What is American Credit Acceptance? Know Your Rights

By Talk About Debt Team
Reviewed by Ben Jackson
Last Updated: December 25, 2025
4 min read
The Bottom Line

American Credit Acceptance targets subprime borrowers with auto financing but faces numerous consumer complaints about manipulated information and aggressive collection tactics. You can protect yourself by demanding debt validation and responding promptly to any lawsuit with proper legal documentation.

Answer ACA's Lawsuit

American Credit Acceptance (ACA) operates as a subprime auto lender. The company helps you refinance existing car loans or trade vehicles. ACA targets consumers with lower credit scores who struggle to secure traditional financing.

Headquartered in Spartanburg, South Carolina, ACA partners with over 2,500 dealers. The company claims to have served more than 630,000 consumers. But their helpful reputation quickly fades when payments fall behind.

American Credit Acceptance Sued You? Respond Now

You have limited time to file your Answer before ACA wins by default. Our partner Solo helps you draft, review, and file your response to protect your rights and fight back in court.

Respond to ACA

How American Credit Acceptance Works

ACA provides automotive financing for subprime borrowers. You can apply online, but approval requires offline verification. The company works with four key groups:

  • Borrowers seeking affordable auto financing
  • Auto dealers offering competitive consumer options
  • Equity holders of automotive companies
  • Dealerships connecting consumers with affordable deals

ACA offers sales, underwriting, funding, and loan servicing. Their refinancing options feature easier approval processes and streamlined documentation. Once approved, payments transfer directly to your auto dealership.

What Happens When You Fall Behind

Missing payments changes everything with ACA. Repossession laws vary by state but typically kick in after 3 to 5 months. Some contracts allow repossession within just 45 days of default.

Catching up on missed payments won’t automatically clear your default status. You must pay everything you owe to remove yourself from their defaulter list. Even unpaid late fees can trigger default declarations.

Contact Information:
Address: 961 E Main St Fl 2 Spartanburg, SC 29302-2185
Phone: (866) 544-3430
Website: americancreditacceptance.com

Consumer Complaints Against ACA

Consumers have filed hundreds of complaints against American Credit Acceptance. The CFPB Complaint Database shows 835 complaints about credit reporting and personal consumer reports. The BBB lists over 700 complaints regarding billing, collections, and services.

Common complaints include:

  • Manipulated or misleading consumer information
  • Failure to report monthly payments accurately
  • Deliberate late fee accumulation tactics
  • Incorrect reporting affecting credit scores
  • Overdraft fees and improper overdue charges

ACA settled a California class action lawsuit for violating the Rees-Levering Automobile Sales Finance Act. The case involved improper written notices issued after vehicle repossession.

Protect Yourself From American Credit Acceptance

You have rights when dealing with ACA. Start by verifying any debt they claim you owe. Send a debt validation letter asserting your rights under the Fair Debt Collection Practices Act (FDCPA).

A debt validation letter forces collectors to provide documentation proving their claims. Without proper proof, they must stop contacting you until they validate the debt. Many debt collectors give up when faced with validation requests.

The letter serves as your best defense against aggressive collection tactics. You can use our partner Solo to send a debt validation letter and protect your rights.

How to Respond to an ACA Lawsuit

ACA may sue you if collection efforts fail. Lawsuits typically happen when debts remain within your state’s statute of limitations. You’ll receive a Summons with a copy of the Complaint and your hearing date.

Take immediate action when served with a lawsuit. Review the Complaint carefully for errors or inaccuracies. These mistakes become affirmative defenses in your Answer.

Steps to Beat an ACA Lawsuit

Draft an Answer to respond to each allegation in the Complaint. The document lists the debt amount and other relevant details. Check every claim for accuracy.

Common defenses against ACA include:

  • Statute of limitations has expired
  • Incorrect debt amount listed
  • Lack of proper documentation
  • Failure to validate the debt properly
  • Violations of the FDCPA

File your Answer with the court before the deadline. Send a copy to ACA’s attorneys as proof of your response. Missing the deadline results in a default judgment against you.

Our partner Solo helps you draft and file your Answer to respond effectively. Attorney review ensures your document meets legal requirements.

Settle Your ACA Debt

Settling with American Credit Acceptance can resolve your debt for less. Many creditors accept reduced amounts to close accounts quickly. You maintain control by negotiating terms that fit your budget.

Settlement negotiations require documentation and clear communication. Know your state’s laws and your rights under federal protection. Never agree to terms you cannot afford to maintain.

The settlement process moves faster when you respond promptly. Creditors prefer negotiation over lengthy court battles. You can often reduce the total amount owed significantly.

Frequently Asked Questions

What is American Credit Acceptance?

American Credit Acceptance is a subprime auto lender headquartered in Spartanburg, South Carolina. The company provides automotive financing for consumers with lower credit scores who cannot secure traditional bank loans. ACA partners with over 2,500 dealers and offers refinancing and vehicle trade-in options.

How quickly can American Credit Acceptance repossess my car?

Repossession timelines vary by state and contract terms. In most states, ACA can repossess your vehicle 3 to 5 months after you stop making payments. Some contracts allow repossession within just 45 days of default. Unpaid late fees can also trigger default declarations.

Can I dispute a debt from American Credit Acceptance?

Yes, you can dispute any debt by sending a debt validation letter within 30 days of first contact. The letter requires ACA to provide documentation proving you owe the debt. Under the FDCPA, they must stop collection activities until they validate the debt with proper documentation.

What should I do if American Credit Acceptance sues me?

Review the Complaint carefully for errors and draft an Answer responding to each allegation. File your Answer with the court before the deadline listed on your Summons. Send a copy to ACA's attorneys. Missing the deadline results in a default judgment against you.

How do I settle a debt with American Credit Acceptance?

You can negotiate a settlement for less than the full amount owed. Contact ACA or work with a settlement service to propose payment terms. Get any agreement in writing before making payments. Many creditors accept reduced amounts to close accounts quickly and avoid court costs.