Santander Consumer USA – Lawsuits Against Santander Consumer USA

Santander Consumer USA has been under fire recently after it was revealed that it is one of the largest debt settlement companies in the United States. However, did you know that this particular company is one of the most successful? This article will discuss how Santander has become a giant in debt relief and credit card counseling.

In the late 90’s Santander Consumer USA became the first of its kind to offer debt settlement programs.

They quickly became the favorite of consumers and were highly recommended by consumers on the Oprah Winfrey show. However, as with all other things in the US financial sector there were rumors of shady practices. When these rumors surfaced, there were calls for a boycott of Santander Consumer USA and of any company that use the word “debt” in their advertising. Ultimately, these rumors turned out to be unfounded and the company continued to expand.

Unfortunately, this did not stop Santander from expanding their business model into lawsuits against santander consumer USA.

This is a tactic that is often used by predatory lending institutions to force unwilling consumers into settling their credit card debts for pennies on the dollar. If you are reading this article then you must know that you have absolutely no obligation to accept anything from anyone and you do not have to continue to pay your credit card debt. You have the right to walk away. Santander Consumer USA is the first and only lending institution to ever use the practice of lawsuits in the form of debt settlements. This is in direct violation of the Fair Debt Collection Practices Act.

What many consumers do not realize is that when a consumer agrees to accept a settlement they agree to release all of their rights to pursue their creditors in order to repay their debts.

Many consumers believe that once they accept a settlement they have fulfilled their part and their loans will be paid off. This is completely untrue and a misleading statement of fact. Once consumers commit to a settlement, they cannot be harmed by their lenders as the penalties and collection costs are assessed to the account holder’s credit card company.

The original intent of the FCRA was to protect American citizens from abusive and deceptive practices of credit card companies.

The problem was that the FCRA was not effective as it required that debtors take their word for it that they will be able to make payments. This would be very risky for the credit holder as credit cards carry high interest rates. Furthermore, if a debtor fails to make payment there is very little the credit company can do because the law does not require them to collect on a defaulted debt. There are no lawsuits filed against Santander Consumer USA and they have not been forced to admit or publicly apologize for their lawsuits against the residents of Toledo.

One last tip for consumers who are struggling with their credit cards and think they may be a target for a lawsuit: call the Consumer Financial Protection Bureau or the FCRA and ask for information regarding any pending lawsuits.

You may also want to check your credit report and find out what exactly is being reported regarding your debt problem. Many times, inaccurate information is reported and this needs to be taken care of immediately. By staying informed about your rights and knowing your legal rights you will be in a much better position of ensuring that you do not become another statistic. The truth is that more people are filing lawsuits against Santander Consumer USA and other credit card companies, and consumers need to stand up and support the rights of those individuals who have suffered financial harm as a result of poor lending decisions.