General Motors’ captive finance arm, GM Financial, has agreed to pay over $1.8 million after it allegedly violated Massachusetts consumer protection laws. It’s estimated that more than 2,000 Massachusetts residents may be eligible for compensation under the new settlement.
According to a recent report from The Wall Street Journal, Massachusetts Attorney General Maura Healey said on Monday that GM Financial had agreed to the $1.8 million payout. According to the allegations, Americredit Financial Services Inc., doing business as GM Financial, did not pay the interest required after it failed to provide consumers with refunds of guaranteed asset protection enrollment fees. Additionally, Attorney General Healey’s office alleges that GM Financial to not provide sufficient information to consumers after repossessing their vehicles.
“We hope this settlement provides relief to the thousands of borrowers who have been affected by GM Financial’s alleged actions,” said Attorney General Healey.
Per the report, guaranteed asset protection is offered as a product that limits the difference between the amount that a borrower owes on a car loan and the payment on an auto insurance claim, in the event that the financed vehicle in question is totaled. Typically, this is sold as an add-on product that is financed with the auto loan.
In other recent GM Financial news, the automaker’s captive finance arm made $2 billion during the 2021 calendar year through re-selling used vehicles that were either returned through lease expirations or through repossessions. The profits helped to grow total GM Financial profits to $5 billion, as compared to $2.7 billion the year prior.
It was also recently announced that General Motors will launch Cadillac Financial, a new Cadillac-centric financing brand that falls under the broader GM Financial captive finance arm. Cadillac Financial will provide a variety of services, including a new website, a concierge service, and Cadillac-branded customer experience teams, all of which will work to create a carefully tailored experience specific to Cadillac customers.
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Comments
US$ 1 800 000 + US$ 250 000 to Ukraine seems = US$ 2 050 000 … well could buy a Good House with the Money, but not in the Sunny Beauty Florida Palm Beach in front of Ocean with a yacht at Pier….
The 1.8 million is a fine the 250k was a donation they made that they didn’t have to do. They had no choice but to pay the fine.
I know that … was joking with the numbers… has not recognized ?! because a good sum will never have in Life, GM paid me $ 500 as salary in 1995 monthly … when to collect for even 250 k was mission impossible like is for the now Kharkiv, Khelston, Kyiw and so on people to go up from the apocalyptic Putinitler has done in 2 weeks… know very well how hard life is … so it was just a play with those numbers, ridiculous from the now GM … so good the fine, GM goes deep in Pocket as fine what they were egoistic with the Ukraine people… but our humans world is unfortunate so, only money numbers, that’s the way … humans will never learn the things important in life, air, water, earth, animals, nature etc … for them it is just 500 m high buildings in New York Chicago Detroit
Hey MAGA 2024 (I hope DJT comes back as well) BUT…I’m sorry you need to do some research!! This corporation has been screwing people since 1941… how about you know what your talking about before you type!