permanent record Please note that PCI is a regulated sales finance company located in StCloud, Minnesota. As such, our business is limited to the purchase of retail installment contracts and other forms of indebtedness from independent sellers of various goods As a regulated sales finance company, our financing operations are routinely examined for compliance with applicable state and federal law and we have developed programs to meet these requirementsHowever, we have not developed these programs to merely meet applicable state and federal regulations. Rather, we have in addition tailored our programs in light of our experiences as an indirect lender to better serve the individuals and markets we serve. This means we make special effort to manage our relationship with our customers as it is in the interests of both Preferred Credit, Incand the customer that payment is made on a timely basis as non-timely payments result in late fees and adverse credit reporting A review of Ms***’s account file reveals that she is set up to receive monthly statements including her total balance, amount due, and due dateIt is then the responsibility of Ms*** to make her agreed upon monthly payment of $by either sending in the payment, making the payment over the phone, or making the payment onlineThe current issue arises from Ms***’s attempt to make her November payment On November 16, Ms*** chose to go to PCI’s website to make a payment toward her contractual obligationDue to the fact that her October payment was not made, the website defaulted to a payment of $216.00, the amount needed to keep the account current through NovemberAt this point Ms*** failed to change the payment amount, resulting in her making a payment of $instead of the $she intendedUpon confirmation of her online payment, Ms*** noticed the error, and placed a call to PCI to double check the amount of the payment she had just madeMs*** spoke with Customer Service Supervisor *** *** at 1:pm (CST), who advised her that because she had made the payment of her own volition, PCI could not stop or adjust the paymentMs*** was also advised that she could log back into her account via the PCI website, cancel the pending payment, and reset for the amount that she wanted Ms*** then placed a second call to PCI on November 16, at 1:pm (CST) and spoke with Customer Service Supervisor Casey ***During this call, Ms*** indicated that she was unable to cancel her payment of $onlineAfter further investigation by Mr***, Ms*** was advised that PCI does not have the ability to stop or adjust online payments and she would need to contact her bank if she would like to cancel that particular paymentMr*** confirmed this with his supervisor and explained to Ms*** that all online payment activities are handled by a third party website that PCI does not have control overMs*** went on to state that the next time her payment came due, she wanted a call either from PCI’s bank (US Bank), or her distributor to tell them that they would not be receiving their paymentMr*** attempted to explain to Ms***, that neither of those entities would be able to assist her, as PCI is who she is making payments to Unfortunately, because Ms*** made the $payment voluntarily, PCI will be unable to refund her any portion of this payment, and the entire $will be applied to her total balanceAs of the date of this letter, Ms***’s account is considered current, and her next payment will be due on December 25, in the amount of $ Should you have any questions or concerns, please do not hesitate to contact me at ###-###-#### Sincerely, John *** Compliance Manager
March 23,
Re: *** ***
Case No.: *** (Ref#19-18348-***-4-302)
Our Account No.: ***
Dear Mr***:
Thank you for your correspondence of March 17, 2016, regarding Ms***'s concernsI have taken the opportunity to review this matter and ask that you
include this statement of our position in your department's permanent record
Please note that Preferred Credit, Inc("PCI") is a sales finance company whose business is limited to the purchase of sales finance contracts from various third-party, independent sellers of household goodsMoreover, it is PCI's credit policy to grant credit to all buyers who are qualified by virtue of creditworthinessCreditworthiness is determined by income, credit history, stability of employment, assets, and liabilitiesFactors such as age, gender, marital status, national origin, etcare not taken into consideration by PCI
Our records indicate that PCI financed Ms***'s purchase of a Kirby home cleaning system on January 24, from Kirby of Etown of Etown, KentuckyOpting to not purchase the item by cash, check, or credit card, Ms*** sought financing by signing both a credit application and a retail installment contract that same dayAccording to the contract she executed, Ms*** agreed to finance $1,over equal monthly installments of $utilizing ACH payments
As an assignee lender, our business practices have been structured to ensure that any consumer for whom PCI provides financing understands the original sale, their underlying debt obligation, and the financing relationshipTo that end, a PCI Senior Account Representative spoke with Ms*** over the phone on January 24, at 5:p.m(CST), to verify, among other things, that the information Ms*** provided on her credit application was accurate, that Ms*** understood the terms of the contract, that the payments required under the contract fit into her monthly budget, that Ms*** was not a victim of identity theft, that Ms*** was happy with the purchase, that Ms*** retained a copy of her contract, and that the original seller fulfilled all of the promises made during the presentationAt no time during this call did Ms*** express concern, dissatisfaction, or doubt about the purchase or her financingWe subsequently informed Ms*** that she had been approved for financing and sent the proceeds of her contract to Kirby of Etown, the original seller
Additionally, on or about January 27, 2015, our offices forwarded three separate letters to Ms***Each of the three letters forwarded to Ms*** provided our mailing address and telephone numberAlso, one of the letters confirmed the ACH payment arrangement with Ms***In fact, our offices received correspondence from Ms*** on February 12, 2015, wherein Ms*** wrote our office a note on the back of one of our January 27th lettersAt that time, Ms*** advised that she would like to cancel the contractOur offices called Ms*** that same day in follto further discuss her correspondence to our officeOur office has had no further contact with Ms*** until receiving her correspondence to your office
As of today's date, PCI has received a total of $on Ms***'s account leaving her with a remaining balance of $1,with her next payment being due on April 15,
If Ms*** would like to receive monthly statements, we would ask that she contact our customer service department at (800) ***Our agents would be happy to assist Mr*** in getting set up with monthly statementsAdditionally, our Customer Service Department will be able to answer any questions Ms*** may have regarding her accountIn the alternative, Ms*** may reach us at:
Preferred Credit, Inc
** *** ***
StCloud, MN
Please also note that PCI is a regulated sales finance company and licensed to conduct business in the states in which we conduct businessAs such, we are examined on a regular basis regarding our financing operationsThese examinations verify PCI's compliance with applicable state and federal regulations including billing procedures
Should you have any questions or concerns, please do not hesitate to contact me at (320) ***
Sincerely,
John ***
Compliance Manager
Initial Business Response /* (1000, 8, 2015/11/24) */
November 24,
Re: *** ***
Case #: # *** (Ref#19-18348-***-4-302)
Our account #***
Dear Mr***:
Thank you for your correspondence of November 13, regarding Ms***'s concernsPreferred
Credit, Inc(PCI) is pleased to inform Ms*** and the Revdex.com that on November 12, our offices issued an ACH refund to Ms*** in the amount of $to her bank account from which the automatic payments had been withdrawn in an effort to resolve the matterNonetheless, I have taken the opportunity to review this matter and ask that you include this statement of our position in your department's permanent record
Our records indicate we financed Ms***'s purchase of a Kirby home cleaning system from *** Enterprises (d/b/a Kirby of Laredo) of Laredo, TexasThis is evidenced by the retail installment contract Ms*** executed on June 19, According to that contract, the Ms*** agreed to finance $2,over thirty-six equal installments of $commencing July 20,
Prior to the extension of credit, PCI takes the opportunity to speak directly with each consumer to ensure the consumer understands the original sale, the consumer's underlying debt obligation as well as the financing we are providingTo that end, on June 19, 2015, our senior account representative, Travis ***, spoke with Ms*** at 7:p.m(CST) to review, among other things that the information that Ms*** provided on her credit application was accurate, that she understood the terms of the contract she signed and that she retained a copy of the contract she signed
At this time, we also take the opportunity to review with each consumer our automatic payment programMs*** elected to take part in the program, the terms of which was originally included with the application she provided, and reviewed with Ms*** during the verification callMs***'s automatic payment arrangement was further confirmed by a confirmation letter mailed to her verified home address on June 30,
As part of our quality assurance program, we called Ms*** on June 25, 2015, to review the financing we provided Ms***Ms*** advised our offices that her spouse recently contacted the original seller, *** Enterprises, regarding cancelling the contract she entered intoShe advised it was her understanding that *** Enterprises intended to pick up the Kirby the next day
Our offices reached out to *** Enterprises on June 26, 2015, and was advised that their offices had not received any cancellation notice from Ms***With that, our offices proceeded to keep Ms***'s account open and continued to send monthly statements to Ms*** advising her of the authorized automatic payments being withdrawn
PCI first became aware that Ms*** had a concern regarding the automatic payment transactions on her bank account when Ms*** called our offices on October 22, and advised that the Kirby had been returned and that our offices were taking payments that were not authorizedOur customer service representative, Karlee ***, advised Ms*** that our offices reached out to *** Enterprises following our last telephone discussion with her and was advised that no notice of cancellation had been received and that to date, our offices had not received any notice of cancellation from *** EnterprisesHowever, Ms*** informed Ms*** that our offices would reach out to the original seller again to clarify the status of Ms***'s account and apologized for any inconvenience this may have caused Ms***
Our offices immediately reached out to *** Enterprises and was advised that their offices had accepted Ms***'s notice of cancellation, though it had been received after the passing of the rescission periodWe immediately stopped the automatic payments on Ms***'s account and our accounting department began processing a refund for Ms*** the following day, October 29,
Ms*** called our offices again on November 2, 2015, inquiring about the status of her refundOur customer service representative, Keondra ***, explained to Ms***
that her refund was processed on October 29, Ms*** advised Ms*** that she might receive the refund as soon as the next dayUnfortunately, Ms*** misunderstood the notes on Ms***'s accountWhile the refund process began October 29, (one day after receiving confirmation of the cancellation from the original seller), it does take some time for the refund to actually be processed through our accounting department and was ultimately returned via ACH on November 12, We apologize to Ms*** for this miscommunication regarding the status of her refund
We therefore consider this matter closedHowever, should you have any questions or concerns, please do not hesitate to contact me at (320) ***
Sincerely,
John ***
Compliance Manager
Initial Business Response /* (1000, 5, 2015/12/21) */
December 21,
Re: *** ***
Case No.: Case# *** (Ref#19-18348-***-4-302)
Our Account No.:***
Dear Mr***:
Thank you for your correspondence of December 14, 2015, regarding Mrs***'s concernsWe wish to
take this opportunity to thank Ms*** for bringing this matter to our attention and for the opportunity to formally address her concerns in turn
Preferred Credit, Inc(PCI) considers itself to be a relationship-driven companyIt is for this reason, among others, that we provide our customers with various different methods with which to make payment on their accountThis includes making payments through our online payment system as well as making payment over the phone
For online payments, PCI employs a fully integrated and automated system serviced by US BankWhen a customer opts to pay online, PCI directs the customer through a link at our website to the processing center at US BankUS Bank then takes all appropriate actions securing the transaction: i.everifying the customer with their account, ensuring that there are sufficient funds, etcUpon completion of this process, US Bank then coordinates withdrawal of all associated payments authorized by the consumer
In contrast, all payments made by phone are handled internallyAll necessary procedures, workflows, training and quality assurance have been incorporated into our regular business practices to ensure proper handling of all such payments
A review of Ms***'s account file indicates that Ms*** was looking to pay off her account in late November, On November 19, 2015, Ms*** contacted our offices seeking a payoff quote at which time our agent provided this amount (i.e$valid up to November 20, 2015) to Ms*** but Ms*** did not wish to actually pay off at that timeMs*** then contacted our offices on November 23, 2015, seeking this time to payoff of her account and received an updated payoff quote in the amount of $She then authorized a one-time payment in the amount of $in an apparent attempt to close her account on November 25,
However, a review of our records also indicates that Ms*** had a recurring automatic payment arrangement set up online with US BankThis arrangement called for the automatic draft of $to be drafted from Ms***'s bank account on the 25th of each month and was scheduled to run until her account was either paid in full or her authorization was otherwise revoked in a timely mannerUnfortunately, our records do not indicate that this authorization had been revoked as Ms*** indicated and this payment too was scheduled to be drafted on November 25,
Therefore, with Ms***'s payment authorization made by phone on November 23, 2015, two payments, one in the amount of $and another in the amount of $133, were drafted on November 25, The former cleared while the latter did notIf the latter had in fact cleared, Ms*** would be entitled to a refundHowever, this was not the case and no refund is due
Nevertheless, we regret the circumstances which appear to have led to the filing of this complaintThis includes the fact that our agents informed Ms*** that she would be entitled to a refund of her $payment on both November 27, as well as December 21, Please note that at neither of these times were our agents aware of the fact that Ms***'s payment in the amount of $made on the 25th of November would ultimately be returned by Ms***'s bank on December 15, as "not authorized."
