CFPB Orders Ally to Pay $98 Million Over Auto Lending Discrimination
January 6, 2014
The CFPB and the Department of Justice last month ordered Ally Financial and Ally Bank to pay a total of $98 million to resolve complaints about discriminatory auto loan pricing towards African-American, Hispanic and Asian/Pacific Islander borrowers. The settlement provides $80 million in compensation for victims of alleged past discrimination by Ally, one of the nations largest auto lenders, and requires the lender to pay $18 million to the CFPBs civil penalty fund. Ally also must refund discriminatory overcharges...