Santander Consumer Finance is a major player in the UK’s motor finance market, offering loans for cars, vans, and motorbikes. The Financial Conduct Authority (FCA), under investigation reference 316158, has scrutinised Santander Consumer Finance along with other lenders regarding discretionary commission arrangements that may have led to unfair lending practices.
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 Santander Consumer Finance?
Santander Consumer Finance is a subsidiary of Santander UK, a major banking group in the United Kingdom. Formerly known as GE Money Motor Finance, the company provides financing solutions for individuals and businesses looking to purchase vehicles. The range of products includes personal loans,
hire purchase agreements, and refinancing options.
What Happened: The FCA Investigation
In April 2014, the Financial Conduct Authority (FCA) launched an investigation into discretionary commission arrangements used by motor finance lenders in the UK. These arrangements allowed dealers to receive additional commissions from lenders when they referred customers to specific products. The FCA found that these practices could have resulted in unfair sales and poor value for consumers.
The investigation uncovered that some lenders, including Santander Consumer Finance, may have mis-sold motor finance agreements during a significant period starting on 6 April 2007 through 1 November 2024. This investigation led to the identification of millions of potentially affected customers who were sold products under unfair terms.
How Many People Are Affected?
According to the FCA, 12.1 million eligible agreements (FCA, March 2026) have been identified as potentially mis-sold between 6 April 2007 and 1 November 2024. The total estimated redress for these affected customers is around £7.5 billion (FCA estimate), with an FCA-estimated average of £829 per eligible agreement.
How to Complain to Santander Consumer Finance Directly
If you believe that your motor finance agreement was mis-sold by Santander Consumer Finance, you can file a complaint directly with the lender without incurring any costs. To do so, visit their complaints page at https://www.santanderconsumer.co.uk/complaints or contact them via phone at 0800 085 1282 during normal business hours.
Alternatively, you may send your complaint by post to Santander Consumer Finance, Redhill Chambers, High Street, Redhill RH1 1RJ. "You can complain to Santander Consumer Finance directly for free at https://www.santanderconsumer.co.uk/complaints - you do not need a claims management company."
What to Do Next
If you suspect your motor finance agreement was mis-sold, the first step should be to gather relevant documents such as your loan agreement, payment receipts, and any correspondence with the lender. Review your agreement dates to determine if they fall within the FCA’s specified timeframe (6 April 2007 to 1 November 2024).
Once you have all necessary documentation, proceed to file a complaint directly with Santander Consumer Finance through their official channels. Providing detailed information about the issues you encountered will strengthen your case.
Timeline
After submitting your complaint, Santander Consumer Finance is required by law to respond within eight weeks (approximately 56 days). If you do not receive a satisfactory response from the lender during this period, you have the right to escalate your case to the
Financial Ombudsman Service (
FOS).
The FOS can be contacted after the initial complaint process has been exhausted and Santander Consumer Finance fails to resolve your issue. The service is free of charge and provides an independent review of your complaint.
In summary, if you believe that you were affected by unfair motor finance practices involving discretionary commission arrangements at Santander Consumer Finance, taking direct action through their official complaints procedure is the best course of action. Remember, you do not need a claims management company to handle your case; you can resolve this matter independently and receive fair compensation for any mis-selling issues identified during the investigation period.
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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.