• Report: #244632

Complaint Review: Toyota Motor Credit/Toyota Of Irving/Patt Lobb/ Ourisman Toyota

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  • Submitted: Wed, April 18, 2007
  • Updated: Fri, April 20, 2007

  • Reported By:'FRISCO Texas
Toyota Motor Credit/Toyota Of Irving/Patt Lobb/ Ourisman Toyota
19001 South Western Nationwide U.S.A.

Toyota Dealers And Products Toyota Irving, Toyota Motor Credit abusive practice being used by auto dealerships to overcharge consumers without their knowledge Torrance California, Irving Texas

*Consumer Comment: comment

*Consumer Comment: Please be respectful, everyone does not have bad credit.

*Author of original report: Please be respectful, everyone does not have bad credit.

*Consumer Comment: Does it really matter who keeps the money when you've been overcharged?

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Ladies and Gentlemen:

As consumers, we would like to call to your attention an abusive practice being used by auto dealerships to overcharge consumers without their knowledge. We believe that the practice is especially prevalent in situations involving minorities who have little or no prior experience with consumer loans. This practice often involves a two-tier approach. In addition to misleading consumers regarding their credit ratings and, therefore, the interest rates available to them, dealers knowingly quote rates to buyers at the high end of the rate scale available to them based upon their credit tier in order to sell their installment sale contracts to finance companies, including the auto manufacturer captive finance companies, at premiums that are not disclosed to the buyers. This practice results in significant additional costs to unwitting consumers who often happen be those who can least afford it. The practice also violates at least the spirit of the federal Truth-in-Lending laws in that it deprives consumers of material information necessary to make an informed decision as to whether accept a particular loan. In recent years, there has been legislative and agency action in the residential mortgage industry to require disclosure of a similar practice in that industry, the payment of yield spread premiums to mortgage brokers and bankers. We believe that similar action is necessary to adequately protect consumers against the abusive practices prevalent today in the auto dealer industry. Accordingly, we call upon the auto industry to voluntarily begin requiring dealers to disclose the range of interest rates available to a consumer based upon his or her credit tier and the premium payable to the dealer for the various rates available in his or her tier and we also call upon Congress and the FTC to enact legislation and rules that require this disclosure.



Thank you for your time and attention to this matter.






Let's be truly Toyota Motor Credit has continued to deceive many of their customers. And I am one of them. Please tell your customer who has had a Toyota Repo. How the game really works. According to the loan industry,
Banks have insurance on loans. So if the bank reposes the automobile, does not your insurance cover the debt, then your company writes it off on the company taxes. The next year earning it shows profit. Not from the true earnings. But from all the collections.

So tell me as a repeat customer your company has change the Texas Finance code to benefit TMC. Where does it state in this section interest is calculated from the last payment received. If it is a simple interest loan.

Since Toyota loves the repeat customers so much, tell the customers and the public, why I was offered another 17.7% (tier 4) with 72(tier4) months as an encore customers. (This type of rate is for high risk) The first was 17.4% with 72 months. or say your customer has great credit. Instead of 5.99% Toyota offers them a 8.99% Your franchised dealerships receive all and any interest rates for the lenders. So stop telling customers you are an indirect lender.

Tell your customers there is a range of tier 1, 2, 3, 4 what you offer the customer is not the true interest rate. Your bank is a tier 1 they purchased bonds to buy the rates. They purchase rates as low as 1-4% to sell. So how much profit are you stealing from the customers who are not knowledgeable.

Please do not shop at Toyota of Irving (texas) or Patt Lobb(texas) or Ourisman Toyota (FAIRFAX)

Tell the world why your company only pulls from Equifax. Because Equifax gives the lowest beacon score. Example Equifax rounds the numbers to the lowest. The truly daily is the pier Diem rate example 13.47 x 30 off the balance of the loan. 2005 This will be the interest taken out of the monthly payment.
2007 9.47x30 the due date the 24th of each month.

MS.MORALES in the office of President. 310.468.1310 REMOVED PAYMENTS AND CHANGED DOCUMENTS SO IT WOULD ALWAYS SO 30 DAYS BEHIND.

Toyota says to take 4 months off the next payments go into interest. It have always been 23 days ahead.
Toyota also added extra days on the payment history
say you pay your bill on the 24th (the company see you paid it. phone pay e-pay (Toyota adds 2-3 more days. extra interest But nothing is documentment for the customers.

