CFPB Cancels $60M Toyota Product Bundle Settlement
A $60 million settlement agreed to by Toyota Financial Services following charges of noncompliant F&I product sales has been canceled by the U.S. Consumer Financial Protection Bureau, the same federal agency that negotiated the settlement in 2023.
At the time, CFPB officials said thousands of customers had complained they were told the purchase of voluntary protection products was required or that dealership personnel had rushed them through the F&I process to disguise the cost.
The settlement included $48 million in restitution and $12 million in penalties. No reason was given for its cancellation, but the Trump administration has taken drastic steps to reduce the CFPB’s headcount and activities.
“Pending enforcement actions from the previous administration have all but ceased under the new administration; federal lawsuits against Walmart and Branch were also dropped on Tuesday, suggesting Toyota’s settlement cancellation is a part of a broader political message by the current administration,” writes Road & Track Associate Editor Emmet White.
