Overview
The National Franchised Dealers Association (NFDA) met the Financial Ombudsman Service (FOS) to streamline paperwork in motor finance commission cases, aiming to cut duplication and bring consistency to how car retailers handle information requests.
Key proposals from NFDA
- Standardized template for future data requests to provide clarity and reduce duplication.
- Defined contact routes within dealerships so Ombudsman requests reach the right teams quickly.
Why it matters
- Sets clear expectations and reduces back-and-forth over missing or inconsistent data.
- Enables dealers to prepare core bundles in advance, map required data fields, and train staff accordingly.
- Helps FOS review submissions faster by making them easier to navigate and compare.
- Reduces overlapping requests across customers, lenders, and the Ombudsman, easing operational strain.
Next steps agreed
- NFDA will collect recurring member questions and share them with FOS’s central team ahead of a follow-up meeting.
- Ongoing liaison with the FOS, the Financial Conduct Authority (FCA), and lenders as details are refined; changes likely phased with feedback.
Typical documents FOS requests in these cases
- Sales records
- Finance documentation
- Commission disclosures
- Communications with the customer
Context and ongoing activity
The talks occur amid continued regulatory and complaints activity around historic motor finance commission practices. NFDA has been supporting members through potential redress processes and interpreting evolving guidance. Motor Trader coverage in late 2025 noted NFDA launching a division to help dealers with an FCA redress scheme proposal and the FCA extending its redress consultation to December 12, 2025.
Clearer, consistent documentation standards can speed decisions for consumers, strengthen businesses’ case handling, and improve how adjudicators compare cases. They may also prompt retailers to enhance record-keeping and coordination across sales, finance and insurance, compliance, and customer service functions.
