Following consultation in October 2019, the FCA has confirmed a ban on discretionary commission models that give motor finance brokers and dealers an incentive to inflate customers’ finance costs. Motor finance firms will be expected to negotiate alternative commission structures. Other new rules for credit brokers announced in the recent Policy Statement could affect insurance intermediaries when offering premium finance. Credit brokers will need to disclose prominently to consumers the existence and nature of their commission arrangements where the commission they receive from the lender (including fees and any other remuneration) can vary depending on the lender, product or other factor. Customers must also be told how these arrangements could affect the price payable.