How to make a car finance complaint in New Zealand

The short answer

A car finance complaint in New Zealand follows a set path. You complain to the lender first. If that does not fix it, you go to the dispute resolution scheme the lender must belong to. If you still disagree, the Disputes Tribunal and the courts are there. Each step is free or low cost, and you do not need a lawyer for the first two.

Fair Finance is a referral service, not a lender and not a dealer. We cannot decide your complaint against a lender, and this page is general information, not legal or financial advice. Its job is to show you the route and help you arrive prepared.

Work out who your complaint is really about

Buying a car on finance usually involves three different businesses, and the right target depends on what went wrong.

• The lender or finance company. It holds the loan contract. Complain here about interest, fees, the disclosure statement, how your account was handled, payment problems, hardship requests, default notices and repossession.
• The dealer or seller. Complain here if the car was faulty or was not as described. Consumer Protection says a dealer sale may give you a repair, replacement or refund under consumer law, and any refund goes to the finance company. You keep paying the loan while you sort out a minor fault.
• Anyone who arranged the loan. A dealer, a broker or a referral service may have introduced you to the lender. If you think you were misled about the loan itself, complain to them as well as the lender.

If you are not sure, write to the lender and the seller and describe the whole story. It is better to cover both than to miss one.

Step 1: complain to the lender in writing

Providers must have a formal complaint process, and it is usually an online form or an email address. Look on the lender’s website, in your loan paperwork or on your statements.

Be clear that you are making a complaint, not giving feedback, and say what you want. A good complaint is short and has four parts:

1. What happened, in date order
2. Which rule, term or promise you think was not followed
3. What you want, such as a fee refunded, an error corrected, a payment plan or the account reviewed
4. A date by which you expect a reply

Keep copies of everything. Phone calls are easy to forget, so follow up with an email that says what was agreed.

If you are already behind on payments, tell the lender at the same time. Consumer Protection says to contact the lender early about reduced payments, a payment holiday or interest-only payments. Our guide on what to do if you are struggling to pay your car loan covers this.

Step 2: the free dispute resolution scheme

Banks, lenders and retail financial service providers must belong to one of four schemes:

• Banking Ombudsman Scheme
• Insurance & Financial Services Ombudsman Scheme
• Financial Services Complaints Limited (FSCL)
• Financial Dispute Resolution Service

Many non-bank car finance companies belong to FSCL, but that is not a rule, so check. Your loan contract should have a “Dispute resolution” section. You can also look at the lender’s website or search the Financial Service Providers Register on the Companies Office site, where the lender’s entry can show which scheme it belongs to.

Go to the scheme if you want help making the complaint, if you are unhappy with the lender’s response, or if you cannot agree on a fix. Each scheme sets its own process and timeframes, so read the steps on its website before you start. A scheme can only consider complaints about its own members, and if you go to the wrong one it will point you to the right one.

The scheme looks at both sides, and it is independent of the lender. The outcome is not forced on you. Consumer Protection says it is up to you to accept or reject the scheme’s decision.

Step 3: the Disputes Tribunal or the courts

If you reject the scheme’s decision, or the problem is with a seller rather than a lender, the Disputes Tribunal may be the next stop. Its website says it settles small claims up to $60,000, that fees depend on the amount of the claim, and that a lawyer cannot represent you. Check the Tribunal’s forms and fees page before you file.

A faulty car sold by a dealer is a common reason to use the Tribunal. The courts are the final option, and Consumer Protection suggests speaking to a lawyer about your choices at that point. A community law centre can often give free first advice.

What the FMA does and does not do

The Financial Markets Authority says it took over regulatory responsibility for the Credit Contracts and Consumer Finance Act on 1 July 2026. That means it is the conduct regulator for consumer credit, and being a creditor under a consumer credit contract is now a licensed service.

Consumer Protection’s complaints guide is clear that the FMA handles misleading conduct and scams, but it cannot obtain a remedy for an individual. So a report to the FMA can matter if you think a lender is breaking the rules, but it will not usually refund your fee or fix your account. For that, use the scheme.

If the car was repossessed

Repossession has its own rules, and a complaint here is time sensitive. The FMA’s repossession page says:

• Lenders must give at least 15 days’ written warning, called a repossession warning notice, unless they have reasonable grounds to believe the car is at risk of being sold, hidden or damaged.
• If you apply for hardship, the lender generally cannot repossess until the application is decided.
• Repossession agents must be licensed, and you can ask to see the licence.
• The lender must send a post-repossession notice within 14 days, and you generally have 15 days from receiving it to catch up on the overdue amounts or pay out the loan, before the lender can sell.
• The lender must send a loan account statement within 7 days of the sale, and no more interest or fees may be added to the remaining debt.

If any step looks wrong, write to the lender straight away, ask for the paperwork, and talk to a budget adviser or community law centre. Our page on car finance after repossession explains what comes next for your credit file.

A worked example (illustrative only)

Say you were charged a $450 fee that is not in your contract summary. These steps are an example of the method, and the figures are made up.

1. You email the lender on Monday asking for the fee to be explained or refunded, attach the disclosure statement, and ask for a reply within ten working days.
2. The lender replies that the fee is correct but does not point to the clause. You reply with a short email asking for the clause, and say you will go to its dispute scheme if it cannot show you.
3. You get no clause. You look up the scheme in your contract, fill in its online form, and attach your emails.
4. The scheme asks the lender for its side. You accept or reject whatever outcome follows.

At no point did you need a lawyer. The weak point in many complaints is missing paperwork, so collect it early.

What to gather before you complain

• The loan contract and the disclosure statement
• Your account statements and a list of every payment you made
• Emails, texts and notes of calls, with dates
• Photos, inspection reports or repair invoices if the car is faulty
• The ad or listing, if the car was described in a way that turned out wrong
• Any warning or default notices

Free help while you complain

• MoneyTalks (0800 345 123) is a free, confidential helpline for money worries, and financial mentors can talk to your lender for you.
• Citizens Advice Bureaux can help you write a complaint.
• Community law centres give free legal advice to people with limited means.

If your real problem is that the loan is no longer affordable, see our page on debt help. A complaint about how a lender treated you is a different thing from a request for hardship help, and you can do both at once.

How Fair Finance fits in

Fair Finance sends one application and one soft credit check to a panel of approved New Zealand lenders. We are paid by the lender only if a loan settles, and that never changes the rate. We do not lend, and each lender assesses applications under its own rules, so nobody can promise approval. See the disclosure page for how we work and how to contact us if you are unhappy with something we did.

Checklist

• Worked out whether the problem is with the lender, the seller or both
• Complained in writing and said clearly it is a complaint
• Saved the contract, statements, emails and notes
• Asked for a reply by a set date
• Found the lender’s dispute scheme in the contract or the Financial Service Providers Register
• Booked free advice from MoneyTalks, a Citizens Advice Bureau or a community law centre if needed

General information only, not legal or financial advice. Rules, regulators and schemes change, so check the official pages below.

Sources

• Consumer Protection: How to complain about your financial service provider
• Consumer Protection: Loan for your car
• Consumer Protection: What lenders must do
• FMA: Repossession rules
• FMA: Consumer credit
• Disputes Tribunal
• Financial Services Complaints Limited