You could be owed £1,658* for car finance

You can make a claim to a lender directly free of charge and without legal representation.

However, by choosing Car Redress Claims, you benefit from a legal team who will:

• Identify your eligible motor finance agreements using credit history data (back to 2007)
• Review and analyse your claim/s against the relevant criteria under the redress scheme
• Contact lenders to request disclosure of relevant documents and information to strengthen your claim/s
• Take necessary steps to assess your compensation offer (if any) and make objections if appropriate
• Keep you updated at every stage
• Manage the redress process from end-to-end

However, there is no guarantee that we will recover any more than you may achieve if you pursued the claim on your own.

The amount of compensation will vary, depending on the terms of your motor finance agreement. It will depend on several factors, including:

• The number of motor finance agreements you had
• The size of the loans or credit involved
• The interest and charges applied
• Factors arising out of the Supreme Court decision
• The nature and size of the commission

Because each case is different, we can't give an exact figure of the amount of compensation you will receive at this stage. The Financial Conduct Authority estimates that the average compensation payable will be around £830 per agreement.

Although these cases may be rare, the Financial Conduct Authority has also stated that consumers whose cases align closely with the Supreme Court Johnson case, should be awarded the same remedy – repayment of commission plus interest (in that case, this amounted to compensation of £1,650.95, plus interest from the date of the agreement). Other clients may receive an estimated average of the amount they lost, plus interest.

Remember our fees (a maximum of 30% plus VAT) will be deducted from any compensation awarded.

Many motor finance lenders failed to comply with disclosures rules and the law by not providing customers with relevant information about commission paid by lenders to the car dealers who sold the loans.

The timing of the motor finance redress claims is governed by the FCA's final Motor Finance Redress Scheme.

The scheme includes a short implementation period, which is the initial phase after the scheme comes into force during which firms are required to prepare to deliver the scheme. It is not the stage at which compensation is paid; rather, it is focused on putting the necessary systems, processes and governance in place.

During this period, firms are expected to identify affected agreements, develop and test their redress calculation methodologies, and ensure they can administer the scheme in a consistent and controlled way.

Once the implementation period ends, firms are expected to move into the active phase of the scheme, where they begin processing complaints and making compensation payments.

While the Financial Conduct Authority suggests that it could take up to 20 months, our best estimate is to resolve your claim within 6 to 12 months from your signing up with us. Notably, the Financial Conduct Authority has stated that consumers who submit their claims before the end of the implementation period could be paid redress within 6 months.

The Supreme Court's ruling and subsequent commentary from the Financial Conduct Authority has provided guidance on what claims are eligible for the Redress Scheme. Consumers will only receive compensation under the scheme if their finance agreement involved one of three arrangements between the lender and the broker (usually the car dealership):

1. A discretionary commission arrangement, which allowed the broker/dealership to adjust the interest rate the customer would pay to obtain a higher commission.
2. A high commission arrangement (where the commission paid is 39% or more of the total cost of credit and 10% or more of the loan).
3. A contractual arrangement or tie between the lender and broker/dealership, which provided exclusive or near exclusive rights to lenders to provide credit, except where the lender can prove there were visible links between the lender, manufacturer, and dealer.

Though, there are some exceptions that can apply, which can make it more difficult to assess whether your particular finance agreement is eligible. This is where having specialist legal support on board can really assist to ensure your claim progresses effectively.

Our fees are a maximum of 30% of the compensation you receive, plus VAT. Our charges are consistent with the relevant regulatory rules designed to achieve fairness and protect consumers (this includes the Financial Conduct Authority's cap on fees charged for financial services claims and the SRA's claims management fee rules).

Yes, you can complain directly to your lender (including via the FCA's Motor Finance Consumer Redress Scheme) or, if necessary, to the Financial Ombudsman Service without legal representation and for free.

No. Our fees are dependent on you achieving a successful outcome.

This refers to a mandated industry-wide compensation scheme. On 7 October 2025, the Financial Conduct Authority officially launched a formal consultation on a scheme to compensate motor finance customers who were treated unfairly. The consultation closed on 12 December 2025, and the final scheme was published on 30 March 2026. The Financial Conduct Authority has stated that first payments should be made to consumers by November 2026. You can read the full scheme here.

We will submit your claim via the redress scheme and will manage the process end-to-end.

You have the right to cancel our instruction within 14 days of signing the retainer agreement and without incurring any charges.

After the 14-day cooling off period, we may charge you a fair and reasonable fee for the work undertaken on your behalf. Each case will be assessed individually, in most cases we will not charge a fee, but in any case, the termination fee will never exceed £100 plus VAT. If a termination fee is charged, Car Redress Claims will explain how it has calculated the amount and this will be with reference to, among other things, our hourly rates as set out in the Terms of Business.

If you pursue your claim elsewhere, and it's successful, we may be entitled to fees in those circumstances. Please check your retainer agreement for more details.

When you sign-up with us, we will ask you to e-sign our retainer agreement. This includes a summary of the key terms on which we agree to act for you, a client care letter and our fee agreement. This is a legally binding document so please do read it carefully.

Our fees are contingent on the success of your claim and determined as a percentage of the compensation you receive (up to a maximum of 30% plus VAT). It is therefore not possible to give you a final amount for the cost of our service to you at this stage because the level of compensation will only be known at the end.

However, by way of illustration only, if you were awarded £830, our fee would be £298.80 including VAT and £531.20 would be paid to you.

We do not anticipate any charges which exceed the relevant regulatory caps.