In a major development for car finance claimants, the FCA today announced a consultation to extend the timeframe for responding to non-DCA motor finance commission complaints.
This follows a pivotal Court of Appeal ruling in Johnson v Close Brothers that effectively prohibits dealers from profiting from finance deals without buyers’ explicit consent, a decision Bott and Co recognises as a significant milestone in advancing consumer rights in car finance.
Bott and Co represented the successful Claimant, Marcus Johnson at the County Court stage of his claim.
As the UK’s leading law firm in mis-sold car finance claims, Bott and Co views this ruling as a critical step forward for claimants. Following our landmark victory in Mrs Young vs Black Horse, Bott and Co has already enabled thousands of consumers to seek the compensation they’re entitled to.
This new ruling suggests that even more buyers, previously unaware they could claim due to lack of transparency around commission practices, may now be eligible to receive compensation for malpractice in car finance agreements.
We’re pleased that the FCA and the courts are taking decisive steps to address the longstanding lack of transparency in the car finance industry. Extending the timeframe for complaints and broadening eligibility for both fixed and discretionary commission cases is a crucial move that will give even more consumers the chance to seek the redress they rightly deserve.
Since January 2022, Bott and Co has won over 90% of litigated mis-sold car finance claims, securing an average of £1,600 in compensation for our clients, with some awards exceeding £3,000.
With the Court of Appeal’s confirmation that all material commission details must be disclosed, we expect that this development could expand claims to a scale similar to the PPI redress scandal, potentially doubling the number of eligible claimants.
This ruling makes it clear that transparency in car finance is essential, and consumers are entitled to fair, straightforward transactions. Bott and Co will continue to lead this fight, helping clients reclaim what they are owed and advocating for accountability and integrity across the car finance sector.
We encourage anyone who thinks they may have been mis-sold car finance, to use our car finance claims checker.