Again, we wish to thank Ms*** for bringing this matter to our attention and to address her concerns in turnShould there be any other questions or concerns, please do not hesitate to contact me at (320) ***
Sincerely,
John ***
Compliance Manager
Initial Consumer Rebuttal /* (3000, 7, 2015/12/23) */
(The consumer indicated he/she DID NOT accept the response from the business.)
I have now received a letter of Notice of Dishonor claiming that my draft of $as nonsufficient fundsThis letter states to send them the $plus a service charge of $for the total of $I went to my bank and stopped payment on the charge and that is why it was sent backIt was not because nonsufficient fundsAlso, they keep sending me email stating that they are going to draft my checking account on 12/25/and 1/25/In these emails it shows that the balance is Zero
Complaint Response Date bumped because: Holiday
Final Business Response /* (4000, 10, 2015/12/28) */
December 28,
Re: *** ***
Case No.: Case# *** (Ref#19-18348-***-4-302)
Our Account No.:***
Dear Mr***:
Thank you for your correspondence of December 23, 2015, regarding Ms***'s further concernsPlease include this response in your department's permanent record
Review of Ms***'s account reveals that on December 17, 2015, four days prior to our filing of our response with your office, a "Notice of Dishonor" correspondence was computer generated upon return of the $"not authorized" paymentWe apologize for any confusion this may have caused Ms*** and given the current status of her account (paid in full with a zero balance), we request that Ms*** disregard that correspondence
Also, as stated in our previous correspondence, withdrawal of all associated payments set up through the online payment system, authorized by Ms***, are processed by US BankThe emails Ms*** refers to in her correspondence to your office were generated by US BankPlease note that we have taken the opportunity review the status of Ms***'s online payment authorizationOur investigation indicates that Ms***'s online automatic payment authorization has been stoppedShe should therefore neither receive any additional email correspondence from US Bank nor should any further payment be processed
Again we apologize for any confusion that may have resulted in light the events and circumstances that have occurred on Ms***'s accountPlease rest assured that we have closed Ms***'s account as "paid in full" and therefore make no further demand for payment
Should there be any other questions or concerns, please do not hesitate to contact me at (320) ***
Sincerely,
John ***
Compliance Manager
Final Consumer Response /* (2000, 16, 2015/12/29) */
Thank you for your help in getting this solvedYou are a blessing to usAnd would you send MrJohn *** a thank you from me for correcting my account
Regards,
*** A***
July 1, Re: *** *** Case ID No.: *** Our Account No.: *** Dear Mr***: Thank you
for your e-mail of July 21, 2016, regarding Mrs***’s concernsI have taken the opportunity to review this matter and ask that you include this statement of our position in your department’s permanent record Preferred Credit, Inc(PCI) is a relationship-driven company. It is for this reason, among others, why our business practices have been structured to ensure that any consumer understands the original sale, the consumer’s underlying debt obligation as well as the financing we are providing before that financing is providedIt is also the reason why we have developed clear standards of conduct, conduct extensive training, and conduct call monitoring for quality assuranceIt is unfortunate, therefore, to hear that despite these efforts that Mrs*** was left with a customer service experience that led to the filing of this complaint as we believe Mrs*** to be a wonderful customer and value our relationship with her Prior to the extension of credit, PCI takes the opportunity to speak directly with each consumer to ensure the consumer understands the original sale, the consumer’s underlying debt obligation as well as the financing we are providingTo that end, on October 3, 2011, a senior account representative spoke with Mrs*** to review the information that Mrand Mrs*** provided on their credit application was accurate, that they understood the terms of the contract they signed, that they retained a copy of the contract they signed, that they were happy with the purchase and that the dealer fulfilled all of the promises made during the presentation At this time, we also take the opportunity to review with each consumer our automatic payment program. Mrs*** elected to take part in the program, the terms of which was originally included with the application he provided, and reviewed with her during our verification process. This included the clarification that each draft would occur on the 20th of each month. Mrs***’s concerns appear to rise out of a call she made to our offices on June 16, Mrs*** made this call in attempt to pay her balance in full ($260.40), instead of her scheduled automatic monthly payment of $Mrs*** was made aware that the earliest her payment of $could be posted would be June 20, This happened to be the date of her scheduled automatic payment of $In an effort to avoid both payments being drawn, Mrs*** requested that her automatic payment be stopped and only the payment of $be drawn from her accountThe PCI representative indicated that he would cancel the automatic payment and assured Ms*** multiple times that both payments would not be drawn However, on June 20, 2016, Mrs*** contacted our office inquiring as to why both payments had been drawn on that date when she was assured that they would not beA PCI representative apologized to Mrs*** for this mistake and indicated that the previous representative had not stopped her automatic payment as she had requestedThis oversight by the previous representative had caused both payments to be drawn and put Mrs***’s account at a negative balanceMrs*** said that she had transferred sufficient funds into that account to cover the double draw but did not know if she took such action in time to avoid any overdraft fees At this point the PCI representative apologized again and made Mrs*** aware that she would be refunded her overpayment of $and that PCI would cover any overdraft fees incurredWhen Mrs*** was told that it could take up to four weeks for her to receive her refund, she became distressedThe PCI representative told Mrs*** that the refund could be rushed if PCI received a copy of her bank statement or other proof that both payments were drawn and would not be returnedMrs*** was advised that a screenshot of her bank account information would be sufficient and could be e-mailed to PCI as soon as possibleMrs*** proceeded to e-mail that screenshot shortly after the call ended Since Mrs***’s e-mail was sent on June 20, she has made multiple inquiries into when she should be expecting her refundA PCI representative advised Mrs*** that as soon as the accounting department had handled the refund she would be made awareOn June 21, A PCI representative contacted Mrs*** and assured her that the refund would be sent at the end of the next week In addition, Mrs*** claims that this was not the first time that PCI had drawn a double payment on her accountShe indicated that in the previous instance, she was not issued a refund because she had a remaining balanceThis issue arises from transactions that occurred on March 22, In this instance, Mrs*** had actually arranged two separate payments on her ownHer account was automatically drawn for the amount $as she had previously set upIn addition to that payment, Mrs*** went online and made a separate individual payment of $PCI customers do have the option to make additional payments when set up for automatic withdrawalsAs Mrs***’s second payment was arranged and made completely of her own volition, no refund was issued PCI recognizes Mrs*** as a valuable customer and greatly appreciates her commitment to fulfill her contractual obligationsPCI again apologizes to Mrs*** for the mistake made by its representative, we have reviewed proper protocol with our representatives, and rectified the issue as quickly as possibleIn fact, Ms***’s refund was sent today and should be received in the next few days Should you have any questions or concerns, please do not hesitate to contact me at ###-###-#### Sincerely, John *** Compliance Manager
Initial Business Response /* (1000, 5, 2015/07/02) */
July 2,
Re: *** ***
Case #: *** (Ref#19-18348-***-4-302)
PCI Account #: ***
Dear Mr***:
Thank you for your letter of June 25, regarding Ms***'s concernsI have taken the opportunity to
review this matter and ask that you include this statement of our position in your department's permanent record
Preferred Credit, Inc(PCI) is a relationship-driven companyIt is for this reason, among others, why our business practices have been structured to ensure that any consumer understands the original sale, the consumer's underlying debt obligation as well as the financing we are providing before that financing is providedIt is also the reason why we have developed clear standards of conduct, conduct extensive training, and conduct call monitoring for quality assuranceIt appears that an unfortunate set of circumstances have given rise to Ms***'s concerns regarding her account at Preferred Credit, IncWe regret these circumstances and apologize for any action on our part that may have contributed to the situationWe believe Ms*** to be a wonderful customer and value our relationship with her
Our records indicate we are financing the purchase of a Rainsoft water system from Lifetime Solutions, Incof Victorville, California for *** and *** ***Mrand Mrs*** completed and entered into a retail charge agreement on April 8, According to their contract, they agreed to make payments of $due each month commencing May 19,
Unfortunately, Ms***'s financial situation changed and did not allow her to meet this obligationMs*** called our offices on January 6, requesting a temporary modification to her monthly repayment obligation changing her monthly payment to $PCI agreed to a three month modification beginning with Ms***' January payment through her March payment and advised Ms*** that she would be assessed late fees and the payment plan would be reflected upon her credit bureau reportWe also advised Ms*** that our office would contact her at the conclusion of her payment plan to discuss payment of the amount that would be past due and payment of the late fees that would be incurred as a result of the payment planWe regret that this did not occur and we apologize to Ms*** for this error
Our records also indicate that Ms*** also called our offices on May 8, with a concern regarding our credit bureau reporting on her account reflecting that she was days past dueAt that time it was explained to Ms*** that her account was past due as we had not received her April payment and there was a past due amount following the modification to the repayment of her loanFollowing some discussion, Ms*** requested that she return to the original agreement and resume making automatic payments for the contractual monthly payment of $Unfortunately, due to an error on the part of our account representative, Ms***'s automatic payment we set up for a withdrawal of $163.93, $less than the contractual amount thereby reporting Ms***'s account as past due and causing Ms*** to incur late feesWe apologize to Ms*** for this oversight
We value Ms*** as a customer and we appreciate her dedication to honor her contractual obligationsPCI will therefore refund Ms*** all late fees incurred from May through June and PCI will remove all associated credit reportingThis will all be taken care of in an expedited matterPlease note we have also taken the opportunity to review the matter with our customer service manager to help prevent this from occurring again
Should you have any questions or concerns, please do not hesitate to contact me at (320) ***
Sincerely,
John ***
Compliance Manager
Initial Consumer Rebuttal /* (3000, 7, 2015/07/02) */
(The consumer indicated he/she DID NOT accept the response from the business.)
