News & Events zu Credit Acceptance Corp (CACC)CACCCredit Acceptance Corp

New Jersey Reaches $694M Settlement with Credit Acceptance Corporation

New Jersey Attorney General Jennifer Davenport and the Division of Consumer Affairs announced that Credit Acceptance Corporation, one of the nation's largest auto finance companies, will provide $694M in cash and debt relief to car buyers who received a CAC auto loan. CAC was facing allegations that it targeted credit-challenged and low-income consumers with offers to help them improve their credit but provided them with expensive car loans that its own systems predicted certain borrowers could not afford and then subjected borrowers to aggressive debt-collection tactics. "Access to a car helps families get to work, take their kids to school, and build financial stability-but when car payments become unaffordable, that stability turns into a spiral of debt and financial distress," said Attorney General Jennifer Davenport. "I am proud of the way New Jersey and our fellow states stepped up to obtain relief for car buyers who suffered devastating consequences as a result of CAC's conduct." Joining Attorney General Davenport in the settlement with CAC are the Attorneys General of Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, the District of Columbia, Florida, Georgia, Hawaii, Illinois, Indiana, Kentucky, Louisiana, Maine, Maryland, Michigan, Minnesota, Nebraska, Nevada, New Hampshire, New Mexico, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Utah, Vermont, Virginia, Washington, and Wisconsin joined this settlement. New York is concurrently settling litigation it brought against CAC in the Southern District of New York.