Legal Question in Credit and Debt Law in Ohio
In December of 2014 I was searching for a new vehicle before my lease expired. I applied to several credit agencies to obtain the best interest rate and was approved by Ford Credit at their best tier, Tier 0. I was eligible for 60 months 0% interest or 72 months 0% interest.
I went to a Ford dealership nearby and began working with them. They needed me to fill out a Ford credit application and provide them with the Ford credit code so they could send it in to Ford Credit and verify that I was already approved - so I did just that.
A few days later their sales manager began to try to pressure me into taking a higher interest loan through a third party bank. I refused, stating that I was going to stick to my 0% interest loan for 72 months as that was what was best for me. I later found out the dealership was lying to me about vehicle availability and purchased my new vehicle from another dealership.
A couple weeks later I began receiving credit rejection notices from banks. The day the sales manager talked to me, and I explicitly refused his attempts, he applied me to three separate banks for loans.
I contacted the BBB to attempted to have them assist with the dealership helping me get this inquiries removed from my credit - since I had already applied to several banks on my own (about 4), I now have about 7 hard inquiries showing I applied for loans which put a pretty hard hit on my credit. Three of them were not authorized.
The Ford dealership claimed they were simply trying to get me the best interest rate during my dispute with the BBB and provided a copy of the credit application they needed me to fill out to verify Ford Credit approved me.
I disputed that and provided my Ford application number and that I was already approved and had accepted the 0% interest loan, therefore they could not find me a better interest rate as 0% is the best. The BBB has closed the complaint and says that the business has responded in "good faith".
Is there anything that can be done, either to have this company compensate me for damage to my credit or to force them to contact the lenders and inform them that they applied me without my authorization?
1 Answer from Attorneys
In Ohio, you would likely have a claim for relief under the Ohio consumer sales practices act. Under Ohio revised code 1345.03 you could claim that this was an unconscionable act by the supplier (the dealership).
You could also send letters to the credit reporting agencies informing them that they have inaccurate information about the number of hard inquiries that should be on your record. They will then have to do an investigation to see if there information is correct and/or justified. If they refuse to correct the inaccurate information you could bring a lawsuit against them and the fair credit reporting act. You may also have a claim for relief under the fair credit reporting act against the dealership since they applied for credit without your permission.
It is important to note that the Better Business Bureau is a mediation service only. Its findings are not determinative of your rights in a court of law.
If you wish to speak to an attorney about this further you can contact me at 614-580-4316 or you can email me at [email protected].
Very truly yours,
Eric E. Willison
Related Questions & Answers
Looking for something else?
10,200 active attorneys ready to answer your legal questions today.
Featured Attorneys
Earn additional revenue and grow your business.