I have read the response and if I contacted them may and they set up my payments wrong the late fees from May of to June should be refunded and NOT just May to June
Please approach PCI to addressThank You
Final Consumer Response /* (3000, 16, 2015/08/26) */
The creditor still has not corrected the payment reporting to the credit bureauCreditor never rectified their errorsThey are still reporting us as being late when payments are being deducted from our account automatically as scheduled
Final Business Response /* (4000, 18, 2015/08/28) */
August 28,
Re: *** ***
Case #: *** (Ref#19-18348-***-4-302)
PCI Account #: ***
Dear Mr***:
Thank you for your letter of August 26, regarding Ms***'s further concernsPlease include this response in your department's permanent record
As stated previously, our records indicate that Ms*** contacted our offices on January 6, requesting a temporary modification to her minimum monthly payment due to a change in her financial situationPCI, in response, agreed to a three month modification beginning with Ms***'s January paymentIn doing so, we informed Ms*** that she would not only be assessed corresponding late fees but that this fact would be reflected on her credit bureaus
Also, our records cannot confirm that Ms*** contacted our offices seeking to resolve her past due accountNevertheless, in recognition of Ms***'s attempts to address her past due account, we have made such changes as are necessary in order to reflect her account as current, including waiving any associated late fees, and have removed our negative reporting on her accountWe therefore consider the matter closed
Should you have any questions or concerns, please do not hesitate to contact me at (320) ***
Sincerely,
John ***
Compliance Manager
Initial Business Response /* (1000, 5, 2015/10/08) */
October 8,
Re: M***
Case ## *** (Ref#19-18348-***-4-302)
Our account # ***
Dear Mr***:
Thank you for your correspondence of October 5, regarding M***'s calling concernsI have taken
the opportunity to review this matter and ask that you include this statement of our position in your department's permanent record
PCI considers itself to be a relationship-driven companyAs such, we appreciate any and all feedback in order to ensure we are providing the best possible experience and level of customer serviceWe therefore wish to thank M*** for bringing this matter to our attention
We also wish to take this opportunity to inform M***, and the company M*** appears to represent, that no further attempt at contact will be made at the number identified
Should you have any questions or concerns, please do not hesitate to contact me at (320) ***
Sincerely,
John ***
Compliance Manager
Initial Consumer Rebuttal /* (2000, 7, 2015/10/08) */
(The consumer indicated he/she ACCEPTED the response from the business.)
While I'm relieved to hear that we are being removed from the call list, it should not have required contacting the Revdex.com and the Federal Trade CommissionI urge anyone who receives multiple calls from this company to file a complaint on the FCC Do Not Call website and with the Revdex.com
Revdex.com:
I have reviewed the response made by the business in reference to complaint ID ***, and find that this resolution is satisfactory to meI have paid off the remaining $as of 10/18/with the approval code 021512. Thank you for helping me in this matter
Initial Business Response /* (1000, 5, 2015/06/26) */
June 26,
Re: *** (***) ***
Case # ***(Ref#19-18348-***-4-302)
Our account # ***
Dear Mr***:
Thank you for your correspondence of June 22, regarding Ms***'s concernsI have taken the
opportunity to review this matter and ask that you include this statement of our position in your department's permanent record
Our records indicate that we are financing the purchase of a Kirby vacuum cleaner from *** of Lubbock, Texas for *** (n/k/a ***) and *** ***On May 22, 2012, Ms*** and Mr*** completed an application for credit and entered into a retail installment contractAccording to their contract, they agreed to thirty-six (36) payments of $due on the 7th of each month commencing July 7,
On November 18, 2014, PCI representative *** *** called Ms*** regarding her accountMs*** advised that she and Mr*** were now divorced and inquired about making lower monthly paymentsMs*** advised Ms*** that if she were to set up a monthly payment arrangement this would keep Ms*** from being contacted each month from PCIAfter some discussion, Ms*** agreed to set up an automatic payment arrangement to have $be drafted every fourth Friday of the month
Ms***'s new payment arrangement of $per month began on December 12, As scheduled, Ms***'s monthly payments were withdrawn from her bank account and because the monthly payment was less than contracted for, $83.11, a late fee was incurredThese facts were reported to the credit reporting agencies accordingly
Ms*** claims that she was not advised that her less than full payment would show upon her credit bureau or that she would incur a fee for each delinquent paymentPlease note that Ms*** did advise Ms*** that her payment would be considered past due because it was a lesser amount during her call with Ms*** on November 18, Moreover, prior to that, Ms***'s contract stated the following regarding her monthly payment obligation:
"You promise to pay us the "Total of Payments" on the front of this Contract in the number and amount of the monthly installments and on the due dates, at our office address..."
Ms***'s contract further informed Ms*** what may happen should she fail to make payment as required:
"We may report information about your account to credit bureausLate payments, missed payments, or other defaults on your account may be reflected in your credit report."
Nevertheless, as a relationship-driven company, and in recognition of Ms***'s efforts to make good on her obligation, we believe an amicable resolution can be achievedWhile we are unable to update to accommodate Ms***'s credit reporting request, as this would be a violation of law, we are able to waive all late fees incurred since the onset of her payment arrangement back in DecemberTo avoid further fees, and therefore, negative credit reporting, we recommend Ms*** to contact our offices to bring her account current and then establish a regular payment arrangement for her regular monthly payment amount on the same date as beforeThis will ensure she is no longer pass due, ensures timely payment going forward and will work with her monthly budget as originally intended back in December
I hope you find this is responsive to Ms***'s concernsShould you have any questions or concerns, please do not hesitate to contact me at (320)***
Sincerely,
***
Compliance Manager
Initial Consumer Rebuttal /* (3000, 7, 2015/06/26) */
(The consumer indicated he/she DID NOT accept the response from the business.)
The company notified that their would be a past due balance within the company The whole reason for the payment arrangement was so it would not go negative on my creditI understand that the paper contract I signed stating if I did not make the full payment the would report but if I would've known they would report after a payment arrangement I would've just kept my payments set at and I would still have my creditThe only way to bring this account up to date is to pay it off Their is no balance after the past due balance It is not fair that they did not notify me that they would report even though I made the payment arrangement now my credit is being penalized Can we not come to an agreement that if I pay a lump sum of that we can close the account due to my credit being penalized !
Final Business Response /* (4000, 9, 2015/07/03) */
July 3,
Re: *** (***) ***
Case # *** (Ref#19-18348-***-8-3100)
Our account # ***
Dear Mr***:
Thank you for your correspondence of June 29, We are sorry to hear that Ms*** did not accept our initial responsePlease include this statement in your department's permanent record
As stated in our initial response, Ms*** was advised that her payment would be considered past due because it was a lesser amount during her telephone conversation with our office on November 18, Also, the contract Ms*** signed explained her monthly payment obligation and the consequences should she fail to make payment as required
However, again, we do commend Ms*** for her efforts to make good her obligation and we would like to work with her to come to a settlement that both parties may agree toWe ask that Ms*** contact our Customer Service Operations Assistant Manager, Megan *** to discuss settling her accountWe are sure she will find Ms*** to be both professional and helpfulMs*** may be contacted at (320)***, Monday through Friday from 9:a.mto 6:p.m(CST)
Should you have any questions or concerns, please do not hesitate to contact me at (320)***
Sincerely,
***
Compliance Manager
Initial Business Response /* (1000, 5, 2015/05/13) */
May 14,
Re: C*** ***
Case No.: ***
Our Account No.: ***
Dear Mr***:
Thank you for your correspondence of May 4, 2015, regarding Mr***'s concernsI have taken the opportunity to review this matter and
ask that you include this statement of our position in your department's permanent record
Preferred Credit, Inc(PCI) is a regulated lender whose business is limited to the purchase of sales finance contracts from third-party independent sellers of various household productsPreferred Credit's credit policy is to grant credit to all buyers who are qualified by virtue of credit worthinessCredit worthiness is determined by income, credit history, stability of employment, assets, and liabilitiesFactors such as gender, age, marital status, national origin, etcare not taken into consideration by Preferred Credit
Great care is taken in the proper servicing, management and collection of all PCI accountsPrior to the extension of credit, on February 13, 2015, our senior account representative, Tyler Oehler, spoke with Mr*** at 5:p.m(CST) to verify the information that Mr*** provided on his credit application was accurate, that Mr*** understood the terms of the contract, that Mr*** was happy with the purchase and that the dealer fulfilled all of the promises made during the presentationAt no time did Mr*** express concern, dissatisfaction or doubt about any of the aforementionedWith that, the proceeds of Mr***'s contract were sent to MD Health Systems, Inc., the original seller
An examination of the customer's account file indicates that the contract is rightfully in effectOn February 13, 2015, Mr*** signed the contract in full faith purchasing the merchandiseA further review of the contract clearly states the appropriate cancellation date of February 18, Because the Mr*** failed to cancel the contract accordingly, the contract remains in full force and effect, as intended, upon the Mr***'s signature on the contract and the passing of the appropriate rescission period
Preferred Credit's policy, in regard to rescission, is reflective of the governing state and federal lawSuch laws were enacted to give the consumer a "cooling-off period" to reflect upon the decision that was made at the point of saleUpon the passing of the rescission period, Preferred Credit is entitled to enforce the contract, as holder in due course, upon the debtor who acknowledged their rights and obligations first by signing the contract and then reaffirmed during our verification process
According to Mr***'s contract, in order to properly cancel the contract, he would have had to mail or deliver a signed and dated cancellation notice or send a telegram to MD Health Systems, Inc., by midnight of February 18, With our initial inquiry, MD Health Systems, Inc., has denied receiving a mailed or delivered, signed and dated copy of the cancellation notice or a telegramHowever, they did inform us that they had telephone conversations with Mr*** on April 6th and April 10th of this year and they assert that their records indicate that this was the first notice that they received that Mr*** wanted to return the defenders; a date that is well after the cancellation period
Mr***'s dispute also indicates he has certain concerns over PCI's recovery effortsPlease note that we have been unable to identify any instance where one of our agents informed Mr*** that we would in fact "sue" his social security to obtain payment on his accountWe apologize if any statement made by one of our agents led Mr*** to believe that this would happen
Nevertheless, we believe an amicable resolution can be achievedIf Mr*** has experienced some financial difficulty since the purchase of his merchandise, we are pleased to inform Mr*** that PCI offers a number of repayment options to individuals in Mr***'s situationWe merely ask that he contact our Senior Customer Service Manager *** *** to discuss payment options and set up an amicable payment arrangementWe are sure he will find Ms*** to be both professional and helpfulMs*** may be contacted at (320) ***, Monday through Friday from a.mto p.m(CST)
