Commissions
Discretionary and non-discretionary commissions
In January 2024, the Financial Conduct Authority (FCA) paused the usual time limits for handling some motor finance commission complaints. This was while it reviewed past commission arrangements across the motor finance industry.
Following its review, the FCA published its final rules for a redress scheme on 30 March 2026. However, some parts of the scheme are being challenged. We don’t expect to know the outcome of this challenge until early 2027. Although we are not involved in the challenge, the FCA has agreed that parts of the scheme will be paused. Whilst there is a pause, we’re continuing to prepare for the scheme.
If you’ve already sent us a complaint, you don’t need to do anything else at this stage.
We’ll keep your complaint on hold for now. We’ll continue to monitor developments and contact you as soon as we can move your complaint forward. Your right to have your complaint considered will not be affected by these temporary arrangements.
The pause only applies to complaints that fall within the FCA’s redress scheme. If your complaint is outside the scheme, we’ll handle it under the FCA’s normal complaint-handling rules. We’ll contact you to explain what happens next.
If your agreement is within the scheme but no redress is due, we’ll also contact you in line with the latest FCA timelines. You can find the latest information and timelines on the FCA website here.
For the latest information from the FCA, please click here.
I have signed up to a CMC (Claims Management Company) or Law Firm regarding my commission complaint. How do I withdraw and register a complaint directly with you?
You should check your contract with the CMC or Law Firm to see what it says about termination and your right to withdraw from the agreement. We will continue to correspond with the CMC or Law Firm until we receive confirmation from them that you have terminated your agreement. Once we receive this, we will update our records and contact you directly.
Where can I log a commission complaint?
You can register a commission complaint using the link below.
Please provide vehicle registration, finance agreement number and any previous postcode /surname at the time of your agreement.
Which customers could this apply to?
If you entered into a regulated motor finance agreement on or after 6 April 2007 where commission was paid, you’re likely to be eligible to make a complaint. This will include Select (PCP), Hire Purchase and Lease Purchase.
What is a discretionary commission?
Typically, the amount of commission earned by a dealer or broker was determined by the interest rate that the agreement had been contracted at – the lower the interest rate, the lower the commission the dealer or broker received, and vice versa. This was known as a discretionary commission arrangement. Since January 2021, this commission model is no longer allowed.
What is a non-discretionary commission?
This is usually referred to as a fixed commission. This means a fixed amount is paid by us and is calculated based on the vehicle you buy or as a percentage of the amount you borrow. The dealer or broker doesn’t have any discretion to vary the interest rate or APR you pay under your finance agreement.
What should I expect if you've already confirmed the commission model that applied to my agreement?
If we’ve sent you a confirmation of your commission model type, we’ll automatically log a commission complaint on your behalf and send you a letter of acknowledgement.
No further action is required from you.
We'll review your complaint in line with the FCA's Motor Finance Consumer Redress Scheme and contact you when we're able to progress your case. Parts of the scheme are currently subject to a partial suspension which may affect response times.
When can I expect to hear from you?
We'll acknowledge receipt of your complaint within 8 weeks.
A commission enquiry may take longer if we're unable to match the information you've provided to our records. If we need more information, we'll contact you.
Complaints will be handled in line with the FCA's Motor Finance Consumer Redress Scheme. However, parts of the scheme are currently subject to a partial suspension which may affect response times. We will keep you updated and contact you when we are able to progress your case.
For the latest information from the FCA, please click here.
Where can I find further information from the Financial Conduct Authority?
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