Martin Lewis has revealed motorists likely to receive payouts for car finance mis-selling could soon receive a “winner email” as firms start responding to driver letters.
The Money Saving Expert founder said any response from lenders admitting motorists had paid a discretionary commission arrangement (DCA) fee was a sign compensation could be awarded.
He made the admission on the BBC’s Martin Lewis Money podcast as he answered questions from listeners keen for more information.
Listener Samantha Harvey got in touch with Martin after receiving a response from her lender suggesting they would not be in touch until later in the Autumn after the FCA investigation is concluded.
She wrote: “I did have an email confirming I had discretionary commission but it looks like I’m not going to hear any more until late September.”
Samantha’s query then goes into the email she received with Martin later admitting the message was positive news.
The message read: “No more action is required from you at this stage, we are following the FAC car finance complaints guidance which is pausing the eight-week deadline to respond to complaints and will respond after 25 September 2024.”
Reacting to the response, Martin explained: “Yay absolutely right, good stuff. That’s what you want to hear. That’s the winner’s email.
“That says you had a discretionary commission arrangement, we have logged your complaint and we are waiting until September 25 when the regulator the FCA is due to reveal the results of its investigation and tell us what to do next and we will deal with it.
“The hope is in September, the hope from consumers anyway, is that in September the regulator will say you deserve some of the discretionary commission arrangement money back.”
It’s looking more likely that certain motorists who purchased a vehicle on finance between 2007 and 2021 will be awarded compensation.
Earlier this month, FCA chief Nikhil Rathi claimed it was “improbable” the investigation would find “nothing to report”.
They have previously warned that around four in 10 companies could be successful with millions set to be awarded to motorists.
Martin added: “If you get a letter back that says ‘you got a DCA, we are waiting until September, we’ve acknowledged your complaint’ then just go ‘yep, I’ve done my job, that’s what I needed to do for now’. That’s what I suggest people do.
“Carry on and then come September 25 I suspect I’ll be on here explaining what it all means.”
