Does Moneybarn pay commission?

Where you are introduced to Moneybarn by a 3rd party credit broker or introducer, we will pay the intermediary a commission payment for introducing you to us. It may be a fixed amount, or it may be as a percentage of the amount of your credit. We recover amounts we pay as commission through our conditional sale agreements (as a whole) like any other business cost. This means any commission paid regarding your agreement is not only covered from you. We or your credit intermediary will tell you about the amount and nature of the commission before you enter into an agreement.

Some motor finance lenders used to use a Difference in Charges (DiC) commission structure, this means that the amount of commission received by the 3rd party introducer credit broker is linked to the interest rate paid by the customer. The FCA has banned DiC commission models as they give motor finance brokers an incentive to raise customers’ finance costs, this ban came into effect on 28 January 2021. Moneybarn has never operated DiC or discretionary commission models, the commission paid to our brokers and introducers has always been a fixed fee or percentage of the loan amount.

It is important you understand the commission payment being made for your introduction. If you have any questions or need further information about the commission which will be paid for your introduction, you can ask your introducer for this information prior to entering into the agreement.