WASHINGTON — The financing arm of Honda is facing a probe by the Consumer Financial Protection Bureau, according to a
American Honda Finance Corp., which is wholly owned by Honda Motors, said on Friday in its fourth-quarter 10-Q filing with the Securities and Exchange Commission that it received a "civil investigative demand" from the CFPB in November. The investigation is connected to the financing arm's "furnishing of credit reporting information on consumer accounts."
The company said that it's cooperating with the bureau but "cannot predict the eventual scope, duration or outcome of this investigation and is unable to estimate the amount or range of potential losses, if any, at this time."
The CFPB declined to comment. American Honda Finance did not respond to requests for comment.
The bureau recently cracked down on another auto financing entity: Toyota Motor Credit Co. The CFPB in November
"Given the growing burdens of auto loan payments on Americans, we will continue to pursue large auto lenders that cheat their customers," CFPB Director Rohit Chopra said at the time.
The Toyota enforcement action was the CFPB's first settlement with an auto finance company since July 2022, when it issued a consent order to Hyundai's U.S. financing arm. In that order, the bureau
The Honda financing division ran into trouble with the CFPB in 2015, when the bureau
