DETROIT (AP) — Toyota Motor Credit Corp. will pay $21.9 million to black and Asian borrowers as part of a settlement over alleged discriminatory lending.
The U.S. Department of Justice and the Consumer Financial Protection Bureau announced the settlement Tuesday.
A government investigation found that dealers were marking up interest rates on loans to minority buyers between 2011 and 2016. Under the settlement, Toyota will cap the amount dealers can mark up a loan.
Toyota Motor Credit is the nation’s largest captive auto lender. The company denies wrongdoing and said it didn’t know the race of credit applicants, but agreed to the settlement because it was fair to customers and dealers.
Toyota is the latest auto lender to settle a discrimination case. Ally Financial and Honda’s U.S. finance arm have reached similar settlements.
- Posted February 04, 2016
- Tweet This | Share on Facebook
Toyota Credit settles U.S. discrimination allegations
headlines Oakland County
- Attorneys sharpen courtroom skills at inaugural program
- Michigan tax preparers indicted for conspiring to defraud the United States and preparing false tax returns
- Woman pleads no contest on multiple cases, including embezzlement of $90K from her father
- As the country turns 250, retired judges hit the road to defend judicial independence
- Private mobile home water services provider, president sentenced for falsifying water safety, discharge tests
headlines National
- ABA connects death row inmate to pro bono attorneys who help free him
- ACLU and BigLaw firm use ‘Orange is the New Black’ in hashtag effort to promote NY jail reform
- 2 judges suspended in separate cases after being indicted on criminal charges
- Convicted ex-judge gets $5K fine but no prison time in immigration case
- Ohio governor signs bill prohibiting foreign litigation funding
- Many small firms collect payments faster than BigLaw counterparts, new data shows
