Anonymous5 days ago
The FCA's car finance mis-selling compensation scheme, covering an estimated 14 million agreements from 2007–2024, is set to begin processing claims from 31 May 2026, with average payouts of £700 per consumer and a total bill estimated between £8.2 billion (FCA) and £20 billion (industry analysts). The scandal centres on discretionary commission arrangements that allowed car dealers to inflate interest rates for higher commissions without informing borrowers, and raises concerns about whether the scheme's design may exclude the most financially vulnerable consumers while threatening smaller lenders' solvency and future credit market competition.