Second, only weeks before these statements were made, Toyota had taken steps to hide from NHTSA another type of unintended acceleration in its vehicles, separate and apart from floor-mat entrapment: a problem with accelerators getting stuck at partially depressed levels, known as “sticky pedal.”
Corporate conductConfirmed
Toyota pays 1.6 billion for emissions fraud
Toyota Subsidiary Will Pay 1.6 Billion Dollars To Resolve Emissions Fraud Scheme.
Toyota vehicle recall — Door Spot Welds Affecting Air Bag Deployment
The Toyota vehicle recall concerns Door Spot Welds Affecting Air Bag Deployment.
Corporate conductAllegation
TOYOTA is accused of knowingly selling defective vehicles
Orange County District Attorney alleges TOYOTA endangered the public by knowingly selling defective vehicles and intentionally hiding defects from consumers.
OCDA FILES CONSUMER PROTECTION LAWSUIT AGAINST TOYOTA FOR ENDANGERING THE PUBLIC BY KNOWINGLY SELLING DEFECTIVE VEHICLES AND INTENTIONALLY HIDING DEFECTS FROM CONSUMERS - Orange County District Attorney
Privacy & surveillanceAllegation
Toyota was sued in Los Angeles County Superior Court for allegedly continuing to track users after they declined cookies
According to Fox Business, lead plaintiff Brittany Conner filed suit in Los Angeles County Superior Court on Wednesday, alleging that Toyota kept using web-tracking technology even after users refused third-party cookies.
According to Fox Business, lead plaintiff Brittany Conner filed suit in Los Angeles County Superior Court on Wednesday, alleging that Toyota kept using web-tracking technology even after users refused third-party cookies.
Toyota is facing a proposed class-action lawsuit in Los Angeles County Superior Court for allegedly secretly tracking visitors to Toyota.com using a tactic known as "fingerprinting".
Corporate conductAllegation
Toyota is accused of advertising gas hybrids as EVs
Toyota is accused of advertising its conventional hybrid vehicles, which run on gasoline, as electric vehicles.
The accusation comes via an open letter from Public Citizen, which has requested that the FTC open an investigation into how Toyota markets its electrified vehicles.
A new complaint filed with the United States Federal Trade Commission accuses Toyota of misleading consumers about just how electrified they really are.
Corporate conductRecall
Toyota recalls vehicles for stability control deactivation
Toyota is recalling vehicles due to stability control deactivation on startup, addressing a documented safety risk.
The agreement requires Toyota to pay a $1.2 billion financial penalty—the largest penalty of its kind ever imposed on an automotive company, and imposes on Toyota an independent monitor to review and assess policies, practices and procedures relating to Toyota’s safety-related public statements and reporting obligations.
Corporate conductRecall
Toyota recalls vehicles for floor mat interference with accelerator pedal
Toyota is recalling vehicles due to floor mat interference with the accelerator pedal.
Defect: Toyota is recalling certain model year 2010 Lexus RX350 and RX450h vehicles, manufactured from November 28, 2008, through September 1, 2010, and model year 2008 through 2011 Toyota Land Cruiser vehicles manufactured from September 1, 2007, through September 5, 2011. In July 2012, Toyota filed a defect report to recall certain model year 2010 Lexus RX350 and RX450h vehicles. In November 2012, Toyota informed the agency that it was including an additional 10,565 vehicles including certain model year 2008 through 2011 Toyota Land Cruiser vehicles. The total number of vehicles being recalled is now 164,601.
The Toyota vehicle recall concerns FLOOR MAT INTERFERENCE W/ACCELERATOR PEDAL.
Corporate conductRecall
Toyota recalls vehicles for incorrect air bag installation
Toyota is recalling vehicles due to incorrect air bag installation under FMVSS 208.
Universal Toyota to Pay $140,000 to Settle EEOC Age Discrimination & Retaliation Lawsuit
Witnesses confirmed to the EEOC that Universal Toyota managers actually told older salespersons who were rejected for Scion sales that they were too old to sell the brand, which was supposedly oriented toward younger buyers.
Universal Toyota should be commended for taking the necessary steps to resolve this case."
District Court for the Western District of Texas, San Antonio Division (EEOC v. Judson Motors, Ltd. d/b/a Universal Toyota., Civil Action No. 5:11-cv-00076-XR) after first attempting to reach a pre-litigation settlement through its conciliation process.
