First Response Finance is a UK-based lender that specializes in near-prime and sub-prime financing for cars and vans. Established under the parent company First Response Finance Ltd, this lender has been operating since 2015 and offers financial solutions to individuals who may not qualify for traditional bank loans due to their credit history.
Latest: The FCA has confirmed the car finance compensation scheme on 30 March 2026. 12.1 million agreements are eligible, with an FCA-estimated scheme average of £829 per eligible agreement. Read the full details.
Who is First Response Finance?
First Response Finance is a subsidiary of First Response Finance Ltd, which operates in the UK market providing near-prime and sub-prime finance solutions. The company focuses on financing vehicles such as cars and vans for customers who might have been declined by more conventional lenders because of their credit profiles. First Response Finance aims to offer flexible financial products tailored to the needs of individuals with varying credit histories.
What Happened: FCA Investigation
The Financial Conduct Authority (FCA) conducted an investigation into
discretionary commission arrangements in the motor finance industry, which included First Response Finance. The investigation found that some lenders had been offering incentives to dealers and brokers based on the volume of loans originated rather than the quality or suitability of those loans. This practice could have led to customers being mis-sold motor finance agreements.
The FCA concluded that this arrangement was not in line with its rules governing fair treatment of consumers, particularly regarding the principle of treating customers fairly (TCF). The investigation highlighted instances where these arrangements may have resulted in customers entering into unsuitable or overly expensive finance deals. As a result, First Response Finance, like other lenders involved, is now required to offer redress to affected individuals.
How Many People Are Affected?
According to the FCA’s findings, 12.1 million eligible agreements (FCA, March 2026) potentially mis-sold between April 6, 2007, and November 1, 2024. The total estimated compensation for these cases is £7.5 billion (FCA estimate), with an average payment of around £829 per customer (FCA estimate). This investigation underscores the need for transparency and fairness in financial services, especially when it comes to motor finance products.
How to Complain to First Response Finance Directly
If you believe that you have been affected by the FCA's findings regarding discretionary commission arrangements with First Response Finance, you can lodge a complaint directly with the company. To do so, visit their dedicated complaints page at https://www.firstresponsefinance.co.uk/complaints or contact them via phone at 0115 946 6260, email at complaints@firstresponsefinance.co.uk, or post your concerns to First Response Finance, Manton House, Manton Lane, Bedford MK41 7PA. You can complain to First Response Finance directly for free - you do not need a
claims management company.
What to Do Next
To initiate the complaint process effectively, gather all relevant documentation related to your motor finance agreement with First Response Finance. This includes any letters or emails from the lender, payment records, and details of the loan terms and conditions. Check if your agreement falls within the period covered by the FCA investigation (April 6, 2007, to November 1, 2024). Once you have all necessary information, submit a detailed complaint outlining your concerns and evidence.
Timeline
When lodging a complaint with First Response Finance, they are required by the FCA to respond within eight weeks. If you do not receive a satisfactory response from First Response Finance during this period or if you believe their decision was unfair, you can escalate your complaint to the
Financial Ombudsman Service (
FOS). The FOS will review your case and provide an impartial ruling.
In summary, if you suspect that you have been affected by the motor finance mis-selling issues highlighted in the FCA investigation, taking direct action through First Response Finance is a straightforward way to seek redress. Ensure you understand your rights and gather all necessary documentation before submitting your complaint.
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MLJ.org.uk (mlj.org.uk) is a free, independent information service. We are not a claims management company, solicitor, law firm, or financial adviser. We do not handle complaints, process claims, charge fees, or accept any percentage of compensation. This information does not constitute legal or financial advice. You can complain to your lender directly for free. You do not need a claims management company. If your lender rejects your complaint, you can escalate to the Financial Ombudsman Service at no cost. For personalised legal or financial advice, consult a qualified professional.