Should you have any questions or concerns, please do not hesitate to contact me at (320) ***
Sincerely,
***
Compliance Manager
April 8, Re: *** *** *** *** Consumer Complaint #*** Our account #: *** Dear Mr***: Thank you
for your letter of March 29, regarding Ms***’s concerns. I have taken the opportunity to review this matter and ask that you include this statement of our position in your department’s permanent recordPlease note that PCI is a regulated lender whose business is limited to the purchase of sales finance contracts from third-party, independent sellers of various household productsAs such, PCI takes industry-leading, independent measures, beyond what is required by law, to ensure that any consumer that seeks financing with PCI understands their underlying debt obligation as well as our financing relationship. Prior to the assignment of any sales finance contract, PCI verifies with the consumer that the information the consumer provided with his/her request for financing (i.eMs***’s retail charge agreement) was accurate, that he/she understood the terms of the agreement he/she signed, that he/she was not a victim of identity theft, that he/she was happy with the purchase and that the original seller fulfilled all of the promises made during the presentationThis verification procedure was conducted with Ms*** on November 11, at 1:p.m(CST) and at no time did Ms*** express concern, dissatisfaction or doubt about any of the aforementioned including any concerns on how interest accrues (the average daily balance method), at what rate (18%) or when it might first be due (she had a three month deferral option in which payment is not due for three months therefore payment does not show as owing until such time). Had there been any issue with the nature or terms of the financing she was requesting we would have clarified that matter with Ms*** at that timeOur records indicate this to not be the caseHowever, Ms*** also shares certain concerns regarding issues that have occurred since the time her account was opened. This includes her experience in attempting to transfer her balance to her credit card as well as her experience in navigating our automated phone system. We are sorry to hear she had such negative experiences in both instances. In regard to the former, please note that balance transfers occur regularly and therefore we are unsure why, in this particular instance, the balance transfer did not occurIn regard to the latter, please note that all payment processing occurring within our automated phone system is done by US Bank and therefore the nature and extent of the information is limited given the third-party nature of the systemNevertheless, PCI considers itself to be a relationship-driven company. We will therefore waive half the interest that was paid. Ms*** will therefore be receiving a refund in the amount of $53.97. We believe this to be more than fair under the circumstancesShould you have any questions or concerns, please do not hesitate to contact me at ###-###-####Sincerely, John *** Compliance Manager *** ** *** ***
I am rejecting this response because:
As of August the business was reporting us as more than days lateAttached are bank statements showing that we had been payingI know that we missed some payments I just want the incorrect reports removed
Initial Business Response /* (1000, 5, 2016/01/21) */
January 21,
Re: ***
Case No.: *** (Ref#19-18348-***-4-302)
Our Account No.: ***
Dear Mr***:
Thank you for your correspondence of January 14, 2016, regarding Ms***'s concernsI have taken the
opportunity to review this matter and ask that you include this statement of our position in your department's permanent record
Please note that PCI is a regulated sales finance company located in StCloud, MinnesotaAs such, our business is limited to the purchase of retail installment contracts and other forms of indebtedness from independent sellers of various goods
As a regulated sales finance company, our financing operations are routinely examined for compliance with applicable state and federal law and we have developed programs to meet these requirementsHowever, we have not developed these programs to merely meet applicable state and federal regulationsRather, we have in addition tailored our programs in light our experiences as an indirect lender to better serve the individuals and markets we serveThis means we make special effort to manage our relationship with our customers as it is in the interests of both Preferred Credit, Incand the customer that payment is made on a timely basis as non-timely payments result in late fees and adverse credit reporting
A review of Ms***'s account file reveals that no payment has been received for her October 2015, November 2015, December and January installmentsWe attempted to reach Ms*** as a result in order to remind Ms*** of her past due payments, to alert Ms*** as to the current status of her account, to determine if payment would be forthcoming and whether Ms*** would like to make payment arrangements so Ms*** could avoid late fees and/or adverse credit reporting
A review of Ms***'s account file also reveals that Ms*** had three separate payments dishonored by her bank in early Ms***, as a result, incurred associated dishonored check fees each time her payment was presentedMoreover, as Ms*** was unable to bring her account current since that time, she subsequently incurred late fees and is currently past due $in payments and fees
Nevertheless, in the spirit of compromise, while PCI is entitled to all amounts due under her contract, we will agree to waive all fees Ms*** has incurred upon receipt of a payment in the amount of $which represents Ms***'s past due installments for October 2015, November 2015, December and January PCI believes this to be a fair resolution
Should you have any questions or concerns, please do not hesitate to contact me at (320) ***
Sincerely,
John ***
Compliance Manager
I am rejecting this response because:
Good evening,I would have no problem accepting the proposed resolution, however my calculations of $1,were made prior to my April 15th payment of $Consequently, if the resolution proposal was adjusted to reflect that payment I would have no problem with resolving the account by the May 15th dateIn my opinion,(1300.00) would be a fair settlement for both partiesThis amount doesn't provide a full credit of $129.00, which serves I believe serves as a good faith effort to resolve this accountFurthermore I would like to thank you both for all your help and time concerning this matter
Initial Business Response /* (1000, 7, 2016/01/18) */
January 18,
Re: *** ***
Case No.: *** (Ref#19-18348-***-4-302)
Our Account No.: ***
Dear Mr***:
Thank you for your correspondence of January 5, 2016, regarding Mrs***'s concernsI have taken
the opportunity to review this matter and ask that you include this statement of our position in your department's permanent record
Please note that Preferred Credit, Inc("PCI") is a sales finance company whose business is limited to the purchase of sales finance contracts from various third-party, independent sellers of household goodsWe therefore do not share any common ownership, direction or control with any independent seller, including Total Air Cleaning, LLC
Our records indicate that PCI financed *** and George ***'s purchase of a Rainbow home cleaning system on September 4, from Total Air Cleaning, LLC of Camp Hill, PennsylvaniaOpting to not purchase the item by cash, check, or credit card, the ***'s sought financing by signing both a credit application and a retail installment contract that same dayAccording to the contract the ***'s executed, they agreed to finance $2,over twenty-four (24) equal monthly installments of $commencing October 25,
As an assignee lender, our business practices have been structured to ensure that any consumer for whom PCI provides financing understands the original sale, their underlying debt obligation, and the financing relationshipTo that end, a PCI Senior Account Representative spoke with Mrand Mrs*** over the phone on September 4, at 6:p.m(CST), to verify, among other things, that the information the ***'s provided on their credit application was accurate, that the ***'s understood the terms of the contract they signed, that the payments required under the contract fit into their monthly budget, that they were not victims of identity theft, that they were happy with the purchase, that they retained a copy of their contract, and that the original seller fulfilled all of the promises made during the presentationAt no time during this call did Mror Mrs*** express concern, dissatisfaction, or doubt about the terms of their financing including their required monthly payment and length of the repayment periodHad there been any issue raised regarding these issues, we would have clarified that matter with the ***'s and the original seller at that timeOur records indicate this to not be the case on either count
We subsequently informed the ***'s that they had been approved for financing and sent the proceeds of their contract to Total Air Cleaning, LLC, the original seller
A little over a week later, on September 14, 2015, as part of our quality assurance process, we called and spoke with Mr*** to review his financing arrangementAt that time Mr*** did inquire of our agent why they (the ***'s) did not get a four year loanOur agent advised Mr*** that the contract they executed was for a twenty-four (24) month term and that if they were interested in changing the length of the repayment period, Mr*** would need to contact the original seller
This concern was brought up once more on October 28, 2015, during a telephone conversation with Mrs***Our agent advised Mrs*** that our offices would not be able to change the terms of the contract she executed with the original seller
Additionally, review of the recovery log on this account denotes a professionally and fully compliant approach to the recoveries of this debtA review of the account reveals that on December 29, 2015, our offices called the work number Mr*** provided on his applicationOn that same date, pursuant to Mr***'s request, PCI took the necessary actions so that Mr*** would no longer receive calls at the work number providedAlso, pursuant to Mrs***'s correspondence to your office, we have removed Mr***'s cellular phone number from our system as wellTherefore, Mr*** will no longer receive calls from our office on the cellular number he provided
Nevertheless, in light of Ms***'s concerns regarding the original sale, Preferred Credit, Incwill be cancelling Ms***'s accountWe therefore make no further demand for payment and all credit reporting will be updated to reflect this factWe therefore consider the matter closed
Should you have any questions or concerns, please do not hesitate to contact me at (320)***
Sincerely,
John ***
Compliance Manager
Initial Business Response /* (1000, 7, 2015/07/08) */
July 7,
Re: *** ***
Case No.: Case# *** (Ref#19-18348-***-4-302)
Our Account No.: ***
Dear Mr***:
Thank you for your correspondence of June 25, 2015, regarding Ms***'s concernsI have taken the
opportunity to review this matter and ask that you include this statement of our position in your department's permanent record
Our records indicate we are financing Ms***'s and Mr***'s purchase of a Kirby home cleaning system from McMahan Enterprises, Incof Asheville, North CarolinaThis is evidenced by the application Ms*** and Mr*** completed on February 25, and the retail installment contract they executed that same dayAccording to that contract, Ms*** and Mr*** agreed to make payments of $each month commencing March 25,
A review of Ms***'s and Mr***'s account history indicates that they had made each installment without incident until January of In January of 2015, Ms***'s and Mr***'s payment went dishonored and when no additional payments were made recovery efforts naturally ensued
On March 18, 2015, a PCI field agent Jerry *** visited Ms*** at her residence to discuss her delinquent accountMr*** secured a payment arrangement from Ms*** that would draft payments in the amount of $automatically from her credit card each month commencing March 20,
On March 20, 2015, when PCI attempted to run Ms***'s payment as authorized, her payment was denied due to an invalid account numberWe contacted Ms*** to inform her of this development but she was unavailable to discussWe left a message to have her call us back regarding her account