Universal Toyota to Pay $140,000 to Settle EEOC Age Discrimination & Retaliation Lawsuit | U.S. Equal Employment Opportunity Commission
The two-year consent decree settling the suit, signed by U.S. District Judge Xavier Rodriguez, requires Universal Toyota to adopt and implement an effective equal employment opportunity policy that prohibits any further discrimination on the basis of age; provide training in the requirements of the ADEA to members of Universal Toyota's management; and pay $140,000 to the victims of the discrimination in this case.
Workplace equityConfirmed
Toyota rolls back DEI programs and halts LGBTQ event sponsorship
Toyota will refocus its DEI programs and stop sponsoring LGBTQ events, citing a highly politicized discussion around corporate diversity commitments.
Toyota Motor Corp., will refocus DEI programs and halt sponsorship of LGBTQ events, citing “a highly politicized discussion” around corporate commitments to diversity, equity and inclusion.
Toyota Curbs DEI Policy After Activist Robby Starbuck Attack Over LGBTQ Support - Bloomberg Toyota Motor Corp., will refocus DEI programs and halt sponsorship of LGBTQ events, citing “a highly politicized discussion” around corporate commitments to diversity, equity and inclusion. The Japanese carmaker told employees it will also end participation in notable rankings by LGBTQ advocacy group the Human Rights Campaign and other corporate culture surveys.
Toyota Motor Corp., will refocus DEI programs and halt sponsorship of LGBTQ events, citing “a highly politicized discussion” around corporate commitments to diversity, equity and inclusion...
On June 16, 2015 Toyota expanded the recall to cover an additional 769,055 vehicles, including certain model year 2002-2004 Lexus SC, Toyota Sequoia, 2003-2004 Toyota Corolla Matrix, Toyota Corolla, Pontiac Vibe, and Toyota Tundra vehicles, as well the vehicles covered by the May 13, 2015 notification in the portions of Georgia, Alabama, Louisiana, Mississippi and Texas that were not previously included.
The Toyota vehicle recall concerns Passenger Side Front Air Bag Inflator may Rupture.
Corporate conductRecall
Toyota recalls vehicles over occupant classification system
Toyota is recalling vehicles due to a documented safety risk involving the occupant classification system.
Report received: 2017-10-18. Potential units affected: 310475. Defect: Toyota Motor Engineering & Manufacturing (Toyota) is recalling certain 2005-2007 and 2009-2010 Toyota Sienna vehicles. In the affected vehicles, due to a problem within the shift lock assembly, the shift lever may be moved out of the 'Park' position without depressing the brake pedal. Consequence: If the shift lever can be moved from the "Park" position without depressing the brake pedal and the parking brake is not applied, the vehicle may roll, increasing the risk of a crash. Corrective action: Toyota will notify owners, and dealers will replace the shift lock solenoid and reapply the grease, free of charge. Owners may contact Toyota customer service at 1-800-331-4331. Toyota's number for this recall is H0V. Vehicles that were previously recalled under campaign 13V-429 are not affected by this recall.
The Toyota vehicle recall concerns Shift Lever Assembly may Allow Rollaway.
Workplace equitySettlement
Toyota settles discrimination lawsuit with $400,000 payment
Toyota agreed to pay $400,000 and implement management training to settle a federal discrimination lawsuit filed by the U.S. EEOC.
Hill, Regional Attorney for EEOC's New Orleans District Office, said, "EEOC's settlement with Lakeside Toyota sends a strong message to employers in Louisiana that targeting African American workers for racial harassment and then retaliating against them for complaining about the discrimination will not be tolerated.
Fremont Toyota Pays $400,000 to Settle EEOC's Harassment and Retaliation Lawsuit
Under the terms of the decree resolving the lawsuit, Fremont Toyota agreed to train all managers, post a notice regarding the lawsuit and to report to the EEOC for a three-year period, in addition to paying $400,000 to the five former employees.
The EEOC's lawsuit charged that Fremont Toyota's general manager singled out four Afghan American salesmen during a staff meeting, calling them "terrorists" and threatening them with violence.
SAN FRANCISCO — Fremont, Calif., car dealership Fremont Toyota agreed to pay $400,000 and implement training for the dealership's management staff to settle a federal discrimination lawsuit filed by the U.S. Equal Employment Opportunity Commission (EEOC), the agency announced today.
Fremont Toyota Pays $400,000 to Settle EEOC's Harassment and Retaliation Lawsuit | U.S. Equal Employment Opportunity Commission
Corporate conductSettlement
Toyota settles leasing misrepresentation claims
Toyota settled FTC charges over allegedly misrepresenting leasing costs.
