The financing arm of Nissan Motor Company will pay a $4 million fine to the Consumer Financial Protection Bureau (CFPB) to settle charges that it wrongfully repossessed vehicles and committed other unfair and deceptive practices, the regulator announced Tuesday.
The CFPB alleged that Nissan Motor Acceptance Corp. (NMAC) violated consumer protection regulations by repossessing vehicles despite previous agreements with customers not to do so, refusing to return property left in repossessed vehicles to customers until they paid a fee, and pushing customers into costlier and misleading loan repayment and extension options.
Nissan agreed to pay up to $1 million in restitution to harmed consumers along with the $4 million fine, and promised that it would halt the practices at the heart of the order.
“NMAC denies any wrongdoing but has agreed to settle with the CFPB in the best interest for all parties. While NMAC disagrees with the CFPB’s claims,