Martin Lewis issues 'delay' warning to drivers who bought car after 2007
A major update has been issued over the car finance mis-selling scandal claims deadline. The Financial Conduct Authority (FCA) is currently carrying out an investigation into whether motorists were unknowingly overcharged on historical loans.
And BBC and ITV star Martin Lewis has revealed drivers may have to wait a bit longer for any expected payouts with the Financial Conduct Authority (FCA) unveiling a new timeline. Those who bought a car, motorbike or van on finance before January 28, 2021, could be owed potentially thousands of pounds.
The publishing date has been pushed back to May 2025 and the date firms have to respond to customer complaints to December 4, 2025. The FCA's decision to extend the deadline to December 4 next year is just when firms have to have respond to any complaints.
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MSE previously shared a warning about 'mis-sold' car finance, suggesting that vehicle owners could be due over £1,000. This primarily concerns anyone who purchased a car, van, campervan or motorbike between April 2007 and January 28, 2021.
Customers can still complain to their providers before this point, and in some cases there are time limits for doing so. The FCA said: “We now intend to set out next steps in our review into the past use of DCAs in May 2025.
“By then, we expect to have analysed the data we have collected from firms and assessed the outcome of the Barclays judicial review of the Financial Ombudsman’s decision to uphold a DCA complaint. Our next steps could involve consulting on a redress scheme.
"This is why we intend to take the precautionary step of pausing complaint handling until December 4, 2025, as it may take until then to confirm how firms would implement it. Or it could involve asking firms to start dealing with complaints again as usual, in which case we would consult on ending the pause earlier.
"If we can set out our proposed next steps sooner, we will.” Mr Lewis said: “Motor finance misselling update: @TheFCA just announced while it'll announce its ruling in May 2025 firms will have until December 2025 to deal with complaints.”