Reliable Credit Association (WA)

The consumer filed this complaint with the Revdex.com on May Reliable Credit Association, Inc(WA) (“Reliable”) received the consumer’s complaint on June Reliable reviewed the complaint, reviewed the consumer’s account, and conducted an investigationA summary of the facts of the account and Reliable’s decision to not repossess and sell the vehicle are set forth below The consumer is a co-borrower on a direct loan with Reliable dated October 11, The loan is secured by a Dodge Durango (“vehicle”)The loan had a principal balance of $4,596.03, a rate of 24.99%, and required monthly installment payments of $due the 15th of each monthThe account was paid timely through the March installment On April 20, 2017, the customer called Reliable stating the vehicle needed mechanical repairsAn installment payment was due for April and the customer stated that she could make that payment by May That payment arrangement was acceptable to ReliableReliable scheduled a payment follow up date for May On April 28, the customer called Reliable again, informing us that she would not be able to afford the mechanical repairs the vehicle requiredThe customer stated that she may need to voluntarily surrender the vehicleA Reliable employee invited the customer to apply for an additional loan to pay for the repairs rather than surrender the vehicleThe customer voluntarily applied for such a loanReliable processed and approved a credit application for $1,to repair the vehicleOn May 2, the customer informed Reliable that she was not interested in consummating the loan because it would be too costly The customer’s complaint alleges that had she taken out the loan, she would have owed over $10,That is not accurateAt the time of loan approval, the balance of the account was $4,If the consumer had signed the approved loan, the new principle balance would have been roughly $5,(plus interest and late fees accrued from the date of last payment and date of the new loan signing, plus any optional ancillary products) The customer alleges that Reliable told her “these ways to get the money for the pay off in an illegal way.” Reliable does not understand what the consumer alleges is illegalReliable’s offer to the customer to apply for another loan to make the repairs to the vehicle is not illegalThe customer voluntarily applied for the loan and ultimately decided against signing itThe customer also alleges that Reliable told her to part the vehicle and scrap itReliable never made that suggestionIn fact, the customer herself asked Reliable for the title to the vehicle so she could scrap it outReliable fairly told the customer that it would not release the title The customer wanted Reliable to repossess the vehicleOn May 4, a Reliable representative advised her that Reliable must evaluate the vehicle’s value to determine if it was cost effective for Reliable to pick up and sell the vehicleReliable’s research determined that the estimated value of vehicle at auction was between $and $1,On May 5, Reliable informed the customer that it was not cost effective for it to pick up and sell the vehicleHowever, Reliable agreed to reduce the interest rate on the account from 24.99% to 6% and the payment amount from $to $At this time the account was still due for the April installment payment On May 9, Reliable contacted the customer to follow up on the payment arrangements the parties made on April The customer asked Reliable to charge off the accountReliable informed the customer that if Reliable charges off the account, the account will be sent to a third-party collection agencyShe asked Reliable to please send it to collection and she would not pay us anythingThe account was coded for charge off and assigned to a third-party collection agency on May The customer’s requested resolution is for Reliable “to make this right.” On June 1, before Reliable received this Revdex.com complaint, Reliable offered to release the title to the vehicle for a payment of $via cash or cashier’s check – the lowest estimated gross proceeds that Reliable would obtain from the sale of the vehicleOn June 2, the consumer contacted Reliable and stated that they liked the offer and should be able to accept it by payment on or before June Reliable has docketed a follow up date with the consumer of June