While mis-selling complaints are still being accepted and logged, the processing for Personal Contract Purchase (PCP) mis-selling complaints are on halt or temporarily paused until a new Financial Conduct Authority (FCA) guidance is released. This ruling will determine a better way to handle these mis-selling claims. 

But the question is still, when will car finance claims be paid?  If you lodged in early 2025, you may want to be more patient, as the initial 8-week window for lenders to respond has been paused, and it may take until August or early September of this year for the claims processing to resume. 

However, this does not mean complaints will be rejected once submitted. Instead, they will stay in the queue of PCP claims, which will be sorted out after the July 2025 ruling. Say you submitted in May 2025, then your case will already be in line, in time for the new FCA guidance. 

Introduction

The sharp increase in PCP mis-selling complaints in 2025 is proof that efforts to expose these unfair arrangements have been working. Many drivers have recently discovered they were misled into structures and loan terms that weren’t favourable for them in the first place. And while this is ideal, with more people being able to make their claims and reclaim what they were owed, the number of claims being assessed has prompted a legal situation, leaving many parties in limbo. It remains uncertain how these complaints will be processed and acted upon, creating more frustration especially for the affected consumers. 

And while we’re onto how this number of claims has been delaying the outcomes for each case, the delay is brought about by the legal decision is expected to have a significant impact on how PCP complaints are being evaluated. Until a judgment is handed down, everything remains on pause.

Why Complaint Timelines Are Delayed in 2025

The FCA decided to suspend the requirement it had previously set upon firms in terms of responding to complaints and refunds on car finance, whether it be about discretionary commission arrangements. This decision is to ensure that uniform outcomes will be made, and so is the need to await the result of the major Supreme Court case. With a judgment expected in July 2025, all current processing times will be extended. However, once the 2025 ruling has been established, lenders and brokers will have to face more challenging legal responsibilities, as they are pressured to refund and give out due compensation in a much more straightforward manner. 

What This Means for You Right Now

You should always take into consideration that this pause isn’t a rejection or refusal of your claim. This temporary suspension, in fact, is to ensure that the regulatory landscape on your case is being clarified, and a better management of your claims is studied. You can still file your complaint and have it recorded, and once the FCA has provided its updated rules, then you can expect your case to move. You can also still escalate to the Ombudsman if you’ve submitted and your lender sent a rejection. Also, there’s no need to reapply simply because it’s taking long to process. Your place in the queue remains secure. And in case you haven’t submitted your complaint yet, then it's recommended to do so now, to avoid being put at the back of the line when the processing of complaints resumes.

When Could Payments or Decisions Resume?

Based on the current timelines we have for now, here’s what to expect on the movement of your mis-selling complaint. 

• July 2025: Supreme Court decision expected
• August–September 2025: FCA will issue an updated complaint-handling procedure
• Late summer to autumn 2025: Complaint processing and payouts may begin

There’s no guarantee yet on the exact timing, as it will all depend on the complexity of the SC ruling and the FCA’s guidance too, but reasonable progress is expected by late 2025. 

What You Should Do in the Meantime

Even if there’s a temporary pause, there are still actions you can take such as submitting your complaint if you still haven’t and gathering the important documents needed to process your claim. If you need an expert, you can tap Reclaim247 to help you from submission to monitoring, and until decisions start rolling in. 

Conclusion

PCP mis-selling complaints are not shut down, rather, it’s simply on pause. It may feel frustrating to wait, but there is still a clear timeline in sight. In fact, the major legal ruling can further ease the timeline for affected consumers. In the meantime, acting now by submitting your claim ensures you avoid further delays once complaint handling resumes. Submit your PCP claim as quickly as possible to ensure it gets in front of the queue for when the processing returns.