Court Limits Damages for Misleading Loans (Kept at 36 yr old $ limit)

[Khephra]

WASHINGTON -- Car buyers beware: the Supreme Court said Tuesday that people misled about auto loans cannot use a federal law to receive significant damages.

When Congress passed the Truth in Lending Act 36 years ago, it decided to let consumers sue dishonest lenders for damages of $100 to $1,000.

The law has been revised several times since then, but the Supreme Court ruled 8-1 that the damage caps remain.

The case was watched closely by consumer groups because of its potentially sweeping impact. About 45 million cars are bought and sold in the United States each year. Many are financed through a bank or other lender.

Tuesday's ruling also applies to other financed purchases, such as appliances and furniture, but not to homes.

http://www.newsday.com/news/politics/wire/sns-ap-scotus-car-loans,0,149967.story?coll=sns-ap-politics-headlines

[Supersedeas]

1. And Scalia was the only dissenter....go loan sharks go!!!