FRANKFORT, Ky. (WKYT) – Kentucky Attorney General Russell Coleman announced on Monday that the commonwealth is part of a $694 million, multi-state settlement with Credit Acceptance Corporation.
The commonwealth will receive $10 million in debt relief and restitution after CAC sold loans to customers it knew could not afford them.
As part of the settlement, CAC must also inform customers of loan risks and offer protection from certain types of loans and products such as:
- CAC will provide “off ramps” starting this November and 95 % debt relief for certain types of loans made starting in Dec. 2025. The company is prohibited from filing collection lawsuits against customers with these kinds of loans;
- A process to prevent unlawful service…