The Complaint alleges that, prior to 2020, Desert Toyota engaged in false advertising by advertising vehicles with a low price online and refused to sell the vehicle for that price.
For used vehicles, Desert Toyota, at times, charged a reconditioning fee higher than what was advertised.
According to the FTC’s December 2017 complaint, in full-page Spanish-language newspaper ads, Cowboy Toyota misrepresented the cost of purchasing or leasing cars, qualifications or restrictions for financing or leasing cars, and the availability of cars, in violation of the FTC Act.
The final order settling the FTC’s charges prohibits Cowboy Toyota from misrepresenting the cost of financing, buying, or leasing a vehicle.
Corporate conductRecall
Toyota recalls vehicles for steering column issues
Toyota is recalling vehicles due to steering column damage that affects air bag performance.
The recall began on September 30, 2016. Owners may contact Toyota customer service at 1-800-331-4331. Toyota's numbers for this recall are G0V for Toyota vehicles and GLK for Lexus vehicles. Note: This recall supersedes recall 13V-383, in which some vehicles were only inspected, sealed, and did not have both arms replaced. The affected vehicles were previously recalled under 13V-383, but did not have both rear suspension arms replaced at that time.
The Toyota vehicle recall concerns Rear Suspension Arm (Tie Rod) Corrosion.
Corporate conductRecall
Toyota recalls vehicles for incorrect side marker lights
Toyota is recalling vehicles due to incorrect side marker lights violating FMVSS 108.
Toyota Motor Corporation is warning that customers' personal information may have been exposed after an access key was publicly available on GitHub for almost five years.
Toyota discloses data leak after access key exposed on GitHub
Toyota discovered recently that a portion of the T-Connect site source code was mistakenly published on GitHub and contained an access key to the data server that stored customer email addresses and management numbers.
Corporate conductRecall
Toyota recalls vehicles for missing seat belt buckle magnet
Toyota is recalling vehicles due to a missing inner seat belt buckle magnet.
Toyota has issued a new safety recall affecting approximately 82,000 vehicles in the United States after discovering a software issue that can cause digital instrument clusters to fail during startup.
Toyota And Lexus Recall 82,000 Vehicles For Failing Instrument Clusters
The first phase of the recall began July 7, 2015. Owners may contact Toyota customer service at 1-800-331-4331. NOTE: 2004-2010 Siennas subject to this recall were subject to recall campaign 10V-160 initiated in 2010.
The Toyota vehicle recall concerns Spare Tire Assembly may Corrode and Detach.
Toyota vehicle recall — Inadvertent Air Bag Deployment
The Toyota vehicle recall concerns Inadvertent Air Bag Deployment.
Toyota owners may contact Toyota customer service at 1-800-331-4331. GM issued an interim notification to owners on March 27, 2015. The recall began on August 24, 2015. Pontiac owners may call 1-800-620-7668. Note: This recall supersedes recalls 13V-029 and 14V-147.
On June 16, 2015, Toyota expanded the recall to include an additional 1,270,468 vehicles, including model year 2002-2003 and 2005-2007 Sequoia, 2005-2006 Tundra, 2003-2007 Corolla, 2003-2007 Corolla Matrix, 2003-2007 Pontiac Vibe and 2002-2007 Lexus SC vehicles.
The Toyota vehicle recall concerns Passenger Side Front Air Bag Inflator may Rupture.
The recall began January 22, 2019. Owners may contact Toyota customer service at 1-888-270-9371. Toyota's number for this recall is J0V. Note: The software updates in this recall are needed even if the vehicle had the software previously updated under recalls 14V-053 or 15V-449.
The Toyota vehicle recall concerns Hybrid System may Shutdown and cause Stall.
Toyota vehicle recall — Passenger Frontal Air Bag Inflator May Explode
The Toyota vehicle recall concerns Passenger Frontal Air Bag Inflator May Explode.
The recall began January 23, 2019. Owners may contact Toyota customer service at 1-888-270-9371, Lexus customer service at 1-800-255-3987 or Pontiac customer service at 1-800-762-2737. Toyota's numbers for these recalls are J0A (Zone A Toyota), J0B (Zone B Toyota), J0C (Zone C Toyota), JLI (Zone A Lexus), JLJ (Zone B Lexus), and JLK (Zone C Lexus).
The Toyota vehicle recall concerns Fuel Pump May Fail.
