Updated: 15 April 2026

Originally Published: 26 March 2025

If you have car finance from CA Auto Finance, you are not alone in asking what happens next.

You will have found it hard to ignore the headlines in the car finance scandal. We have mentioned the mis-sold car finance, PCP claims and billions of compensation. The part that is not so clear, is how this relates to your particular agreement.

The question now is more practical.

Can you make a CA Auto Finance claim, and what does that actually involve?

The answer depends on how your agreement was structured and how it was explained at the time. The key difference in 2026 is that you no longer need to guess. The Financial Conduct Authority has now introduced a formal redress scheme [1] that sets out exactly how car finance claims should be handled.

This includes agreements arranged through CA Auto Finance UK Ltd. It also includes both PCP claims and hire purchase agreements arranged through dealerships.

The guide will walk you through the whole image. It shows you how CA Auto Finance complaints are evaluated, what constitutes auto finance mis-selling, how to calculate compensation and how to proceed with a car finance refund check.

Is CA Auto Finance part of the FCA car finance redress scheme?

Yes. CA Auto Finance UK agreements are included within the scope of the FCA car finance scheme where they meet the eligibility criteria.

This means that if your vehicle was financed through CA Finance, and the agreement falls within the relevant time period, it may now be reviewed under the FCA’s standardised process.

This typically includes:

• CA Auto car finance arranged through dealerships
• PCP claims where CA Auto Finance provided the funding
• Hire purchase agreements linked to CA Auto Finance UK Ltd

Most eligible agreements will fall within the period between April 2007 and November 2024. The scheme is focused on personal agreements rather than business use, and in most cases the finance must have been arranged through a broker or dealership rather than directly.

One of the most important points to understand is that your agreement does not need to be active. Even if you have already paid off your finance or sold the vehicle, you may still be eligible to make a CA Auto Finance claim.

Why CA Auto Finance agreements are being investigated

To understand why these claims exist, it is important to step back and look at how car finance was commonly sold.

For many years, the process followed a familiar pattern. You'd go to a dealership, pick a car, and they'd offer you a finance agreement to pay for it over time. A lot of emphasis was on what you could afford and the monthly payment, less so on how the finance was set up.

Behind the scenes, however, the system was more complex.

Dealers often received commission from lenders such as CA Auto Finance. That commission was not always fixed. In some instances, it may have depended on the terms of the contract (rate).

This resulted in a situation where:

• The dealer could control the rate offered to you
• Their profit could be higher with a higher rate
• You may not have been made aware of this in an upfront manner

To the customer, this was often not transparent. You may have thought that the rate offered was simply the best one available. The truth may have been there was wiggle room that was not disclosed.

The FCA later reviewed these practices and concluded that many customers were not given enough information to understand how their agreements were priced. This lack of transparency is now at the centre of the car finance scandal and car finance mis-selling issues.

The scale of the car finance scandal

One of the most important aspects of the FCA findings is the scale.

This is not a few claims thrown together under a small number of agreements. It is an industry wide issue which has led to the creation of one of the largest compensatory schemes in UK financial history.

The FCA estimates that:

• Approximately 12.1 million agreements are eligible for review
• The total compensation pot will be in the region of £7.5 billion
• The total cost to lenders including administration will be in the region of £9.1 billion [2]

These estimates are based on a system that ran for many years across a number of lenders and millions of customers.

For you, this is important as it means that claims will not be dealt with in isolation. They are part of a structured, industrial scale process, designed to rectify systematic failings.

What counts as mis-sold car finance?

The term mis-sold car finance can feel broad and unclear. The FCA has addressed this by defining specific types of behaviour that may lead to compensation [3].

Rather than leaving it open to interpretation, the regulator has identified three main categories.

Discretionary commission arrangements

This is the most common issue and one of the main reasons behind PCP claims.

In CA Auto Finance discretionary commission arrangements, the dealer had the ability to adjust the interest rate within a permitted range. Increasing the rate increased their commission.

The key issue is not that commission existed. It is that many customers were not told:

• That the dealer could influence the rate
• That a lower rate may have been available
• That their payments were linked to the dealer’s earnings

Without this information, it is difficult for a customer to make an informed decision.

High commission structures

In some cases, commission levels were unusually high.

The FCA has set specific thresholds to define this. If commission reached at least 39 percent of the total cost of credit and 10 percent of the loan amount, it may be considered excessive.

These cases tend to have larger settlements because there's more money at stake.

Contractual relationships between dealers and lenders

Some dealerships had close relationships with specific lenders.

If you were directed toward CA Auto Finance without being told that other lenders were available, this may have influenced your decision.

