CFPB sues auto loan company for illegal debt collection tactics against servicemembers

Alleging that auto loan company Security National Automotive Acceptance Company misled servicemembers about the consequences of nonpayment, the Consumer Financial Protection Bureau yesterday filed suit against the company in federal court in Ohio. The CFPB alleges that the company used a combination of illegal threats and deceptive claims to collect debts. The suit seeks compensation for harmed consumers, a civil penalty, and an order prohibiting the company from committing future violations.

The CFPB's press release is here.

The CFPB's complaint is here.