The Bank of Ireland Group has revised its financial provision for compensating customers affected by motor finance agreements to approximately £350m ($469.6). This revision is in response to the Financial Conduct Authority's (FCA) proposed industry-wide compensation scheme on the UK motor finance commissions. The problem arises from how commissions were paid to motor dealers, which prompted the use of higher interest rates on motor finance agreements. According to data, the commissions were not clearly ...

The UK's Financial Conduct Authority (FCA) has put forward a proposal for a compensation scheme under which payouts related to an anticipated 14 million unfair motor finance agreements may commence next year. This scheme, if approved, is set to disburse an estimated £8.2bn ($11bn) to consumers who were disadvantaged by nondisclosure of critical information in their finance agreements. The reported lack of transparency has prompted FCA to suggest average payouts of about £700 per affected agreement. Rese ...