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International Business Times
International Business Times
Business

The UK Car Loan Scandal That Could Cost Banks Billions

Banks may have to pay out tens of billions of pounds in compensation for controversial car loans (Credit: AFP)

Banks may have to pay out tens of billions of pounds if the British Supreme Court upholds a judgment ruling controversial car loans are unlawful, in a case beginning in April.

These loans incentivised car dealers to offer higher interest rates in return for a higher commission, without sufficiently informing borrowers.

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