Martin Lewis has issued crucial advice for millions of UK drivers who may be owed hundreds of pounds after being mis-sold motor vehicle finance over a 17-year period. The Money Saving Expert founder explained how to claim a share of the £9bn redress scheme.
What happened?
In March 2024, the Financial Conduct Authority (FCA) announced a mass redress scheme after discovering 12 million mis-sold motor vehicle finance agreements. Affected drivers could receive over £800 each, but the payout date has been delayed from July to around November 2024 due to court challenges. Claimants should not expect money before the end of 2026.
Who is eligible?
The mis-selling covers car, van, motorbike, or campervan PCP or hire-purchase finance agreements from April 6, 2007, to November 1, 2024. It applies even if you have paid off the finance or no longer own the vehicle. If you had multiple deals, you could receive multiple payouts. Interest-free finance is not covered.
Martin Lewis's advice
Lewis warns against claims management companies (CMCs) that take a percentage of your compensation. He says: "The FCA has seen far too many examples of poor practices." Instead, he advises drivers to complain now using the free complaint tool on Money Saving Expert. "That officially puts you ahead in the payout queue and reduces the risk of being missed because they don't have your correct info," he explains.
How to complain
- Use the free Money Saving Expert finance complaint tool to check if you have a valid claim and lodge a complaint automatically.
- Do not use paid CMCs that take a chunk of your compensation.
- If you already complained via a CMC, you can still use the free tool to ensure your claim is processed.
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