11:26 am, May 29, 2026
Dealers are being warned to prepare ahead of the Financial Conduct Authority restarting its complaints process from next week (May 31).
While the FCA was working out the compensation scheme and wider concerns about commission disclosure, it paused the motor finance complaints. However, this will be be lifted on Sunday so car dealers are being urged to review historic files, processes and communications.
When the complaints process restarts, dealers will need to investigate and issue a final response to customers within normal timescales.
The FCA has confirmed that generally complaints will need a response within eight weeks, outside of complaints for any future redress scheme.
Phillip Garlick, CEO of Product Partnerships Ltd, said: ‘This is fundamentally a records, process and governance issue. Dealers need to assume that complaint activity is about to increase significantly and ensure they can retrieve finance files, commission records, and customer communications quickly and accurately.
‘Many firms may need additional support to manage complaint volumes in a timely and structured way.’
It warned that incomplete files, inconsistent complaint logs and unclear customer communications could cause operational pressure once complaints volumes return.
The FCA has encouraged consumers to raise complaints now rather than wait for a future redress scheme if they believe they were not properly informed about commission.
Garlick added: ‘A lot of businesses are still treating this as something for lenders to worry about.
‘But if you arranged the finance, handled the customer journey or discussed finance products in the showroom, your processes and records matter.’
