FCA launches car finance redress campaign warning against paid claims
FCA launched a nationwide campaign informing car finance customers they can claim compensation for free without using claims management companies.
With 27% of car finance customers lacking confidence to complain directly, FCA outreach is likely to drive a significant increase in direct complaints volumes. Firms must ensure operational readiness, consistent redress methodology and Consumer Duty-aligned communications.
Signals imminent surge in car finance complaints and heightened scrutiny of redress operations and customer treatment.
Action Required
Prepare complaint-handling capacity and ensure clear, fair customer communications on car finance redress processes.
Motor finance redress remains a systemic conduct issue with material financial and operational impacts on lenders.
Scale complaints handling and redress operations for motor finance, monitor CMC vs direct claim mix, and ensure customer communications meet Consumer Duty and fairness standards.
“FCA launched a national campaign helping car finance customers claim compensation for free, noting 27% lack confidence to complain without a CMC. Sheree Howard highlighted free FCA tools available.”
Published: 2026-08-02