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• Pending Government Action:

  Government Action: BBB reports on known government actions involving business’ marketplace conduct:

  The People of the State of California v. Paul Blanco's Good Car Company
  

  The following describes a pending government action that has been formally brought by a government agency but has not yet been resolved. We are providing a summary of the government’s allegations, which have not yet been proven:

  
  

  On September 23, 2019 the California Attorney General's Office filed a Complaint for Permanent Injunction, Civil Penalties, Restitution, and other Equitable Relief against Paul Blanco and his various corporations affiliated with Paul Blanco's Good Car Company.

  
  

  According to the Complaint, Paul Blanco's Good Car Company engaged in a regular practice of falsifying consumer credit applications by reporting inflated incomes and falsifying other pertinent information. The Attorney General also alleges that Paul Blanco falsified vehicle values to finance companies and attracted customers through the use of deceptive advertisements including false claims that consumers have been pre-approved for financing, advertisements for unrealistically low interest rates, claims that over one-hundred lenders will compete for a customer's business, when in reality the number is only a small handful, and claims to have a special "Senor Gold Program" for senior citizens that qualified them for special low interest rates financed through credit unions, when in fact there was no partnership with credit unions and seniors were qualified for financing the same way other applicants were. The defendants also targeted minority communities with Spanish language advertisements for credit for consumers receiving cash wages, that are undocumented, or lack valid driver's licenses. The complaint further alleges that the defendants charged consumers for optional add-on products, such as GAP insurance, that the consumers did not authorize or authorized based on false pretenses. These add-ons were sold at higher rates than what most used car dealerships sell them for.

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