Auto Finance Company To, Compensate Servicemembers, Illegal Repossessions Monday — New York Auto Finance Company To Compensate Servicemembers for Illegal Repossessions | United States Justice Department.
Attorney Jay Clayton for the Southern District of New York. “The Servicemembers Civil Relief Act protects our troops from having their cars and other assets seized while serving, and our Office stands ready to enforce those protections.”Under the terms of the settlement, New City will pay at least $60,000 in compensation to affected servicemembers, forgive any unpaid balance on their accounts and take steps to repair damage to their credit. Office locations can be found at legalassistance.law.af.mil.Note: The Settlement Agreement can be read here Updated September 29, 2025 Topics Servicemembers Initiative Civil Rights Component
Civil Rights Division announcement Number: 25-1004. The Department further claims that New City took no steps to determine whether the owners of these vehicles were in military service prior to repossessing their cars, and, in some cases, went forward with repossessions even after they were told that the owner was on active duty.“By repossessing these vehicles, New City Funding disregarded the law and the duties it owed to members of our Armed Forces,” said Assistant Attorney General Harmeet K. “We will hold accountable any business that does not respect the legal rights
of U.S. Since 2011, the Department has obtained over $483 million in monetary relief for over 148,000 servicemembers through its enforcement of the SCRA. announcement New York Auto Finance Company To Compensate Servicemembers for Illegal Repossessions Monday, September 29, 2025 Share Facebook X LinkedIn Email For Immediate Release Office of Public Affairs The Justice Department today announced that New City Funding, a New York-based auto finance company, will pay over $120,000 to resolve allegations that it violated the Servicemembers Civil Relief Act (SCRA) by illegally repossessing vehicles owned by military servicemembers.The Department claims that New City