On March 4, 2020, Toyota expanded the recall to include certain 2014-2015 Toyota 4Runner and Land Cruiser, 2018 Avalon, Corolla, 2014 FJ Cruiser, 2017 Sienna and Lexus 2018 ES 350, 2018-2019 GS 300, 2013-2014 GS350, 2014-2015 GX 460, IS 350 and LX 570, 2014 IS F, 2018-2019 IS 350, LC 500H and LS 500H, 2013-2015 LS 460, 2015 NX 200T and RC350, 2017 RC 200T and RX 350.
On March 19, 2020, Toyota expanded the recall to include 2015 Lexus GS350 vehicles.
when potential safety problems arise, Toyota issues vehicle recalls and takes other safety measures including safety campaigns relating to its vehicles.
If Toyota launches products that result in safety measures such as recalls (including where parts related to recalls or other measures were procured by Toyota from a third party), Toyota may incur various costs including significant costs for free repairs.
In particular, automotive manufacturers such as Toyota are required to implement safety measures such as recalls for vehicles that do not or may not comply with the safety standards of laws and governmental regulations.
The recalls and other safety measures described above have led to a number of claims and legal proceedings against Toyota.
In addition, Toyota may, in order to reassure its customers of the safety of Toyota’s vehicles, decide to voluntarily implement sales suspensions, recalls or other safety measures even if the vehicle complies with the safety standards of relevant laws and governmental regulations.
If Toyota launches products that result in safety measures such as recalls (including where parts related to recalls or other measures were procured by Toyota from a third party), Toyota may incur various costs including significant costs for free repairs.
In addition, Toyota may, in order to reassure its customers of the safety of Toyota’s vehicles, decide to voluntarily implement sales suspensions, recalls or other safety measures even if the vehicle complies with the safety standards of relevant laws and governmental regulations.
In particular, automotive manufacturers such as Toyota are required to implement safety measures such as recalls for vehicles that do not or may not comply with the safety standards of laws and governmental regulations.
The recalls and other safety measures described above have led to a number of claims and legal proceedings against Toyota.
In addition to product warranties, Toyota initiates recalls and other safety measures to repair or to replace parts which might be expected to fail from products safety perspectives or customer satisfaction standpoints.
when potential safety problems arise, Toyota issues vehicle recalls and takes other safety measures including safety campaigns relating to its vehicles.
In addition, Toyota may, in order to reassure its customers of the safety of Toyota’s vehicles, decide to voluntarily implement sales suspensions, recalls or other safety measures even if the vehicle complies with the safety standards of relevant laws and regulations.
From time-to-time when potential safety problems arise, Toyota issues vehicle recalls and takes other safety measures including safety campaigns relating to its vehicles.
In particular, automotive manufacturers such as Toyota are required to implement safety measures such as recalls for vehicles that do not or may not comply with the safety standards prescribed in laws and regulations.
The recalls and other safety measures described above have led to a number of claims and legal proceedings against Toyota.
If Toyota launches products that result in safety measures such as recalls (including where parts related to recalls or other measures were procured by Toyota from a third party), Toyota may incur various costs including significant costs for free repairs.
The recalls and other safety measures described above have led to a number of claims and legal proceedings against Toyota.
In particular, automotive manufacturers such as Toyota are required to implement safety measures such as recalls for vehicles that do not or may not comply with the safety standards prescribed in laws and regulations.
If Toyota launches products that result in safety measures such as recalls (including where parts related to recalls or other measures were procured by Toyota from a third party), Toyota may incur various costs including significant costs for free repairs.
From time-to-time when potential safety problems arise, Toyota issues vehicle recalls and takes other safety measures including safety campaigns relating to its vehicles.
In addition, Toyota may, in order to reassure its customers of the safety of Toyota’s vehicles, decide to voluntarily implement sales suspensions, recalls or other safety measures even if the vehicle complies with the safety standards of relevant laws and regulations.
Corporate conductRecall
Toyota recalls vehicles for load capacity info
Toyota is recalling vehicles due to load carrying capacity information deficiencies under FMVSS 110.
Under the settlement, Toyota will spend $20 million on a supplemental environmental project to retrofit up to an estimated 3,000 public diesel fleet vehicles to make them run cleaner and extend the evaporative emission control system warranty on affected vehicles (2 pp, 22 K, About PDF) originally sold by Toyota.
Climate & energyConfirmed
Toyota pays $500,000 civil penalty
Toyota pays a $500,000 civil penalty for environmental violations.
