Investor Alert: Kaplan Fox Investigates Credit Acceptance Corp For Alleged Securities Fraud

NEW YORK, Oct. 20, 2020 /PRNewswire/ -- Kaplan Fox & Kilsheimer LLP (www.kaplanfox.com) is investigating claims on behalf of investors of Credit Acceptance Corporation ("Credit Acceptance" or the "Company") (NASDAQ: CACC), a company that makes automobile loans.  A complaint has been filed on behalf of investors who purchased Credit Acceptance common stock between November 1, 2019 and August 28, 2020, inclusive (the "Class Period").

On August 28, 2020, the Massachusetts Attorney General filed a complaint against Credit Acceptance for allegedly making unfair and deceptive auto loans to thousands of Massachusetts consumers, providing investors with false or misleading information regarding auto securities they offered, and engaging in unfair debt collection practices.  Credit Acceptance allegedly has been making high-risk, high-interest, subprime auto loans to Massachusetts borrowers whom the Company knew, or should have known, would be unable to repay their loans.  Further, based on historical data, Credit Acceptance allegedly knew that well over 50% of high-risk, low-score borrowers would default, typically just a little more than a year into their loans.

Following news of the Massachusetts AG complaint, Credit Acceptance's stock price plummeted by $72.63 per share, or 15.8%, to close at $386.80 per share on August 31, 2020.

If you are a member of the proposed Class, you may move the court no later than December 1, 2020 to serve as a lead plaintiff for the purported class.  You need not seek to become a lead plaintiff in order to share in any possible recovery.  If you would like to discuss the complaint or our investigation, please contact us by emailing [email protected] or by calling 646-315-9003.

This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.

Kaplan Fox & Kilsheimer LLP, with offices in New York, San Francisco, Los Angeles, Chicago and New Jersey, has many years of experience in prosecuting investor class actions. For more information about Kaplan Fox & Kilsheimer LLP, you may visit our website at www.kaplanfox.com.  If you have any questions about this Notice, your rights, or your interests, please contact:

Donald R Hall
KAPLAN FOX & KILSHEIMER LLP
850 Third Avenue, 14th Floor
New York, New York 10022
(646) 315-9003
E-mail: dhall@@kaplanfox.com

Laurence D. King
KAPLAN FOX & KILSHEIMER LLP
1999 Harrison Street, Suite 1560
Oakland, California 94612
(415) 772-4704
Fax:  (415) 772-4707
E-mail: [email protected]

SOURCE Kaplan Fox & Kilsheimer LLP