Millions Await UK Car Finance Compensation Rules as FCA Weighs £11 Billion Redress
The Financial Conduct Authority is expected to outline compensation plans for millions of UK motorists who were mis-sold car loans, releasing details after markets shut on Monday. Lenders and auto finance divisions are preparing for what may become one of Britain’s priciest consumer payout efforts. The regulator confirmed it would announce its strategy shortly following the London close on March 30. The numbers are hefty. According to the FCA, its proposed plan may impact some 14 million agreements written from April 6, 2007 up to Nov. 1, 2024, with average payouts landing around 700 pounds per case. Earlier, the regulator put the potential compensation bill at 8.2 billion pounds, while factoring in implementation could push the overall hit to firms