Motor Finance Commission Review
The Financial Conduct Authority (FCA) has reviewed how some motor finance commission models were structured historically and how they may have affected customers.
The FCA has now published the findings of its consultation, along with guidance for companies on how to respond.
To read more about the FCA’s update, please visit their website.
What Happens Next
The FCA has set out industry wide expectations for how companies should manage this process, and we’ll be following that guidance.
To allow companies time to prepare, the FCA has introduced a short implementation period. This means we must complete all the necessary work by:
- 31 August 2026 for motor finance agreements taken out between 6 April 2007 and 31 March 2014
- 30 June 2026 for motor finance agreements taken out between 1 April 2014 and 1 November 2024
If you haven’t made a complaint
You can still do so using our online form. However, you don’t need to submit a complaint to be included in the FCA’s redress scheme.
If the information we hold shows you may be affected, we’ll contact you within 6 months after the relevant implementation deadline. There’s nothing you need to do until we get in touch.
If you already have an open complaint
If you’ve already complained to us about motor finance commission arrangements and we haven’t confirmed that your case is closed, we’ll update you within 3 months of the implementation deadline, depending on when your agreement was taken out.
You don’t need to take any further action; we’ll contact you when we have more information.
What this means for compensation
The FCA’s announcement does not mean that compensation will automatically be due. If our review shows that you’re affected, we’ll write to you to explain the next steps and what this means for you.
Only customers who may be impacted by the FCA’s findings, or who already have a complaint open with us about this issue, will be contacted.