Tennessee Attorney General Announces $11.1 Million Settlement with Mariner Finance Over Deceptive Lending Practices

Tennessee Attorney General Announces $11.1 Million Settlement with Mariner Finance Over Deceptive Lending Practices

Today, Attorney General Jonathan Skrmetti announced that Tennessee has reached a settlement with Mariner Finance following allegations of widespread violations of multiple consumer protection laws. The settlement resolves claims that the company engaged in deceptive practices that harmed consumers across Tennessee.

The lawsuit alleged that Mariner Finance charged consumers for hidden add-on products that borrowers were not fully informed about or, in some cases, did not agree to purchase. These add-ons often increased loan balances by hundreds or even thousands of dollars. In 2019 alone, Mariner charged consumers $121.7 million nationwide in premiums and fees tied to such products.

The complaint also alleged that Mariner used aggressive and unlawful sales tactics to push additional credit onto borrowers, contributing to cycles of debt that are difficult for consumers to escape.

"Every company has a duty to treat Tennessee consumers fairly and honestly," said Attorney General Skrmetti. "When a business uses deceptive practices to rip off consumers, they violate Tennessee law and my consumer protection team will hold them accountable. This settlement holds provides meaningful relief to Tennesseans and protects future Mariner customers."

This settlement impacts Tennessee only and does not affect any other claims or litigation against Mariner.

Under the terms of the settlement:

• Mariner Finance will provide a total of $11.1 million in consumer redress.
• $1 million will be paid as restitution to eligible Tennessee consumers who held Mariner loans at the time of the court's order.
• $10.1 million will be delivered through Mariner's cancellation of covered consumer debt owed by impacted borrowers.

This settlement aims to provide financial relief to consumers while holding Mariner accountable for its business practices. The Attorney General's Office will provide additional information regarding eligibility and claims processes as details become available.

Consumers who believe they were affected by deceptive lending practices are encouraged to contact the Tennessee Attorney General's Office or visit its website for assistance.