What happened?
The Financial Conduct Authority (FCA) and the Solicitors Regulation Authority (SRA) have issued a joint message addressing multiple representation in motor finance commission claims. The regulators highlighted instances where up to four representatives were instructed on a single claim.
To support lenders, the FCA has released a Dear CEO letter detailing required administrative and communication steps to resolve these duplicate claims and prevent consumer confusion.
Why does it matter?
Multiple representation delays claims processing, increases costs, and can result in unexpected customer termination fees. As firms prepare for the lifting of the motor finance complaint pause on 31 May 2026 and the finalisation of the Consumer Redress Scheme, managing these duplicates is critical.
Lenders are expected to perform robust due diligence to identify multiple representations and constructively engage with all parties to determine a single, authorized representative.
Supporting sources
Frequently asked questions
What is multiple representation in motor finance claims?
It is when a complainant has instructed multiple claims management companies or law firms to represent them on the same commission claim.
What are lenders expected to do when duplicates are found?
Lenders must contact all representatives and the customer, assist in identifying a sole authorized representative, and then close all duplicate files.
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