Miller said the agreement means the company must stop collecting debt, forgive outstanding balances and help repair damaged credit.
Along with requiring the company to mark all outstanding debts as "paid in full" with consumer finance reporting agencies, the agreement bans the company and its principals from engaging in any form of future consumer lending, and demands cooperation in vacating judgments -- which include more than 5,400 additional consumers.
Miller expects the agreement to aid more than 23,000 service members and veterans.
"They were very military friendly so I was trustworthy with them right off the bat," said Wilson, who admitted he did not keep close enough tabs on the financing arrangement and was "a little angry and slightly embarrassed" by the experience. He attended a Tuesday news conference with Miller.
Buyers were promised instant financing with no money down. Consumers approved for credit would be asked to sign financing agreements and payments would be deducted via military "allotments." In most cases,
"We allege that these individuals and their companies deliberately trained their sights on active duty men and women," Miller said. "Unfortunately, thousands of men and women who have served our country had to deal with an adversary, in the form of a deceptive and abusive lender."
Miller alleged that, through its "outrageous price-gouging" and deceptive contracts,
The inaccurate information prevented consumers from making informed decisions about whether to take out credit, Miller said. In many cases, the true annual percentage rate exceeded 100 or 200 percent.
Under the agreement, the company neither admits nor denies wrongdoing.
Victims may be eligible for additional future relief, but Miller said that has not yet been determined.
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