Volkswagen Finance has agreed to compensate around 110,000 customers with more than £21.5 million in redress, following its failure to meet their needs by taking away vehicles from those facing financial difficulty between 2017 and 2023, the United Kingdom Financial Conduct Authority (FCA) announced on Monday.
The group will also pay a £5.4 million fine to the British financial regulator for unfair customer treatment.
"For many, a car is not a nice to have but a necessity for work or for family life. Volkswagen Finance made tough personal situations worse by failing to consider what those in difficulty might need. It is right it compensates those who suffered," Joint Executive Director of Enforcement and Market Oversight Therese Chambers said.