Later that day, Ms*** contacted our offices regarding the message we had left herOur agents informed Ms*** at that time that the account number she previously provided did not include a valid account numberMs*** then arranged a new payment arrangement in the amount of $to be automatically drafted from her bank account on 20th of each monthUnfortunately, that payment arrangement was also rejected
We again reached out to Ms*** regarding this fact but to no availWith that, our office reached out to the personal references Ms*** provided during the verification processThese names and telephone numbers were obtained so that, in the unlikely event we were to lose contact with a customer, we would have a way to reconnect with our customerThis is the only reason outreach was made to Ms***'s motherWe regret if Ms*** has failed to recount this fact
On April 19, 2015, Ms*** contacted our offices regarding a withdrawal that had been made on her account by PCI on March 25, Our agent informed Ms*** that we had no record of this ever happeningMs*** advised that she would fax in a copy of her bank statement verifying the withdrawal by PCI
On April 21, 2015, PCI received a copy of Ms***'s bank statement identifying the drafted paymentPCI began an immediate investigation into the matter and determined that the payment had drafted in error for another account here at PCI
Ms*** was informed of this fact on April 24, We also inquired as to whether or not Ms*** would nevertheless like to have the amount applied to her account or if she would like a full refund of the paymentMs*** asked whether we would be willing to waive the remaining balance if she agreedWe declined and indicated that we would close Ms***'s account if she would also pay half of the potential remaining balance ($56.09)Ms*** equally declined and PCI refunded amount drafted in error on April 30,
We value Ms*** as a customer and we regret the error in the automatic withdrawal and apologize any hardship this may have caused Ms***For this, PCI is willing to waive all fees and remaining interest on the accountTherefore, Ms*** would merely need to remit $to close her account saving Ms*** almost $in interest and feesThis offer is valid until July 24,
We have also taken the opportunity to review the matter with our customer service managerPlease rest assured that appropriate remedial training will be undertaken
Should you have any questions or concerns, please do not hesitate to contact me at (320) ***
Sincerely,
John ***
Compliance Manager
I am rejecting this response because:
We missed some payments late last yearWe have made many payments on time since and the company is still showing 30/60/90/days lateWe asked them to remove this information, only to show the payments that were actually late and they refusedI am attaching a printout of what they are reporting and pages of bank statements showing payments
Initial Business Response /* (1000, 5, 2015/06/11) */
June 11,
Re: *** ***
Case No.: Case# *** (Ref#19-18348-***-4-302)
Our Account No.: ***
Dear Mr***:
Thank you for your correspondence of June 5, 2015, regarding Mr***'s concernsI have taken the
opportunity to review this matter and ask that you include this statement of our position in your department's permanent record
Preferred Credit, Inc(PCI) is a relationship-driven companyIt is for this reason, among others, why our business practices have been structured to ensure that any consumer understands the original sale, the consumer's underlying debt obligation as well as the financing we are providing before that financing is providedIt is also the reason why we have developed clear standards of conduct, conduct extensive training, and conduct call monitoring for quality assuranceIt is unfortunate, therefore, to hear that despite these efforts that Mr*** was left with a customer service experience that led to the filing of this complaint as we believe Mr*** to be a wonderful customer and value our relationship with him
Prior to the extension of credit, PCI takes the opportunity to speak directly with each consumer to ensure the consumer understands the original sale, the consumer's underlying debt obligation as well as the financing we are providingTo that end, on May 2, 2015, our senior account representative, ***, spoke with Mr*** at 10:a.m(CST) to review the information that Mrand Mrs*** provided on their credit application was accurate, that they understood the terms of the contract they signed, that they retained a copy of the contract they signed, that they were happy with the purchase and that the dealer fulfilled all of the promises made during the presentation
At this time, we also take the opportunity to review with each consumer our automatic payment programMr*** elected to take part in the program, the terms of which was originally included with the application he provided, and reviewed with him during our verification processThis included the clarification that each draft would occur on the 5th of each month and addressed Mr***'s concern as to whether or not additional payments could be made in order to pay off his accountMr***'s automatic payment arrangement was further confirmed by a confirmation letter as well as by a quality assurance call made on May 11,
However, on June 5, 2015, Mr*** contacted our offices seeking a refund of the automatic payment he originally authorized due to an online payment he had made a few days beforeOur agent initially informed Mr*** that it was our policy to not refund payments that were otherwise duly authorizedMr*** asked for an exception to that policy and was ultimately put in contact with one of our customer service managers, ***, to review the matterThe ensuing exchange between Mr*** and our customer service manager, though fully compliant, could have gone betterNevertheless, the call ended with what Mr*** had requested: a refund of his June automatic draft
We value Mr*** as a customer and we appreciate his dedication to honor his contractual obligationsPCI will be refunding Mr*** the amount of the automatic payment taken on June 5, This will be taken care of in an expedited mannerWe have also taken the opportunity to review the matter with our customer service managerPlease rest assured that appropriate remedial training will be undertaken
Should you have any questions or concerns, please do not hesitate to contact me at (320) ***
Sincerely,
***
Compliance Manager
Initial Consumer Rebuttal /* (2000, 7, 2015/06/11) */
(The consumer indicated he/she ACCEPTED the response from the business.)
Initial Business Response /* (1000, 5, 2015/12/17) */
December 17,
Re: *** ***
Case No.: *** (Ref#19-18348-***-4-302)
Our Account No.: ***
Dear Mr***:
Thank you for your correspondence of December 14, 2015, regarding Ms***'s concerns
Preferred Credit, Inc(PCI) takes all such matters seriouslyAs such, I've taken the opportunity to review this matter and ask that you include of copy of our position in your department's permanent record
Please note that PCI is a regulated sales finance company located in StCloud, MinnesotaAs such, our business is limited to the purchase of retail installment contracts and other forms of indebtedness from independent sellers of various goods
As a regulated sales finance company, our financing operations are routinely examined for compliance with applicable state and federal law and we have developed compliance programs to meet these requirementsThese compliance programs extend to our recovery operations
However, PCI has not simply designed our compliance program regarding our recovery operations to ensure compliance with applicable lawWe have in addition tailored our recovery processes and procedures to our experiences as an indirect lenderGenerally, this means we are, unlike other sales finance companies or lenders, more proactive in managing our relationship with our customersWe do this as it is in both the financial interest of the customer as well as PCI that payments are made on a timely basisTherefore, calls are made to alert customers as to the status of their account, to review the activities that have occurred on their account, to determine when payment might be forthcoming, to make possible arrangements to bring the account current and for other legitimate purposes, all in compliance with applicable state and federal lawIf a field agent is in the area and available, they may attempt to visit the customer in person to review the account status in hopes of setting up a payment arrangement so that the customer can avoid any additional fees and/or adverse credit reportingAgain, all being done in compliance with applicable state and federal law
Nonetheless, we recognize Ms***'s concernsWe will therefore cease all collection activity on Ms***'s account, including not having any of our field agents attempt to reach Ms*** in person
Should you have any questions or concerns, please do not hesitate to contact me at (320) ***
Sincerely,
John ***
Compliance Manager
November 17, Re: *** M *** Case No.: *** Our Account No.: *** Dear Mr***:
Thank you for your correspondence of November 16, 2016, regarding Ms***’s concernsI have taken the opportunity to review this matter and ask that you include this statement of our position in your department’s permanent record Please note that PCI is a regulated sales finance company located in StCloud, Minnesota. As such, our business is limited to the purchase of retail installment contracts and other forms of indebtedness from independent sellers of various goods As a regulated sales finance company, our financing operations are routinely examined for compliance with applicable state and federal law and we have developed programs to meet these requirementsHowever, we have not developed these programs to merely meet applicable state and federal regulations. Rather, we have in addition tailored our programs in light of our experiences as an indirect lender to better serve the individuals and markets we serve. This means we make special effort to manage our relationship with our customers as it is in the interests of both Preferred Credit, Incand the customer that payment is made on a timely basis as non-timely payments result in late fees and adverse credit reporting A review of Ms***’s account file reveals that she is set up to receive monthly statements including her total balance, amount due, and due dateIt is then the responsibility of Ms*** to make her agreed upon monthly payment of $by either sending in the payment, making the payment over the phone, or making the payment onlineThe current issue arises from Ms***’s attempt to make her November payment On November 16, Ms*** chose to go to PCI’s website to make a payment toward her contractual obligationDue to the fact that her October payment was not made, the website defaulted to a payment of $216.00, the amount needed to keep the account current through NovemberAt this point Ms*** failed to change the payment amount, resulting in her making a payment of $instead of the $she intendedUpon confirmation of her online payment, Ms*** noticed the error, and placed a call to PCI to double check the amount of the payment she had just madeMs*** spoke with Customer Service Supervisor *** *** at 1:pm (CST), who advised her that because she had made the payment of her own volition, PCI could not stop or adjust the paymentMs*** was also advised that she could log back into her account via the PCI website, cancel the pending payment, and reset for the amount that she wanted Ms*** then placed a second call to PCI on November 16, at 1:pm (CST) and spoke with Customer Service Supervisor Casey ***During this call, Ms*** indicated that she was unable to cancel her payment of $onlineAfter further investigation by Mr***, Ms*** was advised that PCI does not have the ability to stop or adjust online payments and she would need to contact her bank if she would like to cancel that particular paymentMr*** confirmed this with his supervisor and explained to Ms*** that all online payment activities are handled by a third party website that PCI does not have control overMs*** went on to state that the next time her payment came due, she wanted a call either from PCI’s bank (US Bank), or her distributor to tell them that they would not be receiving their paymentMr*** attempted to explain to Ms***, that neither of those entities would be able to assist her, as PCI is who she is making payments to Unfortunately, because Ms*** made the $payment voluntarily, PCI will be unable to refund her any portion of this payment, and the entire $will be applied to her total balanceAs of the date of this letter, Ms***’s account is considered current, and her next payment will be due on December 25, in the amount of $ Should you have any questions or concerns, please do not hesitate to contact me at ###-###-#### Sincerely, John *** Compliance Manager
