Financial Services analysis: The High Court has ruled that a decision of the Financial Ombudsman Service (‘FOS’) relating to motor dealing and the motor finance industry issued in January 2024 was lawful. The Financial Conduct Authority (‘FCA’) which regulates motor finance was an interested party to the proceedings. A consumer, Ms Lewis, originally complained to the FOS having entered into a conditional sale agreement with Clydesdale Financial Services Ltd (‘Clydesdale’, trading as Barclays Partner Finance) which bought the car from Arnold Clark Automobiles Ltd (‘Arnold Clark’). Her complaint was upheld by the FOS in January 2024. The particular focus of the FOS decision was on the commission arrangements between Arnold Clark and Clydesdale, which affected the interest rate payable by Ms Lewis under the conditional sale agreement. At issue were both the commission arrangements themselves and what was disclosed to Ms Lewis about them. The Ombudsman made a monetary award in Ms Lewis’...
To continue reading this news article, as well as thousands of others like it, sign in with ÀÏ˾»úÎçÒ¹¸£Àû or register for a free trial
EXISTING USER? SIGN IN CONTINUE READING GET A QUOTE
To read the full news article, register for a free Lexis+ trial
**Trials are provided to all ÀÏ˾»úÎçÒ¹¸£Àû content, excluding Practice Compliance, Practice Management and Risk and Compliance, subscription packages are tailored to your specific needs. To discuss trialling these ÀÏ˾»úÎçÒ¹¸£Àû services please email customer service via our online form. Free trials are only available to individuals based in the UK, Ireland and selected UK overseas territories and Caribbean countries. We may terminate this trial at any time or decide not to give a trial, for any reason. Trial includes one question to LexisAsk during the length of the trial.
* denotes a required field
Second charge mortgage regimeAuthorisation requirements for second charge mortgage businessAny business carrying out a regulated activity must be authorised under the Financial Services and Markets Act 2000 (FSMA 2000), unless they benefit from an exemption or an exclusion. This includes lenders,
FCA authorisation of consumer credit firmsBackground to the FCA consumer credit authorisation regimeSince 1 April 2014, the UK Financial Conduct Authority (FCA) has been responsible for regulating consumer credit firms in the UK. The FCA assumed responsibility for the regulation of consumer credit
What happens if a default notice is not served on a borrower?What is a default notice?A default notice is a notice that must be served on a borrower under a regulated agreement, where that borrower is in breach of the agreement (for example by missing repayments), before the lender is entitled to
Debt sale and purchase agreementsThe debt sale and purchase market is an important way for lenders and debt sellers to reduce balance sheet liability. It is often used as a way to obtain value for under-performing accounts, but sales take place in relation to all types of debt: regulated mortgages,
0330 161 1234