Motor Finance Commission Complaints

Update following Supreme Court decision and FCA statement

On the 1 August 2025, the UK Supreme Court delivered its decision regarding commissions in motor finance agreements. Following this, on the 3 August 2025, the Financial Conduct Authority (FCA)  confirmed that it will consult on a potential redress scheme to review certain commission arrangements within the industry. The FCA are working on the details of this consultation  and an update on this is due in early October 2025.  

We understand that this may raise further questions for many of our customers and whilst the outcome of the consultation is not yet known,  we will work with the FCA  and share updates once we have more detail on what this means for our customers and who it may apply to.

What this means for you now

We want to reassure you that we are committed to following any future instructions issued by the FCA.

If you’ve previously submitted a complaint or claim about motor finance commissions, please be assured that your case remains under review with us unless we have already written to you with a final response letter informing you that your complaint has been closed. 

Once the outcome of the FCA consultation is published, we’ll be reviewing all existing open complaints  and will contact you directly if any further information or action is required.

For further information, please view our FAQs. Thank you for your patience and understanding.

Motor finance commissions complaints

The FCA previously placed a complaint handling pause on complaints involving a discretionary commission arrangement (DCA) until after 4 December 2025. This was to give lenders time to investigate and respond. The FCA extended this complaint handling pause to all motor finance commission complaints (i.e. including motor finance agreements not involving a DCA).

Who this applies to

This applies to you if:

•       You used car finance to buy or lease a motor vehicle, for example a car, van or campervan (this includes using either Solutions Personal Contract Plan (PCP), Hire Purchase, Lease Purchase, Contract Hire or Finance Lease).

If this doesn’t apply to you, but you have a complaint about another issue, please see our customer concern policy.

How do I complain?

You can submit your complaint using the form below. Please include as much information as you can to help us find your agreement. Once you've made a complaint, we will send you an acknowledgement.

Complete Form

Discretionary commission arrangement complaints

On 11 January 2024 the Financial Conduct Authority (FCA) made an announcement that it would be looking into customer complaints relating to discretionary commission arrangements (DCA) prior to the FCA’s ban on discretionary models in 2021.

The FCA are reviewing arrangements up to 27 January 2021 and will apply to customers who took out a credit agreement during this time where a discretionary commission arrangement was in place with the retailer.

Customers who took a credit agreement after 27 January 2021 and customers who had a hire agreement, are out of scope for a DCA complaint.

Whilst the FCA carries out its review it has paused the 8 week deadline for motor finance firms to provide a final response on discretionary commission complaints. If you have raised a complaint with us regarding a DCA since 17 November 2023 you can expect to receive a final response from us after this pause (i.e. after 4 December 2025).

Customers who have already made a discretionary commission complaint to us, and received a final response during the period 12 July 2023 to 29 April 2025, will now have until 29 July 2026 to refer their complaint to the Financial Ombudsman Service.

For further information on the FCA's work in this area, please visit their website.  

What is a discretionary commission?

Before January 2021, some lenders allowed brokers (the person that arranges the loan, for example, your retailer) to adjust the interest rates they offered for car finance.

Typically, the amount of commission earned by a broker was determined by the interest rate that the agreement had been contracted at - the lower the interest rate, the lower the commission the broker received, and vice versa. This was known as a discretionary commission arrangement. Since January 2021, this commission model is no longer allowed. 

Which customers could this apply to?

·      You used car finance to buy a car before 28 January 2021, using either Solutions Personal Contract Plan (PCP), Hire Purchase or Lease Purchase

·      Volkswagen Financial Services and your retailer had a discretionary commission arrangement

This doesn’t apply if:

·      Your finance agreement had a 0% APR

·      You used car finance to buy a car on or after 28 January 2021

·      You used a hire agreement, such as a Contract Hire or Finance Lease

If this doesn’t apply to you, then our standard complaints procedure will apply.

How do I contact you about a DCA?

If your enquiry relates to motor commission and you would like to establish if a discretionary commission arrangement applied to your agreement, please complete the enquiry form by clicking on the link below.

If we believe you may have had a DCA we will create a complaint and send you an acknowledgement. If you did not have a DCA we will confirm in our response.

For Porsche agreements entered into before 1 July 2010, Porsche finance was provided by Black Horse Limited (trading as ‘Black Horse’) and you will need to redirect your enquiry to Black Horse Motor commission complaints.

Complete Form

For more information, please see our customer concern policy

Frequently asked questions:
Supreme Court Judgment on Motor Finance Commissions