When to hear?

ree123

Hi. I'm sorry if this has been discussed, I'm struggling to search the site. I'm owed the money for the discretionary payment thing, I was told I would hear back after 25th September. Does anyone have any further info as to what happens next? 

MSE_James

The timeline for next steps has slipped, so you're unlikely to hear any more from anyone for many months yet.

https://www.moneysavingexpert.com/news/2024/07/car-finance-reclaim-decision-delayed/

(NB even if you've established discretionary commission was used on your agreement  it's too early to say if anyone is owed any redress) 

ree123

Thank you
 I just wasn't sure. I've had the email to say I'm owed but thanks for clarifying 

dunstonh

The timeline for next steps has slipped, so you're unlikely to hear any more from anyone for many months yet.

Firms don't need to start replying under after September 2025.  And that's only if the FCA doesn't push the deadline back again, which many expect to happen as the court cases are likely to go to appeals.

sleepyjones

ree123 said:

Thank you
 I just wasn't sure. I've had the email to say I'm owed but thanks for clarifying 

It's important to remember that technically, at this stage, you're not owed anything. 
The FCA are still investigating, only if they decide that people are due a refund will you get anything.   The email you have will just be agreeing that you did have Discretionary Commission.  Cautionary tale because I think a few people have probably already mentally spent that money or are maybe relying on it to pay off other debt or something.
Don't go ordering a new sofa with the assumption that you can pay it off when you get your refund 'cause there might not be one!

DullGreyGuy

ree123 said:

Hi. I'm sorry if this has been discussed, I'm struggling to search the site. I'm owed the money for the discretionary payment thing, I was told I would hear back after 25th September. Does anyone have any further info as to what happens next? 

In normal circumstances financial services companies have 8 weeks to respond to a complaint. As the FCA are reviewing this matter more widely they have stopped the clock, initially until 25 September 2024 however have now announced its stopped until December 2025 so if you add 8 weeks on to that it means people should hear before the end of January 2026.

In addition to the FCA investigation there are also at least 2 court cases going on regarding this and at least one is likely to be appealed for the Supreme Court (its current awaiting to be heard in the Court of Appeal). The FCA are unlikely to make any decisions before the court processes have ended and as such there is a good chance the Jan 2026 date will go back further. 

Nasqueron

ree123 said:

Hi. I'm sorry if this has been discussed, I'm struggling to search the site. I'm owed the money for the discretionary payment thing, I was told I would hear back after 25th September. Does anyone have any further info as to what happens next? 

Just to be very clear, you are NOT owed anything. MSE's emails are predictably made for easy reading and avoiding going into excessively complicate technical speak and as part of that, it could be interpreted that the lenders are all set to refund everyone who ever had car finance which is simply incorrect.

The FCA have not finished their review to determine if it was even mis-selling at all and there are court challenges to the initial rulings that DCA should be refunded given when it was used, it was not banned. Furthermore, simply having DCA doesn't mean a refund is due even if they rule against the lenders as there were 3 options - positive (your interest rate was reduced so logically you aren't owed anything); neutral (DCA was available but not actually used); negative (your interest rate was increased for higher commission).

After the FCA review finishes (at least the end of next year) and court cases play out (over the next year or so), you'll get a bigger picture