HOW MUCH INTEREST DO YOU THINK TOYOTA TOOK IN THE FIRST YEAR.

Balance $28,467,68 17.40% interest

2005
(1ST YEAR)
$645.00
$500.00
$1,295.00
$956.00
$175.00
$645.40
$653.00
$75.00
$655.30
$1,832.00
$645.00
$590.00

$8,396.70 (TOTAL)
$0.00
$8,396.70


2006
(2) YEAR

$645.00
$645.00
$645.00
$645.00
$645.00
$646.00
$646.00
$646.00
$646.00
$646.00
$644.00
$644.00

$7,743.00 (TOTAL)
$0.00
$7,743.00

2007
(3) YEAR
$644.00
$644.00
$644.51 last month paid 1200 worth of interest but my pier diem day rate is 9.47.

$1,932.51
$0.00
$1,932.51


Interest is calulated on a 30 day cycle. From the date of the installment. It does not matter if you pay early as long as you do not pay late. After the due date the interest start over base off the balance. Not if I pay 6 days ahead of schedule





342.002. INTEREST COMPUTATION METHODS. (a) The
Scheduled installment earnings method is a method to compute an
Interest charge by applying a daily rate to the unpaid balance of
The principal amount as if each payment will be made on its
Scheduled installment date. A payment received before or after the
Due date does not affect the amount of the scheduled principal
Reduction.
(b) The true daily earnings method is a method to compute an
Interest charge by applying a daily rate to the unpaid balance of
The principal amount. The earned finance charge is computed by
Multiplying the daily rate by the number of days the principal
Balance is outstanding.
(c) For the purposes of
Subsections (a) and (b), the daily
Rate is 1/365th of the equivalent contract rate.

Amended by Acts 1999, 76th Leg., ch. 62, 7.19(a), eff. Sept. 1,
1999; Acts 1999, 76th Leg., ch. 909, 2.05, eff. Sept. 1, 1999.



Baby Doll
'FRISCO, Texas
U.S.A.

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This report was posted on Ripoff Report on 04/18/2007 02:52 PM and is a permanent record located here: http://www.ripoffreport.com/r/Toyota-Motor-CreditToyota-Of-IrvingPatt-Lobb-Ourisman-Toyota/nationwide/Toyota-Dealers-And-Products-Toyota-Irving-Toyota-Motor-Credit-abusive-practice-being-used-244632. The posting time indicated is Arizona local time. Arizona does not observe daylight savings so the post time may be Mountain or Pacific depending on the time of year.

Ripoff Report has an exclusive license to this report. It may not be copied without the written permission of Ripoff Report.

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Updates & Rebuttals

#1 Consumer Comment

comment

AUTHOR: Mike - (U.S.A.)

The point I was trying to make is that if a consumer is offered a loan at a certain APR, and they accept that offer, and they are actually charged that APR, it might be overcharging, but it's not a ripoff in the true sense.

It's like buying a loaf of bread in a store for $3.00, even though the store across the street is selling the same bread for $1.50. The buyer made a consensual deal in a free market.

Most likely the store owner is keeping the extra $1.50 because both stores paid the bakery the same amount for the bread. This is exactly the same as a car dealer marking up the APR on a loan.

Now if banks had a way to guarantee that they couldn't lose money on defaulted car loans, they would want to approve every loan. They'd lose money declining people, even those with terrible credit. Clearly since that doesn't happen, banks have reason to care whether loans are repaid or not.

For the record I don't work for Toyota or anywhere in the car or financial business.
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#2 Consumer Comment

Please be respectful, everyone does not have bad credit.

AUTHOR: Sunshine - (U.S.A.)

Dear Sir, TMC, and Toyota of Irving

Commission Sales is very cut throat. In today economy, there are too many risks. As I have studied and worked for Large Banks as they merge. Bank does not loose money. Banks are more selective when it comes to whom they prefer do business and whom they chose to extend credit. Dealerships are different. Banks will allow dealerships to make the decision on interest rates. Nevertheless, the bank will make the profit. Banks take the profit from the high interest loans and trade with the foreign exchange. Larger Banks will not go out of Business. Banks have debt insurance, believe me. TMC is a Japanese company. Asian knows how to invest in debt income. If you challenge me, call insurance companies and ask if they do insure Banks for debts. Banks have a certain amount of money they are require to loan out. Remember banks borrow money from the Federal Reserve.
They must pay it back with interest.


