Motor finance customers considering compensation claims are being urged to avoid paying claims management firms, as the Financial Conduct Authority (FCA) launches a £2 million advertising campaign to encourage direct complaints.
The campaign, running from July 27 to September 6 2026 across TV, radio, print, billboards and social media, directs customers to a free template complaint letter on the FCA’s website. The move comes after a survey commissioned by the regulator found that 27% of car finance customers lack confidence to complain without using a claims management company (CMC) or law firm, despite free tools being available.
“FCA launches £2m campaign to warn motor finance customers they can complain for free, as 59% consider claims.”
More than 80% of those surveyed said the free template letter would make them more confident complaining directly to their lender. The survey, of 1,000 UK adults who hold or have held motor finance, was carried out in June and showed that 59% of customers have already made or are considering a claim, while 23% said they are unsure of their options.
Sheree Howard, executive director at the FCA, said: “Many people who may be owed compensation aren’t sure where to start or don’t realise they don’t have to pay someone to make a complaint. Our free tools are there to help people feel claim confident – so they can get any money owed back without it costing them a penny.”
The FCA’s redress scheme, launched in March, has been partially suspended due to legal challenges, but the regulator said it plans to defend it robustly. Further information for car finance customers is available at fca.org.uk/consumers/car-finance-complaints.
