For automotive finance lenders
£7.5bn in redress. 12.1 million agreements reviewed. What data will defend your next lending decision?
UK motor finance is a £39bn-a-year market now absorbing the largest consumer redress bill since PPI. Much of that bill traces back to lending decisions made on static, backward-looking data — a credit file and a one-off vehicle check, taken once, at the point of sale. CarCloud gives lenders a live, verified feed of vehicle and driver data for the life of every agreement, not just the day it was signed.
How we partnerThe numbers
The market you are lending into.
£7.5bn
expected redress payouts under the FCA’s industry-wide motor finance scheme.
FCA PS26/3, 2026
12.1m
motor finance agreements estimated eligible for review under the scheme.
FCA / Grant Thornton, 2026
46%
average residual value retained by used EVs after two years, down from 85%.
Mordor Intelligence, 2026
~70%
of motor finance originations still happen at dealership point of sale.
Mordor Intelligence, 2026
The problem
Five things a credit file cannot tell you.
Blind after the point of sale
Once an agreement is signed, most lenders lose sight of the vehicle and the customer’s changing circumstances — lapsed insurance, missed MOTs and rising arrears risk go unseen until a payment is missed.
CarCloud gives lenders a live feed of vehicle and driver data for the life of the agreement, not just the day it started.
Duty of care, proved after the fact
Consumer Duty and the redress scheme both test whether a customer was treated fairly, with the information available at the time. Most affordability decisions still rest on static credit data and self-declared income.
CarCloud gives lenders a live, auditable data trail to support fair treatment evidence rather than reconstructing it years later.
Risk signals hiding in plain sight
An untaxed vehicle, a lapsed MOT or a cancelled insurance policy is a real early warning sign of financial distress — and a red flag for anyone extending credit against that vehicle. Today it sits in disconnected systems.
CarCloud brings it together, surfacing risk signals lenders don’t currently have access to.
Double finance, invisible until too late
One vehicle, two finance agreements, no visibility of the first — a growing fraud pattern that relies on lenders having no shared view of a vehicle’s existing finance or insurance status.
CarCloud can surface whether a vehicle is already financed or insured elsewhere, closing a gap that is currently invisible at the point of sale.
Missed sales opportunities
You make a sale, then for the next three years have no contact with your customer, so retaining them stays an expensive exercise.
Getting your customers onto CarCloud brings your brand visibility for retention, plus access to the other vehicles they own for upsell and cross-sell.
What changes
Lenders need a way to prove they got it right.
Lending today, and lending with CarCloud.
Lending today
Risk assessed once, at origination
No real-time valuation or risk data
Duty of care evidenced after a complaint
Double finance and cover invisible
Affordability on static, self-declared data
New customers sourced only through dealers
One vehicle at a time
Lending with CarCloud
Risk monitored for the life of the agreement
Current valuations and true equity positions
Digital audit trail to evidence fair treatment
Existing finance and cover surfaced early
Affordability on live, verified data
Data on other vehicles in the same garage
Renewal, cross-sell, upsell and new growth made visible
How it works
Better data and a ready-made audience deliver a larger loan book and a fulfilled duty of care.
CarCloud is a digital data platform for the whole lifecycle of vehicle ownership — giving individuals and fleets a single, live view of tax, MOT, insurance, finance and equity position based on current market values, plus driver and payments data, all in one place. That visibility leads to cheaper, simpler, more compliant ownership — and means CarCloud’s audience is already thinking about their vehicle and its costs: a large, engaged pool of drivers and businesses actively managing finance and insurance decisions. For lenders, that is not just better data. It is a ready-made audience for new customer growth, and a platform that fulfils a duty of care to current customers while improving retention and surfacing upsell and cross-sell opportunities.
A typical case study
A lender, with an audience of over a million customers, wanted to grow its motor loan book. By putting current customers onto CarCloud, it can see their existing finance, offer refinance and new products, and upsell and cross-sell other products that benefit their customer base, all managed under GDPR.
If you are a lender and want to grow your motor book, get in touch.
Lending decisions. Evidenced, not just made.
A live, verified vehicle and driver data feed, running for the life of every agreement. Speak to our team, or email partners@carcloudsolutions.com.
Drive your business with CarCloud DRIVE.