Introduction – What’s it all about?
Supreme Court decision in Johnson – very high and high undisclosed commission and failure to disclose ties and rights of refusal
FOS and Administrative Court decision in Clydesdale – undisclosed discretionary commission agreements and the 2021 ban
Sections 140A and 140B of the Consumer Credit Act
CONC 4.5.3R and 3.7.3R – the disclosure requirements
CP 25/27
The Population
Wider definition of consumer
Which firms
Which transactions come within auto-finance
Exclusions
Mailings
– opt-out letter to existing complainants
– opt-in letter invitation
– correspondence and standard formats
Time-limits for responses
Compliance assessment
Presumption of unfairness
Ways of proving adequate disclosure – what that means
Regulator’s expectations
Levels of high commission
Time-bars or lack of them
Redress approaches
Johnson remedy – refunds with interest – for higher high undisclosed commission
APR adjustment and the blended solution
Compensatory interest rates and how to calculate them
Interest for late payment
Processes
Provisional and final determinations
Meeting redress requirements
The role of the Financial Ombudsman Service
Reporting and record-keeping
Senior Management Function holders’ responsibilities and attestations