Race Discrimination settled by paying $24 million dollars by Honda
One of the top Japanese car companies, Honda, was involved in charging the highest interest rates especially on car loans when investigated by US officials. According to the officials Honda charged $250 more to the customers who are black irrespective of their affluence.
Though they mentioned sturdily that they don’t believe in any kind of racial discrimination but they were accused for charging higher rates. Even then they are charged for creating such discrepancy among the borrowers which has evolved disturbance among the local community and created a lot of mess.
The sector of justice and the US Consumer Bureau proclaimed that Honda Corp mainly the car loan department shall involve themselves personally to change the amount of cost and returns to the customers to keep away any kind of discrimination. They did not take any undeviating loans from the customers rather derived it from the specific dealers. They believed that these dealers have created such discernment among the customers charging greater interest rates on car loans.
Honda has promised to pay $24 million dollars to reimburse the precious borrowers to keep up their good will in the market. They also mentioned clearly that they are not involved in creating such nuisance and every customer is equal to them irrespective of their facial color.
In United States of America car loans is supposed to be the third largest household liability after mortgage and even student loans. The US Government has also come up with financial assistance especially for the minorities for car finance. The American officials also said strongly that they are ready to pay a huge amount of $1 million for a latest program in education Car finance option and especially helping the smaller borrowers.