March 23,
Re: *** ***
Case No.: *** (Ref#19-18348-***-4-302)
Our Account No.: ***
Dear Mr***:
Thank you for your correspondence of March 17, 2016, regarding Ms***'s concernsI have taken the opportunity to review this matter and ask that you
include this statement of our position in your department's permanent record
Please note that Preferred Credit, Inc("PCI") is a sales finance company whose business is limited to the purchase of sales finance contracts from various third-party, independent sellers of household goodsMoreover, it is PCI's credit policy to grant credit to all buyers who are qualified by virtue of creditworthinessCreditworthiness is determined by income, credit history, stability of employment, assets, and liabilitiesFactors such as age, gender, marital status, national origin, etcare not taken into consideration by PCI
Our records indicate that PCI financed Ms***'s purchase of a Kirby home cleaning system on January 24, from Kirby of Etown of Etown, KentuckyOpting to not purchase the item by cash, check, or credit card, Ms*** sought financing by signing both a credit application and a retail installment contract that same dayAccording to the contract she executed, Ms*** agreed to finance $1,over equal monthly installments of $utilizing ACH payments
As an assignee lender, our business practices have been structured to ensure that any consumer for whom PCI provides financing understands the original sale, their underlying debt obligation, and the financing relationshipTo that end, a PCI Senior Account Representative spoke with Ms*** over the phone on January 24, at 5:p.m(CST), to verify, among other things, that the information Ms*** provided on her credit application was accurate, that Ms*** understood the terms of the contract, that the payments required under the contract fit into her monthly budget, that Ms*** was not a victim of identity theft, that Ms*** was happy with the purchase, that Ms*** retained a copy of her contract, and that the original seller fulfilled all of the promises made during the presentationAt no time during this call did Ms*** express concern, dissatisfaction, or doubt about the purchase or her financingWe subsequently informed Ms*** that she had been approved for financing and sent the proceeds of her contract to Kirby of Etown, the original seller
Additionally, on or about January 27, 2015, our offices forwarded three separate letters to Ms***Each of the three letters forwarded to Ms*** provided our mailing address and telephone numberAlso, one of the letters confirmed the ACH payment arrangement with Ms***In fact, our offices received correspondence from Ms*** on February 12, 2015, wherein Ms*** wrote our office a note on the back of one of our January 27th lettersAt that time, Ms*** advised that she would like to cancel the contractOur offices called Ms*** that same day in follto further discuss her correspondence to our officeOur office has had no further contact with Ms*** until receiving her correspondence to your office
As of today's date, PCI has received a total of $on Ms***'s account leaving her with a remaining balance of $1,with her next payment being due on April 15,
If Ms*** would like to receive monthly statements, we would ask that she contact our customer service department at (800) ***Our agents would be happy to assist Mr*** in getting set up with monthly statementsAdditionally, our Customer Service Department will be able to answer any questions Ms*** may have regarding her accountIn the alternative, Ms*** may reach us at:
Preferred Credit, Inc
** *** ***
StCloud, MN
Please also note that PCI is a regulated sales finance company and licensed to conduct business in the states in which we conduct businessAs such, we are examined on a regular basis regarding our financing operationsThese examinations verify PCI's compliance with applicable state and federal regulations including billing procedures
Should you have any questions or concerns, please do not hesitate to contact me at (320) ***
Sincerely,
John ***
Compliance Manager
Initial Business Response /* (1000, 8, 2015/11/24) */
November 24,
Re: *** ***
Case #: # *** (Ref#19-18348-***-4-302)
Our account #***
Dear Mr***:
Thank you for your correspondence of November 13, regarding Ms***'s concernsPreferred
Credit, Inc(PCI) is pleased to inform Ms*** and the Revdex.com that on November 12, our offices issued an ACH refund to Ms*** in the amount of $to her bank account from which the automatic payments had been withdrawn in an effort to resolve the matterNonetheless, I have taken the opportunity to review this matter and ask that you include this statement of our position in your department's permanent record
Our records indicate we financed Ms***'s purchase of a Kirby home cleaning system from *** Enterprises (d/b/a Kirby of Laredo) of Laredo, TexasThis is evidenced by the retail installment contract Ms*** executed on June 19, According to that contract, the Ms*** agreed to finance $2,over thirty-six equal installments of $commencing July 20,
Prior to the extension of credit, PCI takes the opportunity to speak directly with each consumer to ensure the consumer understands the original sale, the consumer's underlying debt obligation as well as the financing we are providingTo that end, on June 19, 2015, our senior account representative, Travis ***, spoke with Ms*** at 7:p.m(CST) to review, among other things that the information that Ms*** provided on her credit application was accurate, that she understood the terms of the contract she signed and that she retained a copy of the contract she signed
At this time, we also take the opportunity to review with each consumer our automatic payment programMs*** elected to take part in the program, the terms of which was originally included with the application she provided, and reviewed with Ms*** during the verification callMs***'s automatic payment arrangement was further confirmed by a confirmation letter mailed to her verified home address on June 30,
As part of our quality assurance program, we called Ms*** on June 25, 2015, to review the financing we provided Ms***Ms*** advised our offices that her spouse recently contacted the original seller, *** Enterprises, regarding cancelling the contract she entered intoShe advised it was her understanding that *** Enterprises intended to pick up the Kirby the next day
Our offices reached out to *** Enterprises on June 26, 2015, and was advised that their offices had not received any cancellation notice from Ms***With that, our offices proceeded to keep Ms***'s account open and continued to send monthly statements to Ms*** advising her of the authorized automatic payments being withdrawn
PCI first became aware that Ms*** had a concern regarding the automatic payment transactions on her bank account when Ms*** called our offices on October 22, and advised that the Kirby had been returned and that our offices were taking payments that were not authorizedOur customer service representative, Karlee ***, advised Ms*** that our offices reached out to *** Enterprises following our last telephone discussion with her and was advised that no notice of cancellation had been received and that to date, our offices had not received any notice of cancellation from *** EnterprisesHowever, Ms*** informed Ms*** that our offices would reach out to the original seller again to clarify the status of Ms***'s account and apologized for any inconvenience this may have caused Ms***
Our offices immediately reached out to *** Enterprises and was advised that their offices had accepted Ms***'s notice of cancellation, though it had been received after the passing of the rescission periodWe immediately stopped the automatic payments on Ms***'s account and our accounting department began processing a refund for Ms*** the following day, October 29,
Ms*** called our offices again on November 2, 2015, inquiring about the status of her refundOur customer service representative, Keondra ***, explained to Ms***
that her refund was processed on October 29, Ms*** advised Ms*** that she might receive the refund as soon as the next dayUnfortunately, Ms*** misunderstood the notes on Ms***'s accountWhile the refund process began October 29, (one day after receiving confirmation of the cancellation from the original seller), it does take some time for the refund to actually be processed through our accounting department and was ultimately returned via ACH on November 12, We apologize to Ms*** for this miscommunication regarding the status of her refund
We therefore consider this matter closedHowever, should you have any questions or concerns, please do not hesitate to contact me at (320) ***
Sincerely,
John ***
Compliance Manager
Initial Business Response /* (1000, 5, 2015/12/21) */
December 21,
Re: *** ***
Case No.: Case# *** (Ref#19-18348-***-4-302)
Our Account No.:***
Dear Mr***:
Thank you for your correspondence of December 14, 2015, regarding Mrs***'s concernsWe wish to
take this opportunity to thank Ms*** for bringing this matter to our attention and for the opportunity to formally address her concerns in turn
Preferred Credit, Inc(PCI) considers itself to be a relationship-driven companyIt is for this reason, among others, that we provide our customers with various different methods with which to make payment on their accountThis includes making payments through our online payment system as well as making payment over the phone
For online payments, PCI employs a fully integrated and automated system serviced by US BankWhen a customer opts to pay online, PCI directs the customer through a link at our website to the processing center at US BankUS Bank then takes all appropriate actions securing the transaction: i.everifying the customer with their account, ensuring that there are sufficient funds, etcUpon completion of this process, US Bank then coordinates withdrawal of all associated payments authorized by the consumer
In contrast, all payments made by phone are handled internallyAll necessary procedures, workflows, training and quality assurance have been incorporated into our regular business practices to ensure proper handling of all such payments
A review of Ms***'s account file indicates that Ms*** was looking to pay off her account in late November, On November 19, 2015, Ms*** contacted our offices seeking a payoff quote at which time our agent provided this amount (i.e$valid up to November 20, 2015) to Ms*** but Ms*** did not wish to actually pay off at that timeMs*** then contacted our offices on November 23, 2015, seeking this time to payoff of her account and received an updated payoff quote in the amount of $She then authorized a one-time payment in the amount of $in an apparent attempt to close her account on November 25,
However, a review of our records also indicates that Ms*** had a recurring automatic payment arrangement set up online with US BankThis arrangement called for the automatic draft of $to be drafted from Ms***'s bank account on the 25th of each month and was scheduled to run until her account was either paid in full or her authorization was otherwise revoked in a timely mannerUnfortunately, our records do not indicate that this authorization had been revoked as Ms*** indicated and this payment too was scheduled to be drafted on November 25,
Therefore, with Ms***'s payment authorization made by phone on November 23, 2015, two payments, one in the amount of $and another in the amount of $133, were drafted on November 25, The former cleared while the latter did notIf the latter had in fact cleared, Ms*** would be entitled to a refundHowever, this was not the case and no refund is due
Nevertheless, we regret the circumstances which appear to have led to the filing of this complaintThis includes the fact that our agents informed Ms*** that she would be entitled to a refund of her $payment on both November 27, as well as December 21, Please note that at neither of these times were our agents aware of the fact that Ms***'s payment in the amount of $made on the 25th of November would ultimately be returned by Ms***'s bank on December 15, as "not authorized."
Again, we wish to thank Ms*** for bringing this matter to our attention and to address her concerns in turnShould there be any other questions or concerns, please do not hesitate to contact me at (320) ***
Sincerely,
John ***
Compliance Manager
Initial Consumer Rebuttal /* (3000, 7, 2015/12/23) */
(The consumer indicated he/she DID NOT accept the response from the business.)
