Let us help you discover if you were mis-sold your PCP or HP finance with a FREE, no-obligation check.
We check for compensation for all your cars and we don’t charge you — it’s a FREE, no-obligation, quick and simple process.
Start your claim
Why Can I Claim?
If you purchased a car from a Dealership, it is likely that they put you in touch with a finance company to provide the actual loan on the vehicle. We assist in checking if you are due compensation if the Dealership did not disclose that they were receiving a commission for arranging your finance agreement with the finance provider.
Legally Both the Dealership and Finance Provider were obliged to be transparent and inform you of the commissions being paid – and if it was actually, you who was paying this commission by the way they applied the interest rate.
What Is Mis-sold Car Finance?
A Financial Conduct Authority (FCA) investigation discovered widespread evidence of mis-selling on all types of vehicle financing options. It found that at least 560,000 consumers were paying more than 50% more on their car finance than they should be.
Mis-selling was found on all motor vehicle types, including new and used cars, vans, motorcycles and even motor homes/caravans, under all vehicle financing options such as personal contract hire (PCP), hire purchase (HP), contract hire or a car loan.
However, by far the most popular of these has been shown to be PCP agreements which involves lower monthly payments followed by a final lump sum or ‘balloon’ payment.
The FCA found an increasing number of cases in which the broker was given discretion to adjust interest rates and where a higher level of interest was charged to the consumer, a larger commission payment would be made to the Dealership by the finance provider.
It was also established that within the motor finance sector, firms have been largely misinforming their customers in communicating commission structures often resulting in customers unknowingly paying more for their vehicle finance. On many occasions the fact that a commission was being paid was not communicated at all. This was found to be happening at even the largest Dealerships including Audi, BMW, Mercedes, and Land Rover (Black Horse) to name a few.
It is a requirement that any commission payment should be made clear to the purchaser as it could have an impact on their decision to proceed or negotiate further.
All of this has meant that customers are now able to bring forward a claim, on various grounds, for financial compensation.
The mis-selling of car finance has the potential to become the biggest compensation scandal of the decade as millions of customers come forward to claim what they are owed.
Find out what you might be owed, start your free check with us today.
Mis-sold Car Finance FAQ's
What type of claim can I make?
We assist clients in claiming compensation for the non-disclosure of commissions received by the Dealership from the Finance Provider. Both the Dealership and Finance Provider were obligated to be transparent and inform you of the commissions being paid. This is known as a ‘Section 140’ claim.
We assist clients claim compensation for the mis-sale of finance. This is usually if you were not provided different finance options to find the right fit for you. This can also be if you encountered unexpected charges at the end of the finance, or if you fell into payment difficulties as the finance was unaffordable.
Do I qualify to make a claim?
If you answer ‘No’ to any of the below, you may be eligible to make a claim:
- Were you advised of the commissions that were being paid?
- Were you offered the best interest rate available?
- Were you offered various finance options based on your circumstances, and informed how they differ – to find the best fit for you at that time?
- Was the agreement affordable, or was the agreement properly explained to you – meaning you were left with higher-than-expected monthly repayments, unexpected charges, or bill at the end of your agreement?
What can I claim back?
This is dependent on the amount of money borrowed, the interest rate charged, the commission model employed, and the repayment period. It will, however, most likely be hundreds or thousands of pounds. Once we complete our free check, we will be in a better position to advise on a rough compensation value.
You can make a claim for any/all finance agreements you had which were active after April 2008 – the combined values of these can also significantly influence the amount of compensation you could receive.
Can I make a claim for multiple vehicles?
We are able to look at all vehicles you have purchased on finance that was active since 2008. This usually works by grouping vehicles financed with the same Finance Provider to make one larger claim.
There are certain aspects that could mean a particular finance agreement may not be eligible to be part of the claim though we will only know if this is the case once we conduct our free check and present our findings.
Do I have to hand my vehicle back?
This is dependent on the amount of money borrowed, the interest rate charged, the commission model employed, and the repayment period. It will, however, most likely be hundreds or thousands of pounds. Once we complete our free check, we will be in a better position to advise on a rough compensation value.
You can make a claim for any/all finance agreements you had which were active after April 2008 – the combined values of these can also significantly influence the amount of compensation you could receive.
What is the process?
Provide us your details for any vehicles you have had on finance, and we will write to the Finance Provider and obtain all the necessary documents needed to conduct a Free, No-Obligation check. Providing us with copies of the car loan contract would help at this stage but is not essential.
We will then assess your case(s) to see if you are eligible for a claim. If you are, we would find you the best suited Solicitor firm for you.
You can start the process by providing your contact details, and a member of our friendly team will be in touch to gather some basic details. Alternatively use our claim form to provide the details online (ensuring you provide all vehicles you have had on finance since 2008), and we can start the process straightaway – it takes about 2 minutes to complete.
What are your fees and can I claim myself?
We offer a free assessment service. If we find merits for you to pursue a claim, we will inform you (and we do not charge you a penny for this service). From here you have a choice to proceed with one of our panel Solicitors. We always let you know why this option would be best fit for your case and will let you what their percentage fee is for successful case. Of course, all our legal partners offer a risk-free, no-win no-fee service (though you may incur a charge if you cancel after the 14-day cooling-off period but before the end of the case – as long as you stay with them until the end of the case, you will not be charged if the case is unsuccessful).
If you decide to move forward with a claim through our legal partner, we may receive a commission from them – that’s how we keep our service free for our happy clients.
Please note, that you can use your own legal representation to proceed with a claim through the Courts or submit a complaint directly with the lender and use the Financial Ombudsman if you are not happy with the outcome at no charge.
How can I speed up the process?
f you are able to locate any paperwork from your past and present vehicles, then this will certainly help shorten our assessment process. You can start the process via our claim form.
What if I do not have any paperwork?
This is not a problem as we can request I from both the Dealership and/or the Finance Provider.
Disclaimer
I confirm that I have had a vehicle on finance in the past 6 years and that I was not aware of a commission payment being made to the dealer. I have read and agree to The PCP Claims People’s terms and conditions and privacy policy. I understand that in order to verify my eligibility The PCP Claims People will receive an electronic credit report and a soft footprint will be retained on my credit file.