Look at Ford and Chryslers how much money do they make exchanging the Americans dollar. Banks are nothing but numbers on papers. Find out who is the investor of these companies. Learn not to speak what you have not learned. How can a bank stay in business with all the foreclosures and repossess, ten million is not allot of money, for loans. Research Toyota Financial Savings Bank.


Sir anyone can be deceived. Look at Enron and MCI; if you feel I am wrong do your research. The US Treasury department has a fraud center, call them ask them. Understand whom you work for. So when the situation happens to you or a member of your family. Then you can say does it really matter who keeps the money.

Dealership will not go out of business; layoff notices are given to the call centers, banking reps, administration, when the dealerships are cheating consumers. . Toyota Motor Credit has allowed the dealership to put negative effect on families, business. Each time a consumers receives a bad deal, it like a virus customers start to talk. This website was not built on good business practices. For the bad credit, we live in a world where no one is happy for the small things.
Bigger is better. So for some whom choose not to have allot of debt, they are a high risks. For someone whom had a great credit history with TMC was offered another high-risk loan.

This is a contradictions to the meaning of Good Customer Service (we value repeat customers) .What value is it When Ms. Morales @ 800.874.8822. (x39479) @ The office of President takes money out of the customer's accounts, so TMC can receive extra interest always 30 days behind. However, Ms. Morales has the copy of the cash check. How many customers pay twelve hundred dollars in interest in twenty-two days? When does a refund check go to the financial person @ the dealership for a refund? Toyota Motor Credit refunded a check to Lilly Mcllian (yes her name was on the check) in the use car department @ Toyota of Irving. 972.258.1200. According to Service Group Insurance out of Austin Texas. Toyota of Irving and TMC has arranged so the refund checks go to the customers payment center and not to the principal address in Cedar Rapids. According to the Owner of Toyota Motor Credit. He wrote a letter saying the car had been finance for $23,120.00 (but the contract was for 28,467.86) Lilly was in charge of this project Lilly and TMC decided not to rebook the paperwork contract just give the customer $500.00 and screw up her loan balance. Why has taken 3 months for TMC to get the results about the $500.00 refund. TMC said it was a refund. So where are the documents for the refund? The $500 dollars was removed from my account. However, Ms. Morales lied and said it was in 2005. It was in March 2007. Ms. Morales continue to change documents. Therefore, will she be the fall of TMC. It always starts with the paper work she needs to speak to the people of Enron and MCI. Ms. Morales has taken a large step. Not only has she charged the numbers to reflex deceit d corruptions. She decided to adopt families, friends, and coworkers in this web of deceit.

Ms. Morales is playing a dangerous game with families' income including her own.

Why TMC will not calculate the interest on the correct date. Ms. Morales told me that I had to write a letter to correct any changes. Nevertheless, according the documents Ms. Morales sent. TMC added and change information on my account with any written correspondence from myself. In the contract, it states no oral agreement shall be enforced. Ms. Morales has accepted forged documents for the dealerships. TMC has the ability to make the dealerships do the write thing. TMC has purchased the contract from the dealership. The contract cannot be changed it must be enforced. Ms. Morales works for the president of the company. Therefore, I guess he feels it is okay to continue to cheat the consumers. More money for his pocket.

Be aware I have had three Toyota paid all in cash all new. Not only will I not purchase another Toyota, I will not by any car from General Motors.


Thanks
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#3 Author of original report

Please be respectful, everyone does not have bad credit.

AUTHOR: Sunshine - (U.S.A.)

Dear Sir, TMC, and Toyota of Irving

Commission Sales is very cut throat. In today economy, there are too many risks. As I have studied and worked for Large Banks as they merge. Bank does not loose money. Banks are more selective when it comes to whom they prefer do business and whom they chose to extend credit. Dealerships are different. Banks will allow dealerships to make the decision on interest rates. Nevertheless, the bank will make the profit. Banks take the profit from the high interest loans and trade with the foreign exchange. Larger Banks will not go out of Business. Banks have debt insurance, believe me. TMC is a Japanese company. Asian knows how to invest in debt income.

If you challenge me, call insurance companies and ask if they do insure Banks for debts. Banks have a certain amount of money they are require to loan out. Remember banks borrow money from the Federal Reserve.
They must pay it back with interest.