I have now received a letter of Notice of Dishonor claiming that my draft of $as nonsufficient fundsThis letter states to send them the $plus a service charge of $for the total of $I went to my bank and stopped payment on the charge and that is why it was sent backIt was not because nonsufficient fundsAlso, they keep sending me email stating that they are going to draft my checking account on 12/25/and 1/25/In these emails it shows that the balance is Zero
Complaint Response Date bumped because: Holiday
Final Business Response /* (4000, 10, 2015/12/28) */
December 28,
Re: *** ***
Case No.: Case# *** (Ref#19-18348-***-4-302)
Our Account No.:***
Dear Mr***:
Thank you for your correspondence of December 23, 2015, regarding Ms***'s further concernsPlease include this response in your department's permanent record
Review of Ms***'s account reveals that on December 17, 2015, four days prior to our filing of our response with your office, a "Notice of Dishonor" correspondence was computer generated upon return of the $"not authorized" paymentWe apologize for any confusion this may have caused Ms*** and given the current status of her account (paid in full with a zero balance), we request that Ms*** disregard that correspondence
Also, as stated in our previous correspondence, withdrawal of all associated payments set up through the online payment system, authorized by Ms***, are processed by US BankThe emails Ms*** refers to in her correspondence to your office were generated by US BankPlease note that we have taken the opportunity review the status of Ms***'s online payment authorizationOur investigation indicates that Ms***'s online automatic payment authorization has been stoppedShe should therefore neither receive any additional email correspondence from US Bank nor should any further payment be processed
Again we apologize for any confusion that may have resulted in light the events and circumstances that have occurred on Ms***'s accountPlease rest assured that we have closed Ms***'s account as "paid in full" and therefore make no further demand for payment
Should there be any other questions or concerns, please do not hesitate to contact me at (320) ***
Sincerely,
John ***
Compliance Manager
Final Consumer Response /* (2000, 16, 2015/12/29) */
Thank you for your help in getting this solvedYou are a blessing to usAnd would you send MrJohn *** a thank you from me for correcting my account
Regards,
*** A***
July 1, Re: *** *** Case ID No.: *** Our Account No.: *** Dear Mr***: Thank you
for your e-mail of July 21, 2016, regarding Mrs***’s concernsI have taken the opportunity to review this matter and ask that you include this statement of our position in your department’s permanent record Preferred Credit, Inc(PCI) is a relationship-driven company. It is for this reason, among others, why our business practices have been structured to ensure that any consumer understands the original sale, the consumer’s underlying debt obligation as well as the financing we are providing before that financing is providedIt is also the reason why we have developed clear standards of conduct, conduct extensive training, and conduct call monitoring for quality assuranceIt is unfortunate, therefore, to hear that despite these efforts that Mrs*** was left with a customer service experience that led to the filing of this complaint as we believe Mrs*** to be a wonderful customer and value our relationship with her Prior to the extension of credit, PCI takes the opportunity to speak directly with each consumer to ensure the consumer understands the original sale, the consumer’s underlying debt obligation as well as the financing we are providingTo that end, on October 3, 2011, a senior account representative spoke with Mrs*** to review the information that Mrand Mrs*** provided on their credit application was accurate, that they understood the terms of the contract they signed, that they retained a copy of the contract they signed, that they were happy with the purchase and that the dealer fulfilled all of the promises made during the presentation At this time, we also take the opportunity to review with each consumer our automatic payment program. Mrs*** elected to take part in the program, the terms of which was originally included with the application he provided, and reviewed with her during our verification process. This included the clarification that each draft would occur on the 20th of each month. Mrs***’s concerns appear to rise out of a call she made to our offices on June 16, Mrs*** made this call in attempt to pay her balance in full ($260.40), instead of her scheduled automatic monthly payment of $Mrs*** was made aware that the earliest her payment of $could be posted would be June 20, This happened to be the date of her scheduled automatic payment of $In an effort to avoid both payments being drawn, Mrs*** requested that her automatic payment be stopped and only the payment of $be drawn from her accountThe PCI representative indicated that he would cancel the automatic payment and assured Ms*** multiple times that both payments would not be drawn However, on June 20, 2016, Mrs*** contacted our office inquiring as to why both payments had been drawn on that date when she was assured that they would not beA PCI representative apologized to Mrs*** for this mistake and indicated that the previous representative had not stopped her automatic payment as she had requestedThis oversight by the previous representative had caused both payments to be drawn and put Mrs***’s account at a negative balanceMrs*** said that she had transferred sufficient funds into that account to cover the double draw but did not know if she took such action in time to avoid any overdraft fees At this point the PCI representative apologized again and made Mrs*** aware that she would be refunded her overpayment of $and that PCI would cover any overdraft fees incurredWhen Mrs*** was told that it could take up to four weeks for her to receive her refund, she became distressedThe PCI representative told Mrs*** that the refund could be rushed if PCI received a copy of her bank statement or other proof that both payments were drawn and would not be returnedMrs*** was advised that a screenshot of her bank account information would be sufficient and could be e-mailed to PCI as soon as possibleMrs*** proceeded to e-mail that screenshot shortly after the call ended Since Mrs***’s e-mail was sent on June 20, she has made multiple inquiries into when she should be expecting her refundA PCI representative advised Mrs*** that as soon as the accounting department had handled the refund she would be made awareOn June 21, A PCI representative contacted Mrs*** and assured her that the refund would be sent at the end of the next week In addition, Mrs*** claims that this was not the first time that PCI had drawn a double payment on her accountShe indicated that in the previous instance, she was not issued a refund because she had a remaining balanceThis issue arises from transactions that occurred on March 22, In this instance, Mrs*** had actually arranged two separate payments on her ownHer account was automatically drawn for the amount $as she had previously set upIn addition to that payment, Mrs*** went online and made a separate individual payment of $PCI customers do have the option to make additional payments when set up for automatic withdrawalsAs Mrs***’s second payment was arranged and made completely of her own volition, no refund was issued PCI recognizes Mrs*** as a valuable customer and greatly appreciates her commitment to fulfill her contractual obligationsPCI again apologizes to Mrs*** for the mistake made by its representative, we have reviewed proper protocol with our representatives, and rectified the issue as quickly as possibleIn fact, Ms***’s refund was sent today and should be received in the next few days Should you have any questions or concerns, please do not hesitate to contact me at ###-###-#### Sincerely, John *** Compliance Manager
Initial Business Response /* (1000, 5, 2015/07/02) */
July 2,
Re: *** ***
Case #: *** (Ref#19-18348-***-4-302)
PCI Account #: ***
Dear Mr***:
Thank you for your letter of June 25, regarding Ms***'s concernsI have taken the opportunity to
review this matter and ask that you include this statement of our position in your department's permanent record
Preferred Credit, Inc(PCI) is a relationship-driven companyIt is for this reason, among others, why our business practices have been structured to ensure that any consumer understands the original sale, the consumer's underlying debt obligation as well as the financing we are providing before that financing is providedIt is also the reason why we have developed clear standards of conduct, conduct extensive training, and conduct call monitoring for quality assuranceIt appears that an unfortunate set of circumstances have given rise to Ms***'s concerns regarding her account at Preferred Credit, IncWe regret these circumstances and apologize for any action on our part that may have contributed to the situationWe believe Ms*** to be a wonderful customer and value our relationship with her
Our records indicate we are financing the purchase of a Rainsoft water system from Lifetime Solutions, Incof Victorville, California for *** and *** ***Mrand Mrs*** completed and entered into a retail charge agreement on April 8, According to their contract, they agreed to make payments of $due each month commencing May 19,
Unfortunately, Ms***'s financial situation changed and did not allow her to meet this obligationMs*** called our offices on January 6, requesting a temporary modification to her monthly repayment obligation changing her monthly payment to $PCI agreed to a three month modification beginning with Ms***' January payment through her March payment and advised Ms*** that she would be assessed late fees and the payment plan would be reflected upon her credit bureau reportWe also advised Ms*** that our office would contact her at the conclusion of her payment plan to discuss payment of the amount that would be past due and payment of the late fees that would be incurred as a result of the payment planWe regret that this did not occur and we apologize to Ms*** for this error
Our records also indicate that Ms*** also called our offices on May 8, with a concern regarding our credit bureau reporting on her account reflecting that she was days past dueAt that time it was explained to Ms*** that her account was past due as we had not received her April payment and there was a past due amount following the modification to the repayment of her loanFollowing some discussion, Ms*** requested that she return to the original agreement and resume making automatic payments for the contractual monthly payment of $Unfortunately, due to an error on the part of our account representative, Ms***'s automatic payment we set up for a withdrawal of $163.93, $less than the contractual amount thereby reporting Ms***'s account as past due and causing Ms*** to incur late feesWe apologize to Ms*** for this oversight
We value Ms*** as a customer and we appreciate her dedication to honor her contractual obligationsPCI will therefore refund Ms*** all late fees incurred from May through June and PCI will remove all associated credit reportingThis will all be taken care of in an expedited matterPlease note we have also taken the opportunity to review the matter with our customer service manager to help prevent this from occurring again
Should you have any questions or concerns, please do not hesitate to contact me at (320) ***
Sincerely,
John ***
Compliance Manager
Initial Consumer Rebuttal /* (3000, 7, 2015/07/02) */
(The consumer indicated he/she DID NOT accept the response from the business.)
I have read the response and if I contacted them may and they set up my payments wrong the late fees from May of to June should be refunded and NOT just May to June
Please approach PCI to addressThank You
Final Consumer Response /* (3000, 16, 2015/08/26) */
The creditor still has not corrected the payment reporting to the credit bureauCreditor never rectified their errorsThey are still reporting us as being late when payments are being deducted from our account automatically as scheduled
Final Business Response /* (4000, 18, 2015/08/28) */
August 28,
Re: *** ***
Case #: *** (Ref#19-18348-***-4-302)
PCI Account #: ***
Dear Mr***:
Thank you for your letter of August 26, regarding Ms***'s further concernsPlease include this response in your department's permanent record
As stated previously, our records indicate that Ms*** contacted our offices on January 6, requesting a temporary modification to her minimum monthly payment due to a change in her financial situationPCI, in response, agreed to a three month modification beginning with Ms***'s January paymentIn doing so, we informed Ms*** that she would not only be assessed corresponding late fees but that this fact would be reflected on her credit bureaus
Also, our records cannot confirm that Ms*** contacted our offices seeking to resolve her past due accountNevertheless, in recognition of Ms***'s attempts to address her past due account, we have made such changes as are necessary in order to reflect her account as current, including waiving any associated late fees, and have removed our negative reporting on her accountWe therefore consider the matter closed
Should you have any questions or concerns, please do not hesitate to contact me at (320) ***
Sincerely,
John ***
Compliance Manager
Initial Business Response /* (1000, 5, 2015/10/08) */
October 8,
Re: M***
Case ## *** (Ref#19-18348-***-4-302)
Our account # ***
Dear Mr***:
Thank you for your correspondence of October 5, regarding M***'s calling concernsI have taken
the opportunity to review this matter and ask that you include this statement of our position in your department's permanent record
PCI considers itself to be a relationship-driven companyAs such, we appreciate any and all feedback in order to ensure we are providing the best possible experience and level of customer serviceWe therefore wish to thank M*** for bringing this matter to our attention
We also wish to take this opportunity to inform M***, and the company M*** appears to represent, that no further attempt at contact will be made at the number identified
Should you have any questions or concerns, please do not hesitate to contact me at (320) ***
Sincerely,
John ***
Compliance Manager
Initial Consumer Rebuttal /* (2000, 7, 2015/10/08) */
(The consumer indicated he/she ACCEPTED the response from the business.)