As is outlined in detail in the complaint, Toyota and NHTSA repeatedly closed their investigations for various reasons without finding defects, citing a lack of resources, “no evidence of a system of component failure,” “vehicles operated as designed,” “issue is not a safety concern.”
Climate & energySettlement
Toyota pays a $180 million civil penalty
Today, Toyota pays the price for its misconduct with a $180 million civil penalty and agreement to injunctive relief to ensure that its violations will not be repeated.”
The complaint filed in Manhattan federal court today alleges that from approximately 2005 until at least late 2015, Toyota systematically violated Clean Air Act automobile defect reporting requirements designed to protect public health and the environment from harmful air pollutants.
Toyota’s actions undermined EPA’s self-disclosure system and likely led to delayed or avoided emission-related recalls, resulting in financial benefit to Toyota and excess emissions of air pollutants.
Today, Toyota pays the price for its misconduct with a $180 million civil penalty and agreement to injunctive relief to ensure that its violations will not be repeated.”
“For a decade, Toyota systematically violated regulations that provide EPA with a critical compliance tool to ensure that vehicles on the road comply with federal emissions standards,” said Audrey Strauss, Acting U.S. Attorney for the Southern District of New York.
“Toyota shut its eyes to the noncompliance, failing to provide proper training, attention, and oversight to its Clean Air Act reporting obligations.
The injunctive provisions require Toyota to follow compliance and reporting practices designed to ensure timely investigation of emission-related defects and timely reporting to EPA, and include training, communication, and oversight requirements.
In 2021 Toyota agreed to pay a $180 million civil penalty for a decade of non-compliance with Clean Air Act reporting requirements, the largest-ever such penalty.
“For a decade Toyota failed to report mandatory information about potential defects in their cars to the EPA, keeping the agency in the dark and evading oversight,” said Susan Bodine, EPA’s Office of Enforcement and Compliance Assurance Assistant Administrator.
Today, Toyota pays the price for its misconduct with a $180 million civil penalty and agreement to injunctive relief to ensure that its violations will not be repeated.”
Toyota’s actions undermined EPA’s self-disclosure system and likely led to delayed or avoided emission-related recalls, resulting in financial benefit to Toyota and excess emissions of air pollutants.
The complaint filed in Manhattan federal court today alleges that from approximately 2005 until at least late 2015, Toyota systematically violated Clean Air Act automobile defect reporting requirements designed to protect public health and the environment from harmful air pollutants.
Pursuant to the consent decree, Toyota will pay a civil penalty of $180 million.
The consent decree also requires Toyota to follow certain compliance and reporting practices designed to ensure timely investigation of emission-related defects and timely filing of EDIRs, VERRs, and quarterly reports with EPA.
“For a decade, Toyota systematically violated regulations that provide EPA with a critical compliance tool to ensure that vehicles on the road comply with federal emissions standards,” said Audrey Straus, Acting U.S. Attorney for the Southern District of New York.
“Toyota shut its eyes to the noncompliance, failing to provide proper training, attention, and oversight to its Clean Air Act reporting obligations.
WASHINGTON (January 14, 2021) — The U.S. Environmental Protection Agency (EPA) and U.S. Department of Justice announced today that the United States has filed and simultaneously settled a civil lawsuit against Toyota Motor Corporation, Toyota Motor North America Inc., Toyota Motor Sales U.S.A. Inc., and Toyota Motor Engineering & Manufacturing North America Inc. (Toyota) for systematic, longstanding violations of Clean Air Act emission-related defect reporting requirements, which require manufacturers to report potential defects and recalls affecting vehicle components designed to control emissions.
WASHINGTON (January 14, 2021) — The U.S. Environmental Protection Agency (EPA) and U.S. Department of Justice announced today that the United States has filed and simultaneously settled a civil lawsuit against Toyota Motor Corporation, Toyota Motor North America Inc., Toyota Motor Sales U.S.A.
In connection with the settlement, the United States has filed a consent decree, agreed to by Toyota, that resolves the government’s complaint through Toyota’s payment of a $180 million civil penalty and the imposition of injunctive relief.
As a result of its conduct, Toyota deprived EPA of timely information regarding emission-related defects and recalls and avoided the early focus on emission- related defects contemplated by the regulations.
For at least a decade—from approximately 2005 until at least late 2015—Toyota failed to timely disclose emission-related defects and recall information to EPA.
Corporate conductConfirmed
Consumers can file complaints for Desert Toyota restitution
Consumers who believe they were harmed by Desert Toyota's conduct are encouraged to file a complaint by July 31, 2024 to be eligible for restitution.
