CFPB Lets Toyota Escape Over $40 Million in Customer Refunds

Toyota Motor Corp.’s lending arm escaped a Biden-era Consumer Financial Protection Bureau enforcement action, including a requirement to repay customers more than $40 million, over claims it tricked them into buying extra products.

Toyota Motor Credit Corp. was ordered to return $48 million to customers and pay a $12 million civil money penalty as part of a November 2023 settlement with the CFPB.

But the agency on Monday terminated the consent order without providing any justification and waived any allegations of noncompliance with the settlement.

It also specifically terminated Toyota’s obligations to repay about $42 million of the redress payments ...