Martin Lewis addresses missold car finance concern as he issues latest advice to those affected

Martin Lewis has issued his latest advice for motorists who may have been missold car finance.

Customers who purchased a vehicle on PCP or Hire Purchase before January 28, 2021, could be owed thousands of pounds after the Financial Conduct Authority (FCA) launched an investigation into hidden car finance arrangements. In 2021, the watchdog banned commission arrangements following a wave of complaints being unfairly rejected.

The money-saving expert previously said that he believed the FCA would not investigate unless it was confident it would find substantial numbers of wrongdoing. It is also believed that in cases where wrongdoing is found, there would be a high amount of compensatory payouts for customers affected.

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In light of this, many customers have already begun sending in their complaints to the finance firms early to ensure they will be eligible for the payout in the case it is found they're affected. However, some complainants told Martin on his weekly podcast that their complaints are not being acknowledged by firms.

Martin advised: "For them (finance firms) this came out of nowhere. I need to be honest, this is me launching it on my telly show and doing it on my website and everything and 900,000 is off the charts, it's bigger than the final days of PPI...the biggest one out there is Lloyds through Black Horse which has already provisioned £450 million to pay out.

"And just to note the way provisioning normally works is it means the lawyers have advised on a balance of probability they will have to pay this out