Again, the issue is not the relationship itself. It is whether you were given enough information to understand your options.

A closer look at how mis-selling affects real agreements

To make this more tangible, it helps to consider how these issues play out in practice.

Imagine you took out CA Auto car finance for £20,000 over four years. You were quoted an interest rate of 7 percent, and you accepted it, believing it to be a reasonable rate. The dealer may actually have been able to offer you 5 percent but didn't because the higher rate yielded a higher commission to the dealer. If so, you may have agreed to pay much more than you should have.

Over time, that difference could amount to hundreds or even thousands of pounds.

This is the type of situation the FCA scheme is designed to address.

Who is eligible for a CA Auto Finance claim?

Eligibility is not as complex as many people expect.

You do not need to identify a specific type of mis-selling or prove that you were treated unfairly. Instead, the process is designed so that lenders assess this based on your agreement.

You may be eligible if:

• You do not remember commission being explained clearly
• Your interest rate seemed higher than expected
• You were not given a meaningful choice of lenders
• The agreement felt unclear or rushed

These are not strict criteria. They are indicators that your agreement may fall within the scope of the FCA scheme.

Examples of when a claim is less likely

Most agreements qualify, but some circumstances are less likely to result in compensation.

These include:

• Agreements with very low commission
• Interest-free finance
• Cases where the lender can prove no financial loss
• Claims that have already been settled in court

These are not a definitive test for a claim, but could be a factor.

How to start a CA Auto Finance claim

It’s often that the largest stumbling block for people is not knowing where to start.

It’s actually easier than you think, especially with the FCA now providing a defined framework.

Step one. Carry out a car finance refund check

A car finance refund check is the most practical starting point.

It allows you to quickly understand whether your agreement may qualify and whether it is worth pursuing a claim.

You do not need detailed documents. Basic information such as the type of agreement, the approximate date, and the lender is usually enough.

The majority of customers prefer to complete this check online with the help of a finance claims expert. This gives a fast indication of eligibility without having to fill in a full application.

Step two. Make your CA Auto Finance claim

When you've made the decision to go ahead the next step is to submit your claim.

This can be done directly with the lender or through a finance claims specialist.

At this stage, the lender will begin reviewing your agreement under FCA guidelines.

Step three. Review the outcome

After the review, you will receive a formal response.

This will explain:

• Whether your agreement qualifies
• Whether compensation is due
• How the amount has been calculated

You are not expected to calculate this yourself. The lender applies a standardised formula.

What if you do not have your documents?

This is a common concern, but it is rarely a barrier.

Lenders are required to keep records of agreements and can usually provide:

• Copies of your contract
• Payment history
• Interest rate details

In most cases, basic identifying information is enough to begin.

Understanding the FCA scheme structure

To manage the volume of claims, the FCA has divided the scheme into two groups.

Scheme 1

This covers agreements taken out between April 2007 and March 2014.

The implementation period runs until the end of August 2026. If you submit your claim before this point, you can expect a decision within three months and payment shortly after.

Average payouts are estimated at around £734 per agreement.

Scheme 2

Agreements in place from April 2014 to November 2024.

The roll-out period is June 2026. The decisions are due September 2026, with payment usually within one month of a decision.

Average payments are higher, at £881 per agreement.

How much can you get back?

The amount you receive back will depend on the specific facts of your case.

The average award is around £829, although the amount varies depending on the type of mis-selling [4].

For instance:

• £810 on average for discretionary commission cases
• £807 on average for contractual tie cases
• Over £1,200 on average for high commission cases

Bear in mind that compensation isn’t a refund of all the money you’ve paid.

It is calculated based on what you paid and how much you would have paid in all likelihood, if the agreement was not unfair.

Interest is then added on.

How long do CA Auto Finance claims take?

Timing depends largely on when you submit your claim.

By moving before the FCA deadlines: You can expect a decision in late 2026 and payment shortly after.

If you don't act and let the lender come to you: You will likely be contacted, but the process will take longer, with potential payouts 2026 possibly spilling into 2027 or later.

Do you need a finance claims expert?

You are not required to use a third party.

You can make a claim yourself free of charge. You can also escalate to the Financial Ombudsman Service if necessary.

Some people use a finance claims expert to make things easier. They can help you with:

• Making a car finance refund claim
• Handling communication
• Saving time and effort

This does not impact your eligibility or potential compensation amount.

Frequently Asked Questions

Do I still qualify to make a CA Auto Finance claim if my agreement has ended?

Yes. CA Auto Finance claims are based on how the agreement was sold and structured, not on its current status.

