Skip to the page Primary Navigation Skip to the page content Skip to page Footer
About the OFT
Feedback
Tell us what you want from this website »

Alternative dispute resolution scheme

Information about Consumer Credit Act 2006 and alternative dispute resolution scheme.

The Financial Ombudsman Service (FOS) can now deal with complaints about most consumer credit activities. If you have a complaint about the conduct of a lender, a broker (for example a car dealer who sold a car on credit), a debt collector, or another trader licensed under the Consumer Credit Act, you can take your case to the ombudsman service, which provides independent dispute resolution.

Cases handled by the ombudsman service are decided on the basis of what is fair and reasonable in the circumstances of each particular case. This includes taking into account the relevant law, codes of practice, and regulatory rules and guidance.

The types of complaints that the ombudsman service can deal with include whether the trader acted responsibly in providing or arranging credit, how the loan was administered by the business, and how the business dealt with a consumer in financial difficulty.

The ombudsman can deal with a complaint only if:

  • the event giving rise to the complaint occurred on or after 6 April 2007, and
  • at the time of the event complained about, the trader was licensed under the Consumer Credit Act.

The ombudsman cannot act formally on any complaint unless:

  • the business involved has had the chance to deal with the complaint and has issued a final response, or
  • more than eight weeks have passed since the complaint was received by the business. 

But consumers can contact the ombudsman service at any time if they are having difficulty contacting the business concerned or they are unsure about any stage of the process.

For more information, see the Financial Ombudsman website. 

There is no charge for taking a consumer credit complaint to the FOS. The FOS can award up to £100,000.

We will collect the industry levy to support the operation of the FOS at the same time we collect the consumer credit licence fee. The FOS will also charge businesses a case fee in most instances where it considers a complaint.


In this section


Back to: Changes introduced by CCA06

Recently viewed pages

This feature requires Javascript and Cookies to be enabled on your browser

Email alerts

Register for email alerts or amend your existing account details here.