The Ultimate Guide to Car Finance Claims in 2024
posted 15th January 2024
The Ultimate Guide to the UK Car Finance Discretionary Commission Scandal. If you took out a Personal Contract Purchase (PCP) or Hire Purchase agreement to purchase a car between 2007 and 2021, you could qualify to claim back thousands of pounds.
Lenders, such as Barclays Partner Finance, allowed brokers like car dealers and other intermediaries to change the interest rates they were charging customers to receive more significant commissions from the lenders. The higher the interest rate the dealer set the consumer, the bigger the commission Banks such as Barclays would pay the car dealer.
This hidden commission scandal incentivised dealers to overcharge consumers, who ultimately overpaid for their vehicles and left them thousands of pounds out of pocket.
How much compensation will I receive?
The pay out would be either the interest on loans, the commission or the whole loan. Potentially we could win you thousands of pounds. As well as receiving what you are owed, you will also receive statutory compensation of 8% per year on the total capital from the original point of sale.
How do I know if I qualify?
You can check with us for free. We will undertake all the necessary checks and advise you accordingly. You can contact us by phone or by filing in a call back form on our website.
Do we charge any upfront fees?
Absolutely not. You pay us nothing, unless we win. We charge you a pre-agreed fee if your claim is successful and once the company has paid you your compensation.
Here are your next essential steps.
1. File a Complaint with us.
Promptly file a complaint with us about the firms involved. While the FCA has temporarily paused firms' responses to complaints, establishing your complaint now serves as a crucial marker.
2. Extended Timeframes.
The FCA has extended timeframes for referral to the Financial Ombudsman Service (FOS). If you received a final response between 12 July 2023 and 20 November 2024, you now have up to 15 months to escalate your complaint to the FOS.
3. Existing Complaints.
Existing complaints already lodged with the FOS or the courts will continue to be processed as normal. If your claim has been rejected, consider potential resubmission with us.
