#MotorFinance

@connaughtlaw.bsky.social

4 months ago

Consumer Credit Act Solicitors UK 2025 | Expert Legal Guide Expert guide to consumer credit act solicitors UK 2025. CCA reform, motor finance claims, personal loans, hire purchase & consumer rights from Connaught Law.

Consumer Credit Act 2025 major reform: £18bn motor finance scandal, Section 140A claims, BNPL regulation & personal loan rights. Expert legal guide for all credit types. connaughtlaw.com/consumer-cre... #ConsumerCredit #MotorFinance #UKLaw

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Akin

@akingump.com

5 months ago

The UK Financial Conduct Authority (FCA) has issued Consultation Paper 25/27, proposing a redress scheme for motor finance.

Comments are open until November 18, with final rules expected in early 2026.

Read the full alert here: https://bit.ly/3KL5gaR

#MotorFinance

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Profit Trading USA

@profittradingusa.bsky.social

6 months ago

Click Subscribe #MotorFinance #MandA #FinanceNews #UKBusiness #Investment

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Fenchurch Legal

@fenchurchlegal.bsky.social

7 months ago

‘I’d do it all again’: the UK factory worker who beat the car lenders in court Marcus Johnson’s successful claim means more consumers can access a multi-billion-pound compensation scheme

The Supreme Court has ruled in favour of Marcus Johnson, a factory worker who challenged hidden car finance commissions. A landmark win that could open the door to thousands of similar claims.

#PCPClaims #MotorFinance #ConsumerRights #LitigationFunding

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Profit Trading USA

@profittradingusa.bsky.social

7 months ago

Lloyds to keep motor finance provision under review Investing.com -- Lloyds Banking Group (LON:LLOY) on Monday said it will continue reviewing its motor finance provision following a Supreme Court ruling that overturned key parts of a previous decision involving commission payments and broker duties. The court ruled Friday that motor dealers acting as credit brokers do not owe fiduciary duties to customers and that commissions paid in this context cannot be classified as bribes. The judgment resolved a long-standing legal dispute by reversing the Court of Appeal’s earlier stance in the Wrench, Johnson and Hopcraft cases. While the court rejected arguments around fiduciary duty and bribery, it did find in the Johnson case that an unfair relationship existed between lender and borrower under the Consumer Credit Act 1974. The court described the test for unfairness as highly fact-specific and ordered the repayment of commission plus commercial interest to Mr. Johnson. Lloyds said its existing motor finance provision was based on a range of possible outcomes, including the one delivered by the Supreme Court. However, the bank noted that uncertainty remains, particularly around regulatory developments. The Financial Conduct Authority said Saturday it will launch a consultation by early October on a potential industry-wide redress scheme related to discretionary commission arrangements, and may consider extending it to other models. The Group said that, based on an initial review of the ruling and pending the FCA consultation, any change to its provision is unlikely to be material. It will continue to monitor for new information and update the market as necessary. As disclosed in recent half-year results, Lloyds reported financial performance in line with guidance, including capital generation of 86bps for the first half of 2025. Before you buy stock in LLOY, consider this: ProPicks AI are 6 easy-to-follow model portfolios created by Investing.com for building wealth by identifying winning stocks and letting them run. Over 150,000 paying members trust ProPicks to find new stocks to buy – driven by AI. The ProPicks AI algorithm has just identified the best stocks for investors to buy now. The stocks that made the cut could produce enormous returns in the coming years. Is LLOY one of them?

Click Subscribe #LloydsBankingGroup #MotorFinance #FinanceNews #SupremeCourt #LegalNews

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Financial World, the magazine of LIBF

@financialworld.bsky.social

7 months ago

Lloyds keeps motor finance provision under review after Supreme Court ruling LONDON (Reuters) -Lloyds Banking Group said on Monday it would keep its 1.2 billion pound ($1.6 billion) provision for motor finance claims under review, after a Supreme Court ruling last week went la...

Lloyds keeps motor finance provision under review after Supreme Court ruling

uk.finance.yahoo.com/news/lloyds-...

#Lloyds #MotorFinance #financialservices #banks #regulation #FCA #RoE

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Financial World, the magazine of LIBF

@financialworld.bsky.social

9 months ago

UK watchdog mulls scope of compensation scheme for motor finance scandal LONDON (Reuters) -Britain's Financial Conduct Authority on Thursday set out the considerations for a compensation scheme for customers affected by mis-sold car finance schemes, in what could become th...

UK watchdog mulls scope of compensation scheme for motor finance scandal

uk.finance.yahoo.com/news/uk-watc...