That means you may still be able to claim if:

• you have completed the agreement
• you completed it early
• you sold the vehicle
• you no longer own the car

The FCA car finance scheme includes qualifying agreements from 6 April 2007 to 1 November 2024, so many historic agreements will still be in scope.

How do I start a car finance refund check?

A car finance refund check is usually the easiest place to begin.

You can use basic details such as:

• the lender name
• the approximate date of the agreement
• whether it was PCP or hire purchase
• the dealership involved, if you remember it

Many people choose to complete a car finance refund check online using a finance claims expert. This can help you understand whether your agreement is likely to qualify before you decide whether to proceed.

Can I still claim if I do not have my paperwork?

Yes. Not having your original paperwork does not automatically stop you from making a claim.

In many cases, the lender can provide records of:

• the agreement itself
• your payment history
• the interest rate
• other key finance details

Basic information is often enough to begin. This is one reason why many people still explore a CA Auto Finance claim even if the agreement was taken out years ago.

What types of agreement are covered?

The FCA car finance scheme generally covers personal use agreements arranged through a dealership or broker.

This usually includes:

• PCP claims
• hire purchase agreements
• other dealership arranged car finance agreements

If your CA Auto car finance agreement was for personal use and was entered into within the qualifying date range, it may be worth checking.

Can I make a PCP claim against CA Auto Finance?

Yes, potentially.

PCP claims are one of the most common types of car finance claims being handled through the FCA scheme. You may be entitled to claim PCP compensation if commission was paid on your PCP agreement, was not properly disclosed or if the way the deal was structured could have increased the overall cost to you.

A PCP refund is not automatic, but many PCP agreements do fall within the scope of current FCA car finance reviews.

How much compensation could I receive from a CA Auto Finance claim?

Compensation varies depending on the agreement and the type of mis selling involved.

The FCA’s current estimates suggest:

• around £829 per agreement on average
• around £810 for discretionary commission cases
• around £807 for contractual tie cases
• around £1,203 for high commission cases

These figures are averages only. Your own car finance compensation could be lower or higher depending on the financial impact of your agreement.

Will I get a full car finance refund?

Not usually.

The FCA scheme is not designed to refund everything you paid under the agreement. Instead, it aims to put you back into the position you would likely have been in if the agreement had been fair.

In practice, that means compensation is usually based on:

• the difference between what you paid
• and what you would likely have paid without the unfair feature

Interest is then added on top.

How long do CA Auto Finance claims take?

The answer depends on when you submit the claim and which scheme your agreement falls into.

If your agreement is reviewed under the FCA timetable, decisions for more recent agreements are expected first, followed by older agreements.

In general, payouts 2026 are expected to begin from late 2026 for eligible claims submitted in time, with some cases continuing into 2027 and beyond.

What if I do not make a claim now?

You may still be contacted by the lender if your agreement is identified as eligible.

However, waiting can mean:

• a slower outcome
• more reliance on the lender’s records
• less control over timing

That is why some people prefer to complete a car finance refund check now rather than wait to see if the lender contacts them later.

Can I make a CA Auto Finance claim on behalf of a deceased customer?

Yes. The FCA car finance scheme still applies if the customer has died and their estate may be eligible for compensation from the scheme.

If you are an executor or beneficiary, you can make a claim on behalf of the deceased. You should include your own contact details but say that you are making a claim on behalf of someone who has died and include as much information about them as you can (including their name and address and finance details).

The lender may ask for documents (such as a will or grant of probate) to show that you are authorised to receive any compensation.

Final thoughts

The big update for 2026 is clarity.

The amount you receive from your car finance claim used to be a guessing game. Now it’s clear cut. The FCA have laid out exactly how agreements are evaluated and the potential amount you’ll be paid.

If your CA Auto Finance deal included mis-sold car finance, you now have a clear process for review and potential compensation.

The next step is simple.

Complete a car finance refund check.

Know where you stand.

Choose what to do next.

_________

References:

1. The Financial Conduct Authority has now introduced a formal redress scheme - https://www.fca.org.uk/publications/policy-statements/ps26-3-motor-finance-consumer-redress-scheme
2. The total cost to lenders including administration will be in the region of £9.1 billion - https://www.fca.org.uk/publication/policy/ps26-3.pdf
3. The FCA has addressed this by defining specific types of behaviour that may lead to compensation - https://www.fca.org.uk/publication/consultation/cp25-27.pdf
4. The average award is around £829, although the amount varies depending on the type of mis-selling - https://www.bbc.com/news/live/czx94evl5lrt