Using claims management companies

The FCA is the regulator for claims management companies (CMCs) in England, Wales and Scotland, including those handling personal injury and financial services claims. The Financial Ombudsman Service has taken over complaints about CMCs.

Regulated claims management companies are commercial businesses or individuals that handle certain types of claim. The types of claim relate to:

  • financial services and products, eg PPI, payday loans, claims under Section 75 of the Consumer Credit Act
  • personal injury
  • criminal injury
  • industrial injury
  • certain cases of housing disrepair, eg claims against landlords
  • specified benefits
  • employment matters, eg unfair dismissal claims

FCA regulation of CMCs

On 1 April 2019, the FCA took over the regulation of claims management companies (CMCs) from the Claims Management Regulator. Not all CMCs transferred to FCA regulation – some CMCs chose to stop managing claims instead. If a CMC is currently handling a claim for you, but opted not to be regulated by the FCA, they may have contacted you to explain how to continue your claim. If they didn’t, read on to find out how to claim compensation yourself or find a CMC. You can also contact us for further help.

Claim compensation yourself

It's free to claim compensation from financial companies if you have been mis-sold PPI – see our how to complain about PPI page for more information.

If you choose to pay a claims company to complain on your behalf, our using a claims company to complain about PPI page explains what this means and what it will cost you.

If you think you have a claim against a financial firm that’s failed, you may be able to claim compensation through the Financial Services Compensation Scheme (FSCS).

If you were the victim of a violent crime you may be able to claim compensation from the Criminal Injuries Compensation Authority.

Free help with claims

Consumer organisations may also be able to help you with making a free claim, eg the Money Advice Service or the Citizens Advice consumer service.

Find a claims management company

You should check our Register to ensure a CMC is authorised and approved by us.

If you use a CMC that is not approved by us, you will not have access to the Financial Ombudsman Service (FOS) or Financial Services Compensation Scheme (FSCS) if things go wrong. 

Unauthorised firms are also sometimes involved in scams. Find out how to protect yourself from PPI refund scams and more about avoiding unauthorised firms.

What to expect from a claims management company

CMCs that are authorised by us must follow our rules. This means they must:

  • provide you with a 1-page summary of all the key information, before you sign a contract
  • supply a detailed breakdown of how they will charge you, including examples. This may be called a 'cost illustration'
  • offer a 14-day cooling off period when you can cancel your contract without being charged
  • update you as to key developments with your claim, for example, if the lender has requested more documents
  • tell you clearly about ombudsman schemes or any other official ways you can claim
  • clearly explain how to complain if you’re unhappy with the service they provide

They must not:

  • send you emails or texts (unless you’ve agreed to receive them)
  • make marketing calls to you unless you have specifically told them that you want to receive them 
  • approach you in person
  • use any form of high-pressure selling such as asking for on-the-spot decisions
  • charge you more than 20% plus VAT of your claim, if you are making a PPI claim

Complain about a claims management company

See our information on how to complain. The Financial Ombudsman Service (FOS) manages complaints for financial services, including claims management.