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FCA Changes 

All you need to know about the upcoming regulation changes.

Close Brothers Motor Finance is dedicated to supporting you with any obligations that come with holding your FCA authorised status, enabling you to offer motor finance products to your customers. 

Your obligations can change over time, and we’re committed to keeping you up to date and working together when changes occur across our industry.

What’s changing?

In October 2019, the FCA published a consultation paper ‘Motor finance discretionary commission models and consumer credit commission disclosure’, which set out ways to keep our industry fair and safe and improve outcomes for our mutual customers. The FCA have since confirmed their new regulations by issuing a Policy Statement in July 2020, which introduces changes for credit brokers like you in relation to commission disclosure, and changes to the pricing and commission structures we can offer you and your customers.

The FCA rule changes take effect from 28 January 2021.

This hub will provide you with information around how Close Brothers Motor Finance is adapting to the changes, along with useful resources so you can learn more about the FCA Policy Statement and what it means for you. 

FCA Changes - An Introduction

If you've only got 90 seconds, watch our video to find out about the changes, what they mean for you and your customers, and how we'll shine a light on everything you need to know over the coming months.


The FCA’s new policy statement released on 28 July applies directly to both lenders like us and motor dealers / brokers like you, and we all need to act. We need to make changes to fully comply with the new regulations and ensure we’re doing the right thing, not only for your business, but for our mutual customers. 

No, this is an industry wide regulatory change and all finance providers and credit brokers will need to ensure they’re complying with the FCA’s new regulation. Other finance providers may have adopted the new regulation differently to us, so you need to make sure you understand different models being introduced by different lenders. 

Discretionary commission models are to be banned, changes need to be made to how and when the presence and nature of commission is disclosed to customers, and the industry has until 28 January 2021 to comply with the new regulation.

We’re making changes to our pricing model, and the interest rate we offer customers. Our rates will more closely reflect a customer’s individual circumstances, linking their credit history to the cost of borrowing and removing the link between customer interest rate and the commission you earn. We’ll also become more open and transparent about commission - making changes to our documentation to explain we pay commission for every sale. 

The policy statement outlining the changes can be found here. 

Remember, your Close Brothers Motor Finance Account Manager is on hand to answer any more questions you might have. Alternatively, fill in our short contact form below and someone will be in touch.

If you’ve placed business with us in the last three months, your Account Manager will be in contact towards the end of October to arrange a face-to-face visit to discuss the changes. If it’s been four months or longer since you placed business with us, complete our ‘contact us form’ on this page and your Account Manager will be in contact to arrange a visit. 

To speak to your Account Manager, either call them directly, or simply complete the form on this page and they’ll contact you to discuss things and arrange a visit. 

We’ve created bespoke packages for each of our partners to minimise any impact on commission you earn. If you’ve placed business with us in the last three months, your Account Manager will be in contact to arrange a visit and explain everything to you. If it’s been four months or longer since you placed business with us, request a visit from your Account Manager and they’ll be able to explain everything to you. 

Want to speak to someone?

If you have any questions about the changes and what it means for you, your business and your customers, contact us using the form below and we will be in touch shortly.

We will only use these details to contact you/your dealership about your enquiry. For more information on how we use your data, click here.