Search Results: Auto Finance

Credit Union Enters Into Consent Order with U.S. Attorney's Office Over Alleged SCRA Violations

On March 11, 2022, the U.S. Attorney’s Office (USAO) for the Eastern District of Virginia filed a consent order and settlement with a Virginia-based credit union for alleged violations of the Servicemembers Civil Relief Act (SCRA). The lawsuit, filed in U.S. District Court for the Eastern District of Virginia, alleged that the defendant unlawfully charged…

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Massachusetts AG Settles Claims Against Subprime Auto Lender for $5.56 Million

On February 8, 2022,​ the Massachusetts Attorney General’s Office (Massachusetts AG) announced that it entered into a settlement agreement with a lender concerning its subprime auto loan disclosure and debt collection practices.  The Massachusetts AG filed an assurance of discontinuance​ in Suffolk County Superior Court alleging that the lender failed to provide consumers with adequate disclosures regarding how deficiencies…

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California DFPI Reaches Agreement with Lender to Temporarily Halt Operations

​On December 14, 2021, the California Department of Financial Protection and Innovation (DPFI) announced that it entered what it described as a “novel” consent ​order with a Los Angeles-based automobile title loan lender prohibiting the company from marketing or servicing title loans under $10,000 with interest rates above 36 percent within the state of California for the next…

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DOJ Reaches $1.5 Million Settlement with Auto Lender Resolving Alleged SCRA Violation

On September 29, 2021, the Department of Justice (DOJ) announced that it reached a settlement with a California-based auto lender, resolving allegations that the lender violated the Servicemembers Civil Relief Act (SCRA). In a simultaneously-filed complaint filed in the United States District Court for the Central District of California, the DOJ…

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Mississippi Attorney General Reaches Settlement with Auto Lender to Resolve Claims of Deceptive Practices

​On July 21, 2021, the Mississippi Attorney General announced that it had reached a settlement with a national auto lender to resolve claims that the company placed borrowers into auto loans with a high probability of default.  The Attorney General also alleged that the auto lender engaged in aggressive collection practices in violation…

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NY DFS Enters Consent Orders with Two Indirect Auto Lenders for a Combined $625,000 in Civil Penalties

On June 29, 2021, the New York Department of Financial Services (DFS) announced it entered consent orders with two New York-based banks for allegedly violating New York’s fair lending laws in the course of providing auto loans. The banks will pay $275,000 and $350,000 in penalties to the state to resolve the allegations. DFS alleged that the…

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Massachusetts AG Announces Settlement with Auto Lender for Alleged Unfair and Deceptive Acts and Practices

O​n May 27, 2021, the Massachusetts Attorney General’s Office (AG) announced that it had reached a settlement with a subprime auto lender resolving alleged violations of the state’s unfair and deceptive acts and practices law. The Massachusetts AG alleged that the auto lender, in connection with its purchase of auto retail installment sales contracts from…

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