Question 1

What is car finance mis-selling?

Accepted Answer

Car finance mis-selling in the UK typically occurred when the sale of a car finance product, such as Hire Purchase (HP) or Personal Contract Purchase (PCP), was conducted unfairly or without full transparency. This often involved dealerships not disclosing the commission they received for arranging the finance, which could incentivize them to push for higher interest rates.

Question 2

Am I eligible to make a mis-sold car finance claim?

Accepted Answer

You may be eligible to make a claim if you purchased a vehicle using a PCP or HP agreement before January 28th, 2021, which is when the Financial Conduct Authority (FCA) banned discretionary commission models. Eligibility also hinges on whether the commission arrangement was not disclosed to you and if this resulted in you paying more than you should have.

Question 3

What kind of car finance agreements could have been mis-sold?

Accepted Answer

The most common types of car finance agreements that are subject to mis-selling claims are Personal Contract Purchase (PCP) and Hire Purchase (HP) agreements. These agreements involve borrowing money to finance a vehicle, with repayments made over a set period.

Question 4

How do I know if I was mis-sold car finance?

Accepted Answer

There are several signs that might indicate you were mis-sold car finance. These include not being clearly told about the commission the dealership was earning, feeling pressured into a specific finance deal, not having the terms and conditions fully explained to you, or if the finance agreement wasn't suitable for your financial circumstances.

Question 5

What compensation could I receive for a successful claim?

Accepted Answer

If your mis-sold car finance claim is successful, the compensation you receive will aim to put you back in the financial position you would have been in had the mis-selling not occurred. This can include a refund of the excess interest you paid due to the undisclosed commission, as well as any associated fees or charges.

Question 6

How long do I have to make a mis-sold car finance claim?

Accepted Answer

There are time limits in place for making financial mis-selling claims, known as the statute of limitations. Generally, you have six years from the date of the finance agreement or three years from the date you first became aware that you might have been mis-sold, whichever is later.

Question 7

What information do I need to start a claim?

Accepted Answer

To begin your mis-sold car finance claim, we'll need some key information about your agreement. This includes details like the name of the finance company, your agreement numbers, and the total finance amount. When you work with us, we take care of gathering all this essential information.

Question 8

How long does the mis-sold car finance claim process take?

Accepted Answer

The timeframe for a mis-sold car finance claim can vary depending on the complexity of your case and the response times of the finance provider. Some claims can be resolved relatively quickly, while others may take several months.

Question 9

How much will it cost me to make a claim with your team?

Accepted Answer

We typically operate on a no win, no fee basis. This means you won't have to pay any upfront costs to start your claim. Only if your claim is successful and you receive compensation will we take a pre-agreed percentage of the amount recovered.

Question 10

Do I need to have all my original paperwork to make a claim?

Accepted Answer

No. We will gather all information required to facilitate a successful claim from authoritative third parties like Experian.

Question 11

Will making a claim affect my credit score?

Accepted Answer

Making a claim for mis-sold car finance should not negatively impact your credit score. Your claim is against the way the finance was sold to you, not your ability to repay the loan.

Question 12

What happens if my claim is unsuccessful?

Accepted Answer

If, despite our best efforts, your claim is unsuccessful under our no win, no fee agreement, you will not be required to pay our fees. We will clearly explain the potential outcomes and our assessment of your case before you decide to proceed.

Question 13

Why should I choose your team to handle my mis-sold car finance claim?

Accepted Answer

Our team specializes in handling mis-sold car finance claims in the UK. We possess the expertise and in-depth understanding of the regulations and practices involved to build a strong case on your behalf. We offer a streamlined, user-friendly process, handle all the complex paperwork and communication, and are dedicated to maximizing your chances of a successful outcome.

Question 14

Can I still claim if I have paid off my car finance agreement?

Accepted Answer

Yes, you can still make a claim even if you have fully paid off your car finance agreement or sold the vehicle. The eligibility for a mis-selling claim is based on the circumstances at the time the agreement was sold to you, not the current status of the finance.

Question 15

What are the next steps to start my mis-sold car finance claim with you?

Accepted Answer

To begin your mis-sold car finance claim with our team, simply type in your postcode into our claim checker, complete your personal details and we will take it from there. We will then review your information and get in touch to discuss your potential claim.

FCAInstructions | Mis-Sold Car Finance Claims Site