Clearview Federal Credit Union repossession notice $1.25M class action settlement

Clearview Federal Credit Union agreed to pay $1.25 million to resolve claims it failed to send repossession notice as required by Pennsylvania law.

The settlement benefits two classes: the Repossession Notice Class and the Deficiency Notice Class. The Repossession Notice Class is made up of Pennsylvanians whose vehicles were repossessed by Clearview Federal Credit Union and who were either not sent a repossession notice or were sent a deficient notice between Sept. 6, 2013, and Sept. 6, 2019. The Deficiency Notice Class is made up of individuals whose vehicles were repossessed by Clearview and then resold, leaving a deficiency balance, but who were not sent a sufficient deficiency notice between Sept. 6, 2013, and Sept. 6, 2019.

Individuals who filed for Chapter 7 bankruptcy after their vehicle was repossessed are not eligible for this settlement.

Clearview Federal Credit Union is a Pennsylvania financial institution with locations in Allegheny, Armstrong, Beaver, Butler, Fayette, Greene, Indiana, Lawrence, Washington and Westmoreland counties. The company touts over 100,000 members.

According to a class action lawsuit against the credit union, Clearview violates state law by failing to send proper disclosures to consumers whose vehicles were repossessed and sold. 

Under Pennsylvania law, Clearview Federal Credit Union was allegedly required to provide proper repossession notice after repossessing vehicles and proper explanation of deficiencies to consumers who had a deficiency balance after repossessed vehicles were sold. The credit union allegedly failed on both these counts.

Clearview Federal Credit Union hasn’t admitted any wrongdoing but agreed to resolve these allegations with a $1.25 million class action settlement.

Under the terms of the repossession letters settlement, class members are eligible for several benefits. 

First, class members can collect a cash payment estimated to be around $1,175. If there were multiple borrowers on a loan, this amount will be split evenly amongst co-borrowers.

Second, class members will benefit from credit reporting relief. Clearview has agreed to request credit-reporting agencies remove any information about Clearview vehicle loans covered by the settlement. This will assist class members whose credit scores were dinged by deficient balance reporting.

Finally, Clearview Federal Credit Union agreed to waive deficient balances on repossessed vehicle accounts. If vehicle loan debt forgiveness is over $600, class members will receive an IRS Form 1099C. This could result in tax consequences for class members.

The deadline for exclusion and objection is Sept. 26, 2022. Class Members have until Sept. 26, 2022 to elect not to accept deficiency balance debt forgiveness.

The final approval hearing for the settlement is scheduled for Oct. 28, 2022. 

Class members who take no action will remain in the settlement class and will automatically receive benefits such as debt forgiveness and payments. Class Members can update their address on the settlement website to ensure they get their payments sent to the correct place.

Who’s Eligible

The settlement benefits two classes:

The Repossession Notice Class is made up of Pennsylvanians whose vehicles were repossessed by Clearview Federal Credit Union and who were either not sent a repossession notice or were sent a deficient notice between Sept. 6, 2013, and Sept. 6, 2019.

The Deficiency Notice Class is made up of individuals whose vehicles were repossessed by Clearview and then resold, leaving a deficiency balance, but who were not sent a sufficient deficiency notice between Sept. 6, 2013, and Sept. 6, 2019.

Potential Award

Approximately $1,175

Proof of Purchase

Proof of purchase not applicable

Exclusion and Objection Deadline

09/26/2022

Case Name

Cameron v. Clearview Federal Credit Union, Case No. GD-19-012804, in the Court of Common Pleas of Allegheny County, Pennsylvania Civil Division

Final Hearing

10/28/2022

Settlement Website

ClearviewRepoSettlement.com

Claims Administrator

Cameron v. Clearview Federal Credit Union
c/o Settlement Administrator
P.O. Box 23648
Jacksonville, FL 32241
info@clearviewreposettlement.com
888-768-7141

Class Counsel

Cary L Flitter
FLITTER MILZ PC

Defense Counsel

Roy W Arnold
BLANK ROME