Latest CFPB Supervisory Highlights shares auto finance violations

by America's Credit Unions

The CFPB’s latest Supervisory Highlights describes the agency’s supervisory findings related to illegal practices in auto finance, including repossession of cars after the borrower made timely payments or received loan extensions. No credit unions were mentioned in the report.

This edition pulls from examinations generally completed between Nov. 1, 2023 and August 30, 2024. Key issues for credit unions to take note:

  • Consumers encounter difficulties – particularly at subprime auto finance companies – with being charged for products they did not agree to purchase.
  • Some service providers wrongfully repossessed vehicles after failing to cancel orders to repossess vehicles when consumers had made proper arrangements, or without having a valid recorded lien to the vehicle; and

 

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