Subprime auto lender Santander Consumer USA must face claims that it pressured borrowers into making payments online or over the phone and then charged them illegal “convenience” fees, a federal judge in Chicago ruled. In a decision on Monday, U.S. District Judge Charles Kocoras rejected Santander Consumer USA’s motion to dismiss the proposed class action, saying “a more developed factual record” is necessary before the lawsuit can be ended. To read the full story on WestlawNext Practitioner Insights, click here: bit.ly/29X0MMs
Santander's motion to a US District Judge to throw out a proposed class action has been denied. As a result, Santander's auto loan unit is set to face clams that it charged customers illegal 'convenience' fees after pressuring borrowers to make payments online or over the phone. The judge noted that a more developed factual record of the claims must be presented before the lawsuit can be dismissed.