The legality of car loan commission payments in the UK banking sector has been called into question by a recent ruling from the Court of Appeal in London.

This ruling examines the practice of lenders compensating car dealers for facilitating loan sales to consumers, often without the borrowers' knowledge. The decision could have significant financial consequences for banks, potentially leading to more court cases and a comprehensive regulatory review.

The outcome of these developments will be crucial in determining how lenders will need to adjust their practices going forward.