Car finance redress sits on the table.
The FCA controls who gets access to the pot, and Rathi is using that control as a lever.
The car finance redress saga has drawn aggressive attention from claims management companies and law firms. The FCA’s scheme is the regulator’s preferred resolution channel. The choice between the scheme and the courtroom has become the defining question for every firm in the space.
For claims management companies, the math turns uncomfortable. Their revenue depends on representing consumers through whatever process pays out. The FCA knows this.
Marcus Webb