Credit Acceptance’s $27M Predatory Lending Settlement In Massachusetts
More than 3,000 borrowers across Massachusetts who fell victim to a predatory subprime car loan company could be eligible for a payback under a $27.2 million settlement, Attorney General Maura Healey announced.
“Thousands of Massachusetts consumers, many of them first-time car buyers, put their faith in CAC to help them with an auto loan but were instead lured into high-cost loans, fell deeper in debt and even lost their vehicles,” Healey said during a Wednesday Zoom press conference with three consumers who were targeted by the company.
She added: “With this significant $27 million settlement, eligible Massachusetts drivers who have been suffering under the weight of a crushing car loan due to CAC’s deceptive practices will be able to receive relief and avoid new defaults.”
The Suffolk Superior Court settlement with national subprime auto lender Credit Acceptance Corporation is the largest settlement of its kind, Healey’s office said.
