The Financial Conduct Authority (FCA) has banned a series of misleading adverts from claims management company Conclusive Financial Ltd, which trades as PCP Refunds over concerns it misrepresented motor finance compensation and used unauthorised endorsements.
The regulator said the adverts featured edited and clips of consumer champion Martin Lewis and used the FCA logo without permission, creating the impression of official backing.
Conclusive was required to remove the adverts and update or take down its website until it complied with FCA rules. The firm has since removed the banned material.
Misleading finance adverts banned
The FCA also raised concerns about its claims that buyers would receive £1,846 on average in compensation for motor finance complaints, noting there was no explanation of how the figure had been calculated.
As well as, the firm promoted a ‘no win, no fee’ service without clearly setting out the fees customers could face including potential exit charges.
The regulator said the corporate also didn’t inform consumers that they may pursue complaints themselves at no cost through their lender or via the Financial Ombudsman Service, without using a claims management company.
Alison Walters, director of consumer finance on the FCA, said: “Consumers needs to be wary of adverts that overpromise or give the impression they’re endorsed by the FCA or well-known individuals. We are going to take swift motion where rules are being broken. Our scheme is free and other people don’t need to use a CMC or law firm. In the event that they do, it’s vital that they’ll trust them.”
Regulators tighten oversight
The FCA said the motion forms a part of wider efforts to enhance standards across the sector, including a joint taskforce with the Solicitors Regulation Authority, Promoting Standards Authority and Information Commissioner’s Office. Since January 2024, 899 misleading adverts have been either removed or amended following FCA intervention.
The FCA said consumers who imagine they’ve been misled by Conclusive’s promoting to complain on to the firm. In the event that they are unhappy with the final result, they’ll escalate the criticism to the Financial Ombudsman Service.
Consumers who signed up with a law firm because of this of the adverts should complain to the firm in the primary instance and, if obligatory, refer the case to the Legal Ombudsman.
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This Article First Appeared At www.am-online.com
