The Financial Conduct Authority (FCA) has warned motor finance lenders against making settlement offers lower than the customer would have received through its own £9bn scheme
The regulator set out its ‘FCA expectations for lenders’ this week, as Barclays Partner Finance confirmed it has set aside £430m and will make early settlement offers to some of its customers.
The FCA emphasised that lenders will need to be clear with people about what accepting any offer means, including that they can’t claim more later if it turns out they could have received more under the scheme.
The FCA scheme has been partially suspended pending a legal case.
