Will the new Consumer Credit legislation be the next rich pickings for claims management companies?

legal updates

Consider PC products to help you provide the audit trail should a complaint be made of finance misselling.

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When there is a rigid legal framework to be followed then it is relatively straightforward to make a claim against motor retailers and finance companies for failing to adhere to the letter of the law. 

Many clients will have been put to considerable effort in defending themselves against PPI claims and whilst we do not endorse them you might wish to check PC products developed by companies such as ITC Compliance to help you at low or zero cost to provide the audit trail should a complaint be made of finance misselling. 

You may, of course, already be receiving such packages from your finance providers.

Perhaps two classic examples of potential claims among a number on the ITC website are:-

a)    How can you offer finance to a customer who is declined by one company for financial status and then is passed by a second company, perhaps with less information being declared?

b)   A customer regularly changes their vehicle every three years and you shoe horn the customer into a five-year finance deal. There are many more scenarios and the underlying philosophy in the future of credit lending is to make the lender and brokers more responsible in not over stretching the customer.

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Related Legal Updates

Work out if the correspondence received is credible…

Some of our members had received an identical email from a legal solutions firm about the possibility of losing their Financial Conduct Authority (FCA) licence.

Raising standards in all areas

The FCA is concerned that current financial services do not always work well for consumers and, in some instances, harm has been caused.

Mis-selling finance claims – Ignore at your peril!

Data subject access requests and various letters quoting CONC and the Consumer Credit Act are being received requesting lots of documentation to be provided.

Cost of living increase

With the increase in cost for just about everything, we anticipate that consumers will be feeling the squeeze and therefore, will either seek to reject vehicles or request for repairs to be undertaken.

Ambush! – Application to revisit determined arguments and introduce new claims refused

The judge merely allowed for fixed costs in accordance with the Small Claims Track cost regime

Opportunistic and misconceived claim for psychological harm struck out at a preliminary hearing

Consumer seeking to throw everything and the kitchen sink at our member in the vain hope that something might just stick

Why did you replace that? That must prove it was faulty!

The customer rejected the vehicle under the Consumer Rights Act 2015 (CRA) on the basis that it was within 30 days of purchase and the vehicle was not of satisfactory quality or fit for purpose.

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