Finance IFABL Scheme
Independent Complaints Process for users of Invoice Finance and Asset Based Lending (IFABL).
CEDR will consider complaints relating to alleged breaches of the Code and Guidance in handling complaints, carrying out adjudications and reaching final decisions. CEDR will proceed fairly in all cases and in accordance with principles of natural justice.
CEDR will consider what is fair and reasonable in the circumstances, having regard to principles of statute and common law (judge-made decisions), good industry practice, equitable conduct, contractual obligations and good administration. Each case will be decided on a case by case basis and decided on the facts presented by each party.
The objective of UK Finance and CEDR is to ensure that the independent Complaints Process is as accessible to as many businesses as possible.
A complaint will be eligible for this process if:
- The complaint relates to a factoring, invoice discounting and/or asset-based lending facility or a proposed facility through an existing IFABL Member of UK Finance; and
- The action or actions relating to the complaint took place on or after 1 July 2013; and
- The Complainant is not seeking a financial award of greater than £50,000 in relation to the dispute. This is the current maximum figure that CEDR currently has authority to award and CEDR cannot consider cases where the amount sought is clearly in excess of this amount. Please note that this amount is £28,000 for action or actions relating to a complaint that take place before 1 January 2021.
- It will not normally be possible for a complaint to be accepted if:
- The Complainant gave the IFABL Member notice of the matter which is subject to the complaint more than 12 months before contacting UK Finance or CEDR; or
- The complaint is made to UK Finance more than six months after the Member advised the client that it is unable or unwilling to resolve the complaint to the complainant’s satisfaction (i.e. a Deadlock Letter or similar was received more than six months’ prior).
Customer raises a complaint with IFABL member in the first instance. They will attempt to resolve the matter and if not issue you with a final response/ deadlock letter.
If the matter remains unresolved, you must contact UK Finance in the first instance to let them know you have a complaint about one of its invoice finance and asset-based lending members. The UK Finance team will log the complaint and obtain information from you and the company. You can contact UK on 020 3934 1456 or via email at email@example.com.
UK Finance will refer the matter to CEDR for independent adjudication. CEDR will assign the case to an Independent Adjudicator who will issue a final decision within 90 days of receipt of the complete case file from UK Finance. The Independent Adjudicator may request for additional information during this time. However, once a final decision is issued, the matter is closed with no appeals.