A PCP claim involves seeking compensation from a finance provider who sold you a car through a monthly payment plan. You might have been mis-sold car finance in two main ways:
1. Unaffordability – If you struggle to keep up with your car finance payments, the dealer might not have conducted a proper affordability check. They should have asked various questions to determine if you could manage the payments.
2. Undisclosed Commission – The Financial Conduct Authority (FCA) recently discovered that car dealers could increase the interest on a finance agreement to earn higher commissions. If you weren't informed about the commission they would earn, you were likely mis-sold car finance.
If you signed a PCP or HP agreement before January 2021, consult a solicitor to see if you’re eligible for a refund from the lender.
This depends on the finance amount, the interest rate, the commission model, and affordability. The average claimant receives £5,318.25, but it could be as much as £10,000!
To find out, fill out our form, and we will conduct checks to see if you can claim for unaffordability or secret commissions.
-The loan size: the larger the loan, the higher the compensation.
-The quoted interest rate and the difference between it and the rate you should have received.
-Your actual affordability compared to what you were offered, especially if the dealer didn’t conduct a sufficient affordability check.
Mis-sold car finance occurs when a lender or financial institution provides misleading information or fails to disclose important details regarding a car finance agreement. This may include inadequate explanations of interest rates, hidden fees, or the failure to consider the borrower's financial situation.
Don't worry! Whether your car's been fully paid off or you're still paying for it won't affect your eligibility.
Whether or not you paid it off or are still paying it - the mis-selling happened at the point of you taking the loan out and how much you repaid doesn't affect your eligibility for compensation.
You can start a PCP claim for any agreements within the last six years. However, if you've only recently become aware of the potential mis-selling, you're still eligible.
There is no guaranteed amount, however our partner law firm aim to get you up to the full amount of the finance agreement. The average claim is worth £6,000. You must legally receive minimum of 51% of the winnings but it is normally more.
Don't worry, you are still able to start a claim with us as we are able to request your finance agreements from the dealership and/or the finance provider.
You can make one claim, per finance agreement, so if for example you took four cars out on finance, then you could be eligible for four claims.