Drivers affected by the car finance mis-selling issue may soon receive compensation offers from lenders, as the Financial Conduct Authority (FCA) supports early settlements. Barclays has already announced its intention to provide these offers, while other lenders are anticipated to follow. However, most claimants will still need to wait for a court ruling on the FCA's proposed compensation scheme, set for February.
Compensation is expected for millions of drivers who took out car loans between April 2007 and November 2024, with average payouts estimated at £829. The mis-selling primarily involved undisclosed commissions paid to dealers based on interest rates, affecting around 12 million loans.