Santander Consumer USA has reached a $550m deal with nearly three dozen states to settle charges of predatory auto lending to low-income and subprime borrowers.

The settlement, announced on 19 May, resolves charges that one of the largest subprime auto lenders in the US made loans borrowers couldn’t afford to repay. The states also claim that Santander failed to monitor dealers that falsified borrowers’ incomes and other information when submitting loan applications.