The Michigan Secretary of State has suspended the license of a used-vehicle dealer after the dealer allegedly did not provide service contract protection that was purchased by customers.
As a result of an investigation, department staff discovered that Northern Motors, LLC in Clare failed to forward funds provided by consumers for the purchase of extended service warranties. The dealership then failed to take the necessary steps to activate the warranties, leaving the customers without warranty protection in the event of a mechanical breakdown.
A hearing will be scheduled at which Northern Motors will have the opportunity to contest the suspension. Additional administrative actions are also possible.
The Consumer Financial Protection Bureau took action against Experian and its subsidiaries for deceiving consumers about the use of credit scores it sold to consumers.
Experian claimed the credit scores it marketed and provided to consumers were used by lenders to make credit decisions. In fact, lenders did not use Experian’s scores to make those decisions.
The CFPB ordered Experian to truthfully represent how its credit scores are used. Experian must also pay a civil penalty of $3 million.
Experian developed its own proprietary credit scoring model, referred to as the “PLUS Score,” which it applied to information in consumer credit files to generate a credit score it offered directly to consumers. The PLUS Score is an “educational” credit score and is not used by lenders for credit decisions.
From at least 2012 through 2014, Experian violated the Dodd-Frank Wall Street Reform and Consumer Protection Act by deceiving consumers about the use of the credit scores it sold. In its advertising, Experian falsely represented that the credit scores it marketed and provided to consumers were the same scores lenders used to make credit decisions. In fact, lenders did not use the scores Experian sold to consumers.
In some instances, there were significant differences between the PLUS Scores that Experian provided to consumers and the various credit scores lenders actually use. As a result, Experian’s credit scores in these instances presented an inaccurate picture of how lenders assessed consumer creditworthiness.
For the fourth consecutive year, Credit Acceptance Corp. has been named as one of the 2017 Fortune 100 Best Companies to Work For.
The list recognizes companies that have exceptional workplace cultures. Credit Acceptance ranked No. 43 out of the best companies in America.
The Michigan Secretary of State suspended the license of a Muskegon used-vehicle dealer after consumer complaints led department investigators to the discovery of violations.
Several consumers who had purchased vehicles from Arizona Charlie’s Auto & Truck Sales in Muskegon complained that the dealership had not sought titles and registrations within the required 15 days of vehicle delivery. When an investigator from the department’s Office of Investigative Services visited the dealership, the owner could not provide required paperwork for several vehicles that had been sold.
A summary suspension was served on the dealer on March 7, at which time he surrendered his license.
Laws requiring detailed recordkeeping protect against the sale of stolen vehicles and parts, and ensure the vehicle buyer receives a clear and valid title to prove ownership.