The UK's financial regulator has launched a formal enforcement investigation into a claims management company at the centre of the widespread car finance mis-selling scandal.
Investigation Focuses on Sales and Advertising
The Financial Conduct Authority (FCA) is probing Manchester-based The Claims Protection Agency (TCPA), which trades as My Claim Group. The watchdog is examining concerns about what potential customers were told regarding the amount of compensation they might receive, whether they were informed they could make a claim for free, and if they faced pressure to sign up.
These concerns centre on TCPA's sales and advertising tactics, which targeted people who believe they were mis-sold car loans. The issue escalated in 2025 when the FCA announced plans for an industry-wide compensation scheme, potentially covering around 14 million car finance agreements.
Consumers Warned Over Unnecessary Fees
The FCA has repeatedly stated that consumers do not need to use a claims management company (CMC) or a law firm to access its redress scheme. It has warned that people risk losing more than 30% of any compensation they are owed through unnecessary fees charged by such firms.
However, a report backed by MPs and peers in November 2025 suggested potential victims might secure more money by pursuing claims through the UK courts rather than the FCA's scheme. The All-Party Parliamentary Group on fair banking argued the regulator's plan could short-change millions.
TCPA, which has also used trading names like Martin's Tips and Karen's Claims, advertises for motor finance claims and refers customers to solicitors. A message on the My Claim Group website states it has "temporarily paused new customer sign-ups" to improve its advertising and processes.
Promises of High Payouts Under Scrutiny
The company's website now references the FCA's estimate that consumers can typically expect an average payout of £700 per agreement under its scheme, noting that older, higher estimates are no longer accurate. This follows a promotional video by boxer Tyson Fury for My Claim Group earlier in 2025, uncovered by The Times, in which he claimed people could be owed up to £4,000. The Instagram post was removed, but a Facebook post remains.
Since August 2025, TCPA has been required to stop onboarding new customers, cease new financial promotions, and withdraw all existing ones. The FCA said publicising its investigation allows TCPA's customers to consider their options. No conclusions on regulatory breaches have been reached.
A spokesman for TCPA said the company had "fully co-operated" and believed the probe would exonerate it. They stated consumers were always made aware they did not need to use a CMC, but many chose to for "peace of mind and access to professional expertise." The company added it is fully able to continue managing existing claims.
