FCA Motor Finance Consumer Redress Scheme
A regulator-run, largely automatic redress scheme covering ~12.1M motor finance agreements (Apr 2007 - Nov 2024) with undisclosed discretionary or high broker commissions; average redress ~£829/agreement from a ~£7.5bn pot.
- Claim window
- No individual claim deadline as of assessment date — the scheme is regulator-run and largely automatic, but is partially suspended by Upper Tribunal order (July 2, 2026) pending an appeal hearing. Most consumers need take no action now; a person who already complained will be told by Nov 2026/Jan 2027 if they are not owed compensation. If the scheme is upheld, payments could start in 2027; if overturned, redress could be delayed to 2028+.
- No individual claim deadline as of assessment date — the scheme is regulator-run and largely automatic, but is partially suspended by Upper Tribunal order (July 2, 2026) pending an appeal hearing. Most consumers need take no action now; a person who already complained will be told by Nov 2026/Jan 2027 if they are not owed compensation. If the scheme is upheld, payments could start in 2027; if overturned, redress could be delayed to 2028+.
- Estimated payout
- ~GBP 829 typical
- Average redress ~£829/agreement from a ~£7.5bn total pot; individual amount depends on commission structure and loan terms and is not yet being calculated while the scheme is suspended.
- Estimated affected population
- ~12.1 million motor finance agreements
Eligibility
- Motor finance agreement (car, motorbike, van) taken April 6, 2007 - November 1, 2024
- Agreement involved an undisclosed discretionary commission arrangement, or a high commission (39%+ of credit cost, 10%+ of loan)
- Excludes minimal commissions (£120-£150), zero-interest loans, and already-resolved complaints
What you might need
- Motor finance agreement details (lender, dates, vehicle) — most eligible consumers do not need to file anything; lenders identify and contact them
Official sources
- FCA confirms motor finance redress schemeSource kind: regulatorSource last checked: 20 July 2026
Fetched directly today: confirms eligibility window, ~£829 average redress, £7.5bn total pot, implementation deadlines.
- FCA: motor finance scheme partially suspendedSource kind: regulatorSource last checked: 20 July 2026
Fetched directly today: Upper Tribunal partially suspended the scheme on July 2, 2026; firms need not calculate/pay redress until the legal challenge concludes; hearing set for Dec 14-18, 2026 or Feb 16-26, 2027.
Verification note
Directly fetched both the original FCA scheme-confirmation page and the July 2, 2026 partial-suspension statement on 2026-07-20. Under active legal challenge (Upper Tribunal, 4 commercial parties including Volkswagen Financial Services and Mercedes-Benz Financial Services) — kept at lifecycleStatus "monitor" per checklist item 5, not published as settled.
This is informational routing only, not legal advice, not a guarantee of eligibility or payout, and not an automatic submission on your behalf. Compens.ai does not represent you in this matter. Always confirm current details directly with the official source or claims administrator linked above before acting.
This opportunity is being monitored, not an open claim — it is flagged (e.g. under active legal challenge) and not currently accepting private case preparation. Check back once its status resolves.