Link(s): Statement on motor finance review next steps | FCA
Context
The FCA has published a statement confirming that, if it is shown that motor finance customers have lost out from widespread failings by authorised firms, it is likely to consult on a formal industry redress scheme.
Key points to note and next actions
- To provide a note of caution to insurance brokers and the use of premium finance, we would draw your attention to the FCA’s comment that, depending on the Supreme Court’s decision, it may also consult separately on changes to its rules. This may involve changes to rules in relation to credit broking and enhancements to the existing commission disclosure requirements in the CONC Sourcebook.
- The FCA has confirmed that it’s next step will be to confirm, within six weeks of the Supreme Court’s decision, if it is proposing a redress scheme and, if so, how it will take that forward.