Look at Ford and Chryslers how much money do they make exchanging the Americans dollar. Banks are nothing but numbers on papers. Find out who is the investor of these companies. Learn not to speak what you have not learned. How can a bank stay in business with all the foreclosures and repossess, ten million is not allot of money, for loans. Research Toyota Financial Savings Bank.


Sir anyone can be deceived. Look at Enron and MCI; if you feel I am wrong do your research. The US Treasury department has a fraud center, call them ask them. Understand whom you work for. So when the situation happens to you or a member of your family. Then you can say does it really matter who keeps the money.

Dealership will not go out of business; layoff notices are given to the call centers, banking reps, administration, when the dealerships are cheating consumers. . Toyota Motor Credit has allowed the dealership to put negative effect on families, business. Each time a consumers receives a bad deal, it like a virus customers start to talk. This website was not built on good business practices. For the bad credit, we live in a world where no one is happy for the small things.
Bigger is better. So for some whom choose not to have allot of debt, they are a high risks. For someone whom had a great credit history with TMC was offered another high-risk loan.

This is a contradictions to the meaning of Good Customer Service (we value repeat customers) .What value is it When Ms. Morales @ 800.874.8822. (x39479) @ The office of President takes money out of the customer's accounts, so TMC can receive extra interest always 30 days behind. However, Ms. Morales has the copy of the cash check. How many customers pay twelve hundred dollars in interest in twenty-two days? When does a refund check go to the financial person @ the dealership for a refund? Toyota Motor Credit refunded a check to Lilly Mcllian (yes her name was on the check) in the use car department @ Toyota of Irving. 972.258.1200. According to Service Group Insurance out of Austin Texas. Toyota of Irving and TMC has arranged so the refund checks go to the customers payment center and not to the principal address in Cedar Rapids. According to the Owner of Toyota Motor Credit. He wrote a letter saying the car had been finance for $23,120.00 (but the contract was for 28,467.86)

Lilly was in charge of this project Lilly and TMC decided not to rebook the paperwork contract just give the customer $500.00 and screw up her loan balance. Why has taken 3 months for TMC to get the results about the $500.00 refund. TMC said it was a refund. So where are the documents for the refund? The $500 dollars was removed from my account. However, Ms. Morales lied and said it was in 2005. It was in March 2007. Ms. Morales continue to change documents. Therefore, will she be the fall of TMC. It always starts with the paper work she needs to speak to the people of Enron and MCI. Ms. Morales has taken a large step. Not only has she charged the numbers to reflex deceit d corruptions. She decided to adopt families, friends, and coworkers in this web of deceit.

Ms. Morales is playing a dangerous game with families' income including her own.

Why TMC will not calculate the interest on the correct date. Ms. Morales told me that I had to write a letter to correct any changes. Nevertheless, according the documents Ms. Morales sent. TMC added and change information on my account with any written correspondence from myself. In the contract, it states no oral agreement shall be enforced. Ms. Morales has accepted forged documents for the dealerships. TMC has the ability to make the dealerships do the write thing. TMC has purchased the contract from the dealership. The contract cannot be changed it must be enforced. Ms. Morales works for the president of the company. Therefore, I guess he feels it is okay to continue to cheat the consumers. More money for his pocket.

Be aware I have had three Toyota paid all in cash all new. Not only will I not purchase another Toyota, I will not by any car from General Motors.


Thanks
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#4 Consumer Comment

Does it really matter who keeps the money when you've been overcharged?

AUTHOR: Mike - (U.S.A.)

Dealers will do this to anyone. Minority or majority, rich or poor, if they convince get you to accept a rate that is higher than you could get in the free market, someone will pocket the difference. It is up to the buyer to know what they really can qualify for and walk out without signing if the rate is too high.

There's no insurance on loans. Someeone really will lose money if the borrower doesn't pay. But they do get a tax break for that. Big businesses rarely end up having to pay any taxes.

A person's credit scores may vary between the different bureaus but it is not a conspiracy. The credit bureau only provides raw data (all your accounts, balances, late payments, etc.) to a third party company (usually Fair Isaac, Inc.) which digests that data into a score.

The law that you quoted does exactly allow interest to be computed daily "starting with the last payment." Every day, interest is applied based on that day's balance. When a payment is made, it reduces the balance by paying the interest off first. This is simple daily interest. Nearly all car loans use it. Mortgage loans do typically use "scheduled installment earnings" or simple monthly interest. The interest computation method will be disclosed in the contract.
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