Car finance complaints rise to record level at UK ombudsman

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Consumers have received a record number of car loans with the British Financial Ombudsman, raising the pressure on the regulators before the decisive lawsuit next month.

The Financial Mediator’s Service received 18,658 new cases in December of three months, following the credit cards as the most unresolved protests of the British. Financial field:A number

Fast growth highlights how car loans quickly become the largest scandal of British consumers, as banks paid 50 billion pounds for payment protection insurance.

Added contradictions to a stir After leaving his chief executive in FOS, unexpectedly, the days of the historically lower key body, the historical low-key body, called for a “radical” shock and announced to leave.

The London leader has criticized the Ombudsman, an independent body, which is subject to the rules written by the authority of financial behavior. To compensate customers too fast.

The government has responded with a call hint from the compensation system.

The figures of the final quarter of the 2024 are represented in the ombudsman, and rose from the previous quarter, more than one year, more than one year earlier to achieve their maximum record.

Data includes both fee purchase and conditional sales car financing agreements.

Machine financing cases continue to have a pile in the ombudsman, despite the FCA, stopping the process of complaints in this area, while regulators expect the result of decisive lawsuits.

The Supreme Court is next month due to listening complaint Car loan providers who challenge last year from the Court of Appeal, which shook the banks with their complaints with consumers in their complaints about car loans.

The verdict that pays a commission for banks without a client’s consent to the HSBC analysts assessed that the total value of compensation for banks could reach 44 billion.

In December, this was followed by a high court decision, which the challenge rejected the challenge against bosses against football that it unfairly increased $ 1,300 commissions in 2018. Barclays catching against that decision.

As long as these cases are not completely resolved, and FCA completes its break in the complaint process, the ombudsman is unable to make decisions on loan requirements.

“We continue to see the large volume of Motor Finance.

To avoid cases, the ombudsman preliminary investigation into car financing, which said that Dipple-Johnstone said: “We can solve them as soon as possible.”

Despite the higher credit cases, the total number of complaints in the ombudsman fell 68,430, 7% of the previous quarter.

Over the past three months, almost 80 percent of the car’s loan has been introduced by professional representatives, such as requirements management companies, which are affected by consumers to reduce any reimbursement.

The Ombudsman decided to start Charging Requirements Management Companies: In the next month, it is said that such organizations make up 47% of all its complaints in April-December last year, reaching an earlier than 21%.

FOS noted that 36% of the cases directly brought by consumers have been preserved, while only 26% of the complaints brought by professional representatives have been preserved.