#MotorFinance #FCA #regulation #compensation #credit #financialservices

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Profit Trading USA

@profittradingusa.bsky.social

11 months ago

Banks face anxious wait as UK Supreme Court considers ’secret’ motor finance commissions LONDON (Reuters) - Major banks will be anxiously watching an appeal over motor finance commissions, which begins at the UK’s Supreme Court on Tuesday as Britain’s financial watchdog considers a scheme to pay out billions of pounds in compensation to consumers. British lender Close Brothers (F:CBRO) and South Africa’s FirstRand are seeking to overturn a landmark Court of Appeal judgment, which said brokers must have customers’ fully informed consent to receive a commission from lenders. The Court of Appeal said lenders are liable to consumers when the commission is "secret" and can be liable where disclosure of the commission is insufficient to obtain informed consent. That October ruling sent Close Brothers’ shares plummeting due to the prospect of customers having to be repaid the amount of the commissions plus interest. The judgment also hurt the UK arm of Banco Santander (BME:SAN), Lloyds (LON:LLOY) and Barclays and threw the car finance market in the UK – where more than 80% of new vehicles are bought on finance – into disarray. The Supreme Court’s decision could also affect Britain’s wider consumer lending sector, with lawyers warning the implications of Court of Appeal’s ruling could stretch to other goods and services purchased on credit arranged by a broker. Close Brothers and FirstRand have set aside 165 and 140 million pounds respectively to cover potential claims – figures dwarfed by the 1.15 billion pounds ($1.49 billion) Lloyds has earmarked. Santander UK has set aside 290 million pounds and Barclays 95 million pounds. Analysts suggest the Financial Conduct Authority’s looming redress scheme could leave brokers paying out tens of billions of pounds in compensation to customers - possibly approaching the nearly 40 billion pounds lenders paid for misselling payment protection insurance between 1990 and 2010. HIGH STAKES If the Supreme Court dismisses the lenders’ appeals, "it could send shockwaves spreading far beyond just the car finance industry", said Tom Webley, a partner at Reed Smith who is not involved in the case. "There are a wide range of businesses that provide credit through commission-earning intermediaries and all of them could be affected by this judgment," Webley added. The three-day appeal at the UK’s highest court centres on whether car dealers owe duties as credit brokers to provide information to consumers and, if so, whether that makes any commission "secret" so as to make lenders liable to customers. The Court of Appeal said in its ruling that brokers owe a fiduciary duty to consumers, which meant brokers should act in their customers’ best interests and not receive a commission without obtaining their "fully informed consent". The Supreme Court’s ruling is expected in the summer, though its potential wider significance could push a decision later in the year. The importance of the case is illustrated by the fact that the FCA has been given permission to address the court, though an unusual application by finance minister Rachel Reeves’ Treasury for permission to intervene in the appeal was refused. The FCA had already put its consideration of a redress scheme on hold pending the Court of Appeal’s ruling, giving customers until December to lodge complaints about commissions. ($1 = 0.7729 pounds)

Click Subscribe #Banks #Finance #SupremeCourt #MotorFinance #ConsumerRights

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Financial World, the magazine of LIBF

@financialworld.bsky.social

1 year ago

Britain's financial watchdog "likely to consult" on motor finance redress Britain's Financial Conduct Authority on Tuesday said it would likely consult on an industry-wide scheme to compensate motor finance customers if the Supreme Court rules that lenders and brokers should have been more transparent about commissions.

Britain's financial watchdog "likely to consult" on motor finance redress www.reuters.com/business/aut...

#FCA #MotorFinance #banks #financialservices #credit #brokers #fees #transparency #regulation

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Financial World, the magazine of LIBF

@financialworld.bsky.social

1 year ago

‘High numbers’ of motor finance commission complaints seen by ombudsman service The Financial Ombudsman Service said it is putting steps in place to ensure it can resolve motor finance commission gripes ‘as quickly as possible’.

‘High numbers’ of motor finance commission complaints seen by ombudsman service uk.finance.yahoo.com/news/high-nu...

#MotorFinance #credit #debt #fees #regulation #financialservices

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Financial World, the magazine of LIBF

@financialworld.bsky.social

1 year ago

Close Brothers to set aside up to £165m for motor finance scandal The company is at the centre of a looming crisis facing the motor finance industry, with lenders facing potentially hefty compensation bills.

Close Brothers to set aside up to £165m for motor finance scandal uk.finance.yahoo.com/news/close-b...

#MotorFinance #financialservices #commission #fees #debt #credit #regulation

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Posts tagged #MotorFinance