It’s no surprise that the surge in car finance complaints has made it the UK’s top unresolved financial issue for consumers (Report, March 4).
The problem is most consumers have no way of knowing whether or not they have been affected due to the very nature of the commissions being “secret”. Many customers who have complained will have received fair deals, while many who have not yet complained may have been disadvantaged. The true volume of legitimate claims is still unknown.
In the meantime, the car finance industry remains a crucial part of our economy, with large numbers of consumers — including the vulnerable — relying on finance to purchase vehicles. The roll out of electric vehicles, which are more costly, is also contingent on financing. This is why it is essential for the courts and Financial Conduct Authority to resolve this issue urgently, and give car finance providers, lenders and consumers clear direction on how to proceed.
Molly Preleski
Financial services expert, PA Consulting, London SW1, UK
