FCA to consult on car finance compensation scheme – could you be eligible?

The Financial Conduct Authority will consult on an industry-wide compensation scheme for victims of the car finance scandal. We look at who could be eligible and how much payouts could be.

Person standing in a car showroom
(Image credit: Don Mason via Getty Images)

Some victims of the car finance scandal could be in line for compensation despite the UK Supreme Court partially overturning a judgment calling for redress on Friday (1 August), according to the Financial Conduct Authority (FCA).

The FCA confirmed that it will consult on an industry-wide compensation scheme for people who bought motor finance that failed to provide customers with relevant information on the commission paid by lenders to car dealers.

Subscribe to MoneyWeek

Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Get 6 issues free
https://cdn.mos.cms.futurecdn.net/flexiimages/mw70aro6gl1676370748.jpg

Sign up to Money Morning

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Sign up

Daniel is a digital journalist at Moneyweek and enjoys writing about personal finance, economics, and politics. He previously worked at The Economist in their Audience team.

Daniel studied History at Emmanuel College, Cambridge and specialised in the history of political thought. In his free time, he likes reading, listening to music, and cooking overambitious meals.