Consumer complaint received 2025-10-21 00:00:00
Product: Vehicle loan or lease — Loan
Issue: Repossession — Notice to repossess
Company: SANTANDER HOLDINGS USA, INC.
State: NY

Complaint narrative:
I am submitting this complaint against Santander Consumer USA Inc. concerning an auto loan for my vehicle ( XXXX XXXX XXXX XXXX XXXX ] ). I am a resident of XXXX XXXX XXXXXXXX. 

My signed retail installment contract shows a printed Annual Percentage Rate ( APR ) of 27.5 %. This rate exceeds the 25 % criminal usury threshold under New York XXXX XXXX XXXX, which states that knowingly charging more than 25 % interest per year is criminal usury in the second degree ( a Class E felony ). 

The contracts stated APR exceeds that legal limit on its face, without any need for hidden-fee calculation. I believe this loan is therefore facially usurious and unenforceable under New York law. 

Background Lender/Servicer : Santander Consumer USA XXXX XXXX XXXX XX/XX/XXXX through XXXX XXXX XXXX XXXX XXXX XXXX XXXXXXXX : XXXX XXXX ( as printed on the contract ) Current Issue : Santander has notified me of imminent repossession and intends to sell the car at auction and pursue me for a deficiency balance. 

Vehicle : My only source of daily transportation and essential for work and transportation of my child. 

I contacted Santander to discuss repayment or modification, but they provided no reasonable option. Instead, they stated that repossession and sale would proceed. They also warned I would be responsible for the deficiency after the auction, which is particularly troubling because the underlying contract appears void under criminal usury laws. 

XXXX Context and Supporting Authority Under New York Penal Law 190.40, charging more than XXXX  % interest per year is criminal XXXX. New York courts have consistently held that such loans are void ab initio, not merely voidable. 

In Adar Bays, XXXX XXXX XXXX ID, XXXX, XXXX XXXX XXXX ( XXXX ), the New York XXXX XXXX XXXX XXXX that criminally usurious loans are entirely voidthe lender can not collect principal or interest and can not enforce related security interests ( such as repossession rights ). 

Therefore, if Santander knowingly issued or serviced a loan with a XXXX XXXX APR to a New York resident, that loan and its related enforcement actions ( repossession, auction, or deficiency ) may violate XXXX XXXX usury laws and public policy. 

Santander Consumer USA has a well-documented history of predatory subprime auto lending practices. In 2020, the company entered into a {$550.00} million multistate settlement with state attorneys generalincluding XXXX XXXX unfair, deceptive, and abusive auto loan practices. My experience appears to align with the same pattern of conduct targeted in that settlement. 

Violations and Concerns Criminal usury : XXXX XXXX XXXX exceeds XXXX XXXX XXXX XXXX  threshold. 

Unfair, deceptive, or abusive acts or practices ( XXXX ) : Issuing or servicing a knowingly unlawful, high-APR loan ; misleading representations regarding refinancing and repossession. 

Potential violations of UCC Article 9 : Threatened repossession and sale without confirming lawful notice, redemption opportunity, or commercially reasonable disposition. 

Failure to provide reasonable accommodation or alternative repayment despite hardship requests.

Company response to consumer: Closed with explanation