Commission complaints – what you need to know

Commission complaints – what you need to know

We’re here to help you understand what’s happening with motor finance commission complaints. If you’ve taken out vehicle finance in the past, it’s likely the lender paid commission to a broker or a dealer. This is a payment for arranging the finance.

Good to know: Moneybarn has never entered into discretionary commission arrangements (DCAs) and has never operated tied arrangements with brokers.

We’re here to help you understand what’s happening with motor finance commission complaints.

If you’ve taken out vehicle finance in the past, it’s likely the lender paid commission to a broker or a dealer. This is a payment for arranging the finance.

Good to know: Moneybarn has never entered into discretionary commission arrangements (DCAs) and has never operated tied arrangements with brokers.

Following judgments from the Supreme Court, the Financial Conduct Authority (FCA) has reviewed the use and disclosure of commission models within the motor finance industry. Now, the FCA has published a consultation on a proposed redress scheme. The scheme is designed to compensate customers who were affected by any arrangements that caused the customer harm.

What's happening?

  • January 2024 – The FCA began a review into motor finance commission practices, including DCAs (banned in January 2021).
  • 1 August 2025 – The Supreme Court ruled on several high-profile cases.
  • 7 October 2025 – The FCA published a consultation paper proposing a redress scheme for affected customers.
  • 12 December 2025 – Consultation period closed. No final decisions yet.
  • From 31 May 2026 – Lenders will have 56 days to respond to commission complaints.

What this means for you

  • We’re reviewing what this could mean for our customers, but we won’t have clarity until the FCA confirms the final details.
  • You don’t need to do anything right now, we’ll contact you directly.
  • There’s no need to use a claims company (CMC) or law firm. The FCA aims to make the process simple and free.
  • Watch out for scams: If someone contacts you unexpectedly offering compensation, don’t share your personal details. Hang up and contact us directly.

We'll keep you updated

Once the FCA publishes its final decision, we’ll provide clear guidance on what happens next. You won’t need to chase; we’ll contact you directly.

You may have already received a response to your complaint with the view that we’ll begin to respond formally in December 2025. Please note that the FCA has extended this pause on handling commission complaints until 31 May 2026. Then we will have 56 days to respond.

Following judgments from the Supreme Court, the Financial Conduct Authority (FCA) has reviewed the use and disclosure of commission models within the motor finance industry. Now, the FCA has published a consultation on a proposed redress scheme. The scheme is designed to compensate customers who were affected by any arrangements that caused the customer harm.

What's happening?

  • January 2024 – The FCA began a review into motor finance commission practices, including DCAs (banned in January 2021).
  • 1 August 2025 – The Supreme Court ruled on several high-profile cases.
  • 7 October 2025 – The FCA published a consultation paper proposing a redress scheme for affected customers.
  • 12 December 2025 – Consultation period closed. No final decisions yet.
  • From 31 May 2026 – Lenders will have 56 days to respond to commission complaints.

What this means for you

  • We’re reviewing what this could mean for our customers, but we won’t have clarity until the FCA confirms the final details.
  • You don’t need to do anything right now, we’ll contact you directly.
  • There’s no need to use a claims company (CMC) or law firm. The FCA aims to make the process simple and free.
  • Watch out for scams: If someone contacts you unexpectedly offering compensation, don’t share your personal details. Hang up and contact us directly.

We'll keep you updated

Once the FCA publishes its final decision, we’ll provide clear guidance on what happens next. You won’t need to chase; we’ll contact you directly.

You may have already received a response to your complaint with the view that we’ll begin to respond formally in December 2025. Please note that the FCA has extended this pause on handling commission complaints until 31 May 2026. Then we will have 56 days to respond.

FAQs

The proposed scheme may affect a small number of Moneybarn customers who took out motor finance between April 2007 and November 2024. Moneybarn didn’t use Discretionary Commission Arrangements or tied arrangements, but some customers may be eligible if their agreement involved high commission payments.

Right now, you don’t need to do anything. If the scheme goes ahead and you’re eligible, we’ll contact you directly. It will be free to be included in the scheme. Already made a complaint? We’ll make sure you or your appointed third party are contacted once the FCA finalises the proposal.

You can but you don’t need to. We’ll be writing to all eligible customers directly, and it will be free of charge. If you use a claims company, you could pay up to 30% in fees from any compensation you receive.

FAQs

The proposed scheme may affect a small number of Moneybarn customers who took out motor finance between April 2007 and November 2024.

Moneybarn didn’t use Discretionary Commission Arrangements or tied arrangements, but some customers may be eligible if their agreement involved high commission payments.

Right now, you don’t need to do anything.

If the scheme goes ahead and you’re eligible, we’ll contact you directly. It will be free to be included in the scheme.

Already made a complaint? We’ll make sure you or your appointed third party are contacted once the FCA finalises the proposal.

You can but you don’t need to.

We’ll be writing to all eligible customers directly, and it will be free of charge. If you use a claims company, you could pay up to 30% in fees from any compensation you receive.

For a better road ahead

Moneybarn is a member of the Finance and Leasing Association, the official trade organisation of the motor finance industry. The FLA promotes best practice in the motor finance industry for lending and leasing to consumers and businesses.

Moneybarn is the trading style of Moneybarn No. 1 Limited, a company registered in England and Wales with company number 04496573. The registered address is Athena House, Bedford Road, Petersfield, Hampshire, GU32 3LJ.

Moneybarn’s VAT registration number is 180 5559 52.

Moneybarn No. 1 Limited is authorised and regulated by the Financial Conduct Authority (Financial Services reference No. 702780)

Sub prime lender of the year award
National Credit Awards Winner 2023
Car Dealer Power 2023 highly commended
FLA logo
© Copyright 2026 Moneybarn No. 1 Limited
© Copyright 2026 Moneybarn No. 1 Limited