Any consumers who believe they have been harmed by Desert Toyota’s conduct should file a complaint by July 31, 2024 to be eligible to receive restitution.
Corporate conductConfirmed
Toyota contributing to election resistance lawmakers
Toyota is contributing to lawmakers who resisted certifying the 2020 presidential election results, violating its prior pledge to halt such support.
The Axios report, based on data gathered by Citizens for Responsibility and Ethics in Washington, said that Toyota donated $55,000 to 37 Republican objectors this year.
Toyota said Thursday it would halt financial contributions to lawmakers who resisted certifying the official results of the 2020 presidential election.
Toyota is again contributing to lawmakers who resisted certifying the official results of the 2020 presidential election, despite the Japanese automaker's pledge last summer to halt such financial support.
Toyota in March gave money to Rep. Jackie Walorski, a Republican from Indiana who voted to overturn the election results on January 6, 2021, Popular Information reported on Monday.
A statement from The Lincoln Project on @Toyota broken promise to cut off contributions to seditionists who tried to overturn the 2020 election.
Since that vote, Toyota has donated $55,000 to 37 Republicans who objected to certifying the results, which is about a quarter of those who voted against it in January, according to Axios, who received the data from the watchdog group Citizens for Responsibility and Ethics.
The Axios report, based on data gathered by Citizens for Responsibility and Ethics in Washington, said that Toyota donated $55,000 to 37 Republican objectors this year.
This conduct occurred while Toyota was already subject to a consent decree for Clean Air Act violations, and it continued while Toyota was subject to the DPA for concealment and non-disclosure of safety issues ultimately requiring a recall.
Corporate conductRecall
The recall covers select 2024 and 2025 model-year Toyota and Lexus vehicles equipped with a 12.3-inch digital display
Along with the civil complaint, the United States has filed a consent decree, agreed to by Toyota, that resolves the government’s complaint through Toyota’s payment of a $180 million civil penalty and the imposition of injunctive relief.
Environmental Protection Agency (EPA) announced today that the United States has filed and simultaneously settled a civil lawsuit against Toyota Motor Corporation, Toyota Motor North America Inc., Toyota Motor Sales U.S.A. Inc., and Toyota Motor Engineering & Manufacturing North America Inc. (Toyota) for systematic, longstanding violations of Clean Air Act emission-related defect reporting requirements, which require manufacturers to report potential defects and recalls affecting vehicle components designed to control emissions.
WASHINGTON (January 14, 2021) — The U.S. Environmental Protection Agency (EPA) and U.S. Department of Justice announced today that the United States has filed and simultaneously settled a civil lawsuit against Toyota Motor Corporation, Toyota Motor North America Inc., Toyota Motor Sales U.S.A. Inc., and Toyota Motor Engineering & Manufacturing North America Inc. (Toyota) for systematic, longstanding violations of Clean Air Act emission-related defect reporting requirements, which require manufacturers to report potential defects and recalls affecting vehicle components designed to control emissions.
Workplace equityRuling
Toyota faces ruling over bundles
The regulator said Toyota Motor Credit made it "extremely cumbersome" to cancel the bundles, including by routing more than 118,000 borrowers to a hotline where agents were instructed to dissuade cancellations, and often failed to provide refunds.
The regulator said Toyota Motor Credit made it "extremely cumbersome" to cancel the bundles, including by routing more than 118,000 borrowers to a hotline where agents were instructed to dissuade cancellations, and often failed to provide refunds.
According to the CFPB, thousands of borrowers complained to Toyota Motor Credit that dealers lied about whether these products were mandatory, or rushed the paperwork so they would not realize how much they were paying.
Toyota Hit With $60 Million Penalty For Scamming Buyers Into Pricy Product Bundles
Toyota Motor Credit will have to pay a $12 million civil fine and $48 million to customers it wronged, according to a statement from the CFPB.
Along with the monetary penalty, Toyota Motor Credit is now prohibited from tying employee compensation or performance measurements to consumers' retention of bundled products.
The CFPB says thousands of customers using Toyota Motor Credit were lied to by dealers about whether these products were mandatory, or they rushed paperwork so folks wouldn't realize how much they were actually paying.
Toyota's in-house financing unit is being hit with $60 million in fines and restitution in an effort to settle charges from the Consumer Financial Protection Bureau that it illegally prevented borrowers from canceling product bundles – resulting in higher monthly car loan payments.