I Haven’t Complained About Car Finance Yet — What Happens?
Scheme status (updated 5 August 2026): parts of the FCA motor finance redress scheme are temporarily suspended while the Upper Tribunal considers legal challenges. Lenders do not currently have to calculate or pay compensation under the scheme, the original decision and payment dates no longer apply, and no payment under the scheme is guaranteed. If the scheme proceeds, first payments are expected in 2027 at the earliest. Any dates mentioned below were set before the suspension.
If you had a qualifying car finance agreement and have not yet submitted a complaint, you may wonder whether compensation will arrive automatically or whether you need to act. This guide explains both routes, the timeline difference between them, and why complaining proactively produces a significantly better outcome.
The Two Routes to CompensationRoute 1 — You complain proactively: Submit a complaint to your lender before the implementation period closes. The lender assesses your agreement and must tell you whether you are owed money and how much within 3 months of the period ending. If you accept, you are paid within 1 month.
Route 2 — Your lender contacts you: If you do not complain, your lender must identify whether you are potentially owed money and contact you within 6 months of the implementation period ending. You then have 6 months to respond. The lender then has 3 months to assess and pay.
How Much Later Is Route 2?
Post-April 2014 agreements — complaining before 30 June 2026:
Under the original timetable: lender response by 30 September 2026, payment by November 2026 (dates suspended).
Post-April 2014 agreements — not complaining, waiting for lender contact:
Lender contacts you by 30 December 2026. You respond within 6 months. Lender assesses within 3 months. Payment potentially September 2027 — up to 10 months later.
Pre-April 2014 agreements — complaining before 31 August 2026:
Under the original timetable: lender response by 30 November 2026, payment by January 2027 (dates suspended).
Pre-April 2014 agreements — waiting for contact:
Lender contacts you by 28 February 2027. Payment potentially late 2027 or early 2028.
Will You Definitely Be Contacted?
Only if the lender identifies your agreement as potentially eligible. Lenders are only required to contact non-complainants they believe are owed money. If your agreement falls outside eligibility criteria — zero APR, minimal commission, high-value loan — you may not be contacted. You have no way of knowing which category you fall into without submitting a complaint. Many people who assume they will not be contacted turn out to be owed money.
What If Your Lender Does Not Contact You?
If your lender does not contact you by the relevant deadline, you can still complain directly until 31 August 2027. The right to complain remains until the final deadline regardless of whether the lender reached out.
Three Reasons to Complain Now
You receive payment up to 10 months earlier. For lenders under financial pressure such as Close Brothers, earlier payment cohorts carry less risk. And submitting a complaint is free, takes minutes, and has no downside.
Frequently Asked Questions
I have been putting this off. Is it too late?
The final deadline is 31 August 2027. You can still complain at any time before then. The sooner you complain, the sooner you are paid.
I do not have my original paperwork. Does that matter?
No. Lenders can retrieve your agreement details. Your name, date of birth, approximate dates and vehicle details are sufficient to start a complaint.
You will be redirected to our partner’s website to complete your claim.
Think You May Have a Motor Finance Claim?
The FCA estimates average compensation of around £830 per eligible agreement, but eligibility and payment amounts vary. Some customers may receive nothing. Complaints about agreements started from 1 April 2014 should be submitted by 30 June 2026 to be considered under the earlier timetable. Different dates apply to older agreements. The scheme is currently subject to legal challenge, so dates and payment timings may change.
