Another blow for Volkswagen
Volkswagen Financial Services UK will also pay out £21.5 million compensation approximately 110,000 customers who may have suffered harm due to the company’s negligence between January 2017 and July 2023, the FCA said in a statement on Monday.
Volkswagen employees caused additional deterioration of the personal situation of borrowersbecause it “did not take into account what vulnerable people might need,” said Therese Chambers, executive director of enforcement and market supervision at the FCA. “This fine and compensation should send a clear message to lenders that they must adequately support people in financial difficulties“.
A car loan plus empathy and support
Customers who are in arrears with payments car installmentsthey have not received any proposals regarding facilitating debt repaymentand the staff accepted rigid approach to problemsthe FCA investigation confirmed. The company’s customer service agents “have proven themselves lack of empathy and professionalism during telephone calls,” for example by ridiculing their mistakes, the regulator added.
Additional debt collection fees
The company even charged a fee for seizing the debtor’s car in the amount of £252“without giving much thought to how these fees will be paid,” the FCA said. Pstaff did not record complaints consistentlywhich means thatcustomers did not learn about their rights to further assistance.
According to the regulator, most affected customers have already received £17.8 million in compensation.