While I'm relieved to hear that we are being removed from the call list, it should not have required contacting the Revdex.com and the Federal Trade CommissionI urge anyone who receives multiple calls from this company to file a complaint on the FCC Do Not Call website and with the Revdex.com
Revdex.com:
I have reviewed the response made by the business in reference to complaint ID ***, and find that this resolution is satisfactory to meI have paid off the remaining $as of 10/18/with the approval code 021512. Thank you for helping me in this matter
Initial Business Response /* (1000, 5, 2015/06/26) */
June 26,
Re: *** (***) ***
Case # ***(Ref#19-18348-***-4-302)
Our account # ***
Dear Mr***:
Thank you for your correspondence of June 22, regarding Ms***'s concernsI have taken the
opportunity to review this matter and ask that you include this statement of our position in your department's permanent record
Our records indicate that we are financing the purchase of a Kirby vacuum cleaner from *** of Lubbock, Texas for *** (n/k/a ***) and *** ***On May 22, 2012, Ms*** and Mr*** completed an application for credit and entered into a retail installment contractAccording to their contract, they agreed to thirty-six (36) payments of $due on the 7th of each month commencing July 7,
On November 18, 2014, PCI representative *** *** called Ms*** regarding her accountMs*** advised that she and Mr*** were now divorced and inquired about making lower monthly paymentsMs*** advised Ms*** that if she were to set up a monthly payment arrangement this would keep Ms*** from being contacted each month from PCIAfter some discussion, Ms*** agreed to set up an automatic payment arrangement to have $be drafted every fourth Friday of the month
Ms***'s new payment arrangement of $per month began on December 12, As scheduled, Ms***'s monthly payments were withdrawn from her bank account and because the monthly payment was less than contracted for, $83.11, a late fee was incurredThese facts were reported to the credit reporting agencies accordingly
Ms*** claims that she was not advised that her less than full payment would show upon her credit bureau or that she would incur a fee for each delinquent paymentPlease note that Ms*** did advise Ms*** that her payment would be considered past due because it was a lesser amount during her call with Ms*** on November 18, Moreover, prior to that, Ms***'s contract stated the following regarding her monthly payment obligation:
"You promise to pay us the "Total of Payments" on the front of this Contract in the number and amount of the monthly installments and on the due dates, at our office address..."
Ms***'s contract further informed Ms*** what may happen should she fail to make payment as required:
"We may report information about your account to credit bureausLate payments, missed payments, or other defaults on your account may be reflected in your credit report."
Nevertheless, as a relationship-driven company, and in recognition of Ms***'s efforts to make good on her obligation, we believe an amicable resolution can be achievedWhile we are unable to update to accommodate Ms***'s credit reporting request, as this would be a violation of law, we are able to waive all late fees incurred since the onset of her payment arrangement back in DecemberTo avoid further fees, and therefore, negative credit reporting, we recommend Ms*** to contact our offices to bring her account current and then establish a regular payment arrangement for her regular monthly payment amount on the same date as beforeThis will ensure she is no longer pass due, ensures timely payment going forward and will work with her monthly budget as originally intended back in December
I hope you find this is responsive to Ms***'s concernsShould you have any questions or concerns, please do not hesitate to contact me at (320)***
Sincerely,
***
Compliance Manager
Initial Consumer Rebuttal /* (3000, 7, 2015/06/26) */
(The consumer indicated he/she DID NOT accept the response from the business.)
The company notified that their would be a past due balance within the company The whole reason for the payment arrangement was so it would not go negative on my creditI understand that the paper contract I signed stating if I did not make the full payment the would report but if I would've known they would report after a payment arrangement I would've just kept my payments set at and I would still have my creditThe only way to bring this account up to date is to pay it off Their is no balance after the past due balance It is not fair that they did not notify me that they would report even though I made the payment arrangement now my credit is being penalized Can we not come to an agreement that if I pay a lump sum of that we can close the account due to my credit being penalized !
Final Business Response /* (4000, 9, 2015/07/03) */
July 3,
Re: *** (***) ***
Case # *** (Ref#19-18348-***-8-3100)
Our account # ***
Dear Mr***:
Thank you for your correspondence of June 29, We are sorry to hear that Ms*** did not accept our initial responsePlease include this statement in your department's permanent record
As stated in our initial response, Ms*** was advised that her payment would be considered past due because it was a lesser amount during her telephone conversation with our office on November 18, Also, the contract Ms*** signed explained her monthly payment obligation and the consequences should she fail to make payment as required
However, again, we do commend Ms*** for her efforts to make good her obligation and we would like to work with her to come to a settlement that both parties may agree toWe ask that Ms*** contact our Customer Service Operations Assistant Manager, Megan *** to discuss settling her accountWe are sure she will find Ms*** to be both professional and helpfulMs*** may be contacted at (320)***, Monday through Friday from 9:a.mto 6:p.m(CST)
Should you have any questions or concerns, please do not hesitate to contact me at (320)***
Sincerely,
***
Compliance Manager
Please see attached
Initial Business Response /* (1000, 5, 2015/05/13) */
May 14,
Re: C*** ***
Case No.: ***
Our Account No.: ***
Dear Mr***:
Thank you for your correspondence of May 4, 2015, regarding Mr***'s concernsI have taken the opportunity to review this matter and
ask that you include this statement of our position in your department's permanent record
Preferred Credit, Inc(PCI) is a regulated lender whose business is limited to the purchase of sales finance contracts from third-party independent sellers of various household productsPreferred Credit's credit policy is to grant credit to all buyers who are qualified by virtue of credit worthinessCredit worthiness is determined by income, credit history, stability of employment, assets, and liabilitiesFactors such as gender, age, marital status, national origin, etcare not taken into consideration by Preferred Credit
Great care is taken in the proper servicing, management and collection of all PCI accountsPrior to the extension of credit, on February 13, 2015, our senior account representative, Tyler Oehler, spoke with Mr*** at 5:p.m(CST) to verify the information that Mr*** provided on his credit application was accurate, that Mr*** understood the terms of the contract, that Mr*** was happy with the purchase and that the dealer fulfilled all of the promises made during the presentationAt no time did Mr*** express concern, dissatisfaction or doubt about any of the aforementionedWith that, the proceeds of Mr***'s contract were sent to MD Health Systems, Inc., the original seller
An examination of the customer's account file indicates that the contract is rightfully in effectOn February 13, 2015, Mr*** signed the contract in full faith purchasing the merchandiseA further review of the contract clearly states the appropriate cancellation date of February 18, Because the Mr*** failed to cancel the contract accordingly, the contract remains in full force and effect, as intended, upon the Mr***'s signature on the contract and the passing of the appropriate rescission period
Preferred Credit's policy, in regard to rescission, is reflective of the governing state and federal lawSuch laws were enacted to give the consumer a "cooling-off period" to reflect upon the decision that was made at the point of saleUpon the passing of the rescission period, Preferred Credit is entitled to enforce the contract, as holder in due course, upon the debtor who acknowledged their rights and obligations first by signing the contract and then reaffirmed during our verification process
According to Mr***'s contract, in order to properly cancel the contract, he would have had to mail or deliver a signed and dated cancellation notice or send a telegram to MD Health Systems, Inc., by midnight of February 18, With our initial inquiry, MD Health Systems, Inc., has denied receiving a mailed or delivered, signed and dated copy of the cancellation notice or a telegramHowever, they did inform us that they had telephone conversations with Mr*** on April 6th and April 10th of this year and they assert that their records indicate that this was the first notice that they received that Mr*** wanted to return the defenders; a date that is well after the cancellation period
Mr***'s dispute also indicates he has certain concerns over PCI's recovery effortsPlease note that we have been unable to identify any instance where one of our agents informed Mr*** that we would in fact "sue" his social security to obtain payment on his accountWe apologize if any statement made by one of our agents led Mr*** to believe that this would happen
Nevertheless, we believe an amicable resolution can be achievedIf Mr*** has experienced some financial difficulty since the purchase of his merchandise, we are pleased to inform Mr*** that PCI offers a number of repayment options to individuals in Mr***'s situationWe merely ask that he contact our Senior Customer Service Manager *** *** to discuss payment options and set up an amicable payment arrangementWe are sure he will find Ms*** to be both professional and helpfulMs*** may be contacted at (320) ***, Monday through Friday from a.mto p.m(CST)
Should you have any questions or concerns, please do not hesitate to contact me at (320) ***
Sincerely,
***
Compliance Manager
April 8, Re: *** *** *** *** Consumer Complaint #*** Our account #: *** Dear Mr***: Thank you
for your letter of March 29, regarding Ms***’s concerns. I have taken the opportunity to review this matter and ask that you include this statement of our position in your department’s permanent recordPlease note that PCI is a regulated lender whose business is limited to the purchase of sales finance contracts from third-party, independent sellers of various household productsAs such, PCI takes industry-leading, independent measures, beyond what is required by law, to ensure that any consumer that seeks financing with PCI understands their underlying debt obligation as well as our financing relationship. Prior to the assignment of any sales finance contract, PCI verifies with the consumer that the information the consumer provided with his/her request for financing (i.eMs***’s retail charge agreement) was accurate, that he/she understood the terms of the agreement he/she signed, that he/she was not a victim of identity theft, that he/she was happy with the purchase and that the original seller fulfilled all of the promises made during the presentationThis verification procedure was conducted with Ms*** on November 11, at 1:p.m(CST) and at no time did Ms*** express concern, dissatisfaction or doubt about any of the aforementioned including any concerns on how interest accrues (the average daily balance method), at what rate (18%) or when it might first be due (she had a three month deferral option in which payment is not due for three months therefore payment does not show as owing until such time). Had there been any issue with the nature or terms of the financing she was requesting we would have clarified that matter with Ms*** at that timeOur records indicate this to not be the caseHowever, Ms*** also shares certain concerns regarding issues that have occurred since the time her account was opened. This includes her experience in attempting to transfer her balance to her credit card as well as her experience in navigating our automated phone system. We are sorry to hear she had such negative experiences in both instances. In regard to the former, please note that balance transfers occur regularly and therefore we are unsure why, in this particular instance, the balance transfer did not occurIn regard to the latter, please note that all payment processing occurring within our automated phone system is done by US Bank and therefore the nature and extent of the information is limited given the third-party nature of the systemNevertheless, PCI considers itself to be a relationship-driven company. We will therefore waive half the interest that was paid. Ms*** will therefore be receiving a refund in the amount of $53.97. We believe this to be more than fair under the circumstancesShould you have any questions or concerns, please do not hesitate to contact me at ###-###-####Sincerely, John *** Compliance Manager *** ** *** ***
I am rejecting this response because:
As of August the business was reporting us as more than days lateAttached are bank statements showing that we had been payingI know that we missed some payments I just want the incorrect reports removed