Motor Finance Claims

Motor Finance Claims

What Are Motor Finance Claims (PCP & HP)?

You are likely to be a victim of a mis-sold a finance agreement if the car salesperson failed to give you all of the information about your agreement, misled you, provided poor advice, or did not make you aware of any commissions or interests being charged as part of the agreement.

As a result of failing to disclose certain information it is not possible for the buyer to make an informed decision about whether the contract represented value for money and whether it was a sensible contract to enter into.

The Financial Conduct Authority (FCA) have stated that commission was paid on 95% of UK Car finance agreements. If you weren’t told the exact amount of commission paid then you may be entitled to make a claim. We can investigate whether you have a claim on a No Win, No Fee basis.

A Recent Financial Conduct Authority (FCA) Investigation Found

Widespread evidence of mis-selling on all types of vehicle financing options.

The investigation discovered that, unknown to customers, lenders systematically incentivised brokers and car dealers to charge their customers higher interest rates so they could receive higher commissions themselves.

As one car dealer openly admits in a recent article, “frankly, we were getting away with murder. We weren’t treating customers fairly and were, in effect, charging them to earn us money.”

How Much Could My Claim Be Worth For Mis-Sold PCP Car Finance?

It is estimated that the average amount of compensation for a mis-sold car finance claim is around £1,100. In some cases, the amounts can be considerably higher. The exact amount you may be able to claim will be dependent on several factors. Compensation is calculated based on several factors, including:

  • The size of the loan – The larger the loan, the more you’ll be owed and able to claim back.
  • The length of your agreement – You’ll be owed more if you’ve been paying the loan for longer.
  • The interest rate you were quoted and the difference between the rate quoted and the rate you should have been quoted.

Get help with your claim