Car finance claim eligibility check
Bought a car on finance between 6th April 2007 and 1st November 2024?
You could have a car finance claim. Check your eligibility in just a few simple steps and see if you could recover your losses. It only takes a few minutes to find your lenders.
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Important Information
Car Finance Claims: Mis-selling happens when you do not receive the key information needed to make an informed decision. For example, hidden commissions may have increased the cost of your car finance. We can help you make a car finance claim and recoup your losses.
Your Choice Matters: Car Claim Specialists is a trading name of The Claims Experts Ltd, a Claims Management Company (CMC) Authorised and regulated by the Financial Conduct Authority. You are not required to use the services of a CMC and can make a claim directly yourself or through the Financial Ombudsman Service (FOS). We work on a no win, no fee basis and a fee is only payable if a cash refund is successfully recovered. However, this excludes cancellation charges for any claim cancelled after the 14-day cooling-off period.
No Win, No Fee: You pay nothing unless your claim succeeds. A fee of 15% to 30% plus VAT applies to successful claims, depending on the level of redress secured. A cancellation fee may apply after the 14-day cooling-off period or if you submit a duplicate claim through more than one provider for the same agreement. Following the FCA’s confirmed motor finance redress scheme on 30 March 2026, many drivers could be owed compensation where hidden commission or poor disclosure made their agreement unfair. The FCA says around 12.1 million agreements may fall within the scheme, with average payouts of about £830 per agreement. However, the final amount will depend on each case.
Fees: Successful claims made through Car Claim Specialists are subject to fees, charged in line with your terms of business. These range from 15% to 30% exclusive of VAT, depending on the level of redress you receive.
| Band | Redress awarded for claim (£) | Maximum percentage rate of charge (%) | Maximum total charge (£) |
|---|---|---|---|
| 1 | 1 – 1,499 | 30% | 420 |
| 2 | 1,500 – 9,999 | 28% | 2,500 |
| 3 | 10,000 – 24,999 | 25% | 5,000 |
| 4 | 25,000 – 49,999 | 20% | 7,500 |
| 5 | 50,000+ | 15% | 10,000 |
Regulatory Information: The FCA has confirmed its motor finance redress scheme. It has also confirmed that the scheme now faces legal challenges. Under the current FCA timetable, later agreements fall under the 30th June 2026 start date. Earlier agreements fall under the 31st August 2026 start date. However, the final timetable may change. You can still complain directly to your lender for free. You do not need to use a claims management company or law firm. For a full breakdown of the FCA scheme, read our guide to the FCA redress scheme for car finance.
about car claim specialists
Car finance claims expertise you can trust
Our board brings over 20 years of combined experience in claims management. We expertly review, compile, and submit comprehensive claims to vehicle finance providers.
Our operational approach reflects our commitment to exceptional customer service. The claimant experience is simple, streamlined, and transparent – we handle the heavy lifting, so you don’t have to.
car finance claim processing
review
We’ll review your agreements to confirm if you’re eligible for a car finance claim.
Process Claim
compensation
Receive your payout for the mis-sold vehicle finance.
Review
We’ll review your agreements to confirm if you’re eligible for a car finance claim.
Process Claim
compensation
Receive your payout for the mis-sold vehicle finance.
Could you be owed compensation for mis-sold car finance?
The FCA says average payouts are about £830 per agreement, although the final amount will depend on the facts of each case
car finance claim FAQ's
What is PCP finance?
In short, Personal Contract Purchase (PCP) is a type of car finance. It lets drivers spread payments over time, usually with lower monthly costs and an optional final balloon payment if they want to keep the car.
PCP is a more complex finance product than many drivers realise. It usually includes a deposit, monthly payments, and a final balloon payment. Because of that, some drivers may have grounds for a car finance claim if key details were not explained clearly.
What is HP finance?
Hire Purchase (HP) is a type of car finance that covers the costs of used or new vehicles. If you find yourself unable to afford a new car upfront, this option enables you to drive away with your desired vehicle without the need to pay a substantial lump sum.
HP allows you to pay for a car in instalments over a set period of time. You’ll usually pay a deposit, then make fixed monthly payments over an agreed term. Once you make the final payment, you own the car outright.
What is a discretionary commission arrangement (DCA)?
The Financial Conduct Authority (FCA) defines a discretionary commission arrangement (DCA) as an agreement between lenders and brokers that allowed brokers to adjust the interest rates offered to customers, often resulting in higher commissions for brokers when interest rates increased. The FCA banned this practice in 2021. It has now confirmed a wider redress scheme for motor finance customers who were treated unfairly. Read more about DCA here.
Why do dealers offer PCP and HP finance?
PCP is the most prevalent financial product in the market. Dealers use PCP finance to draw in people who want to change their car every few years.
On the other hand, HP finance is an agreement that gives you the option to own the car at the end of the agreement. This is a fixed cost throughout the term with the Annual Percentage Rate (APR) set before the contract begins.
Why has the mis-selling of car finance and the rise in car finance claims only come to light now?
The FCA found that some brokers could increase interest rates and earn more commission as a result. That meant many drivers may have paid more than they should have.
The issue affected a wide range of vehicles and finance products, including PCP and HP. The FCA banned discretionary commission arrangements in 2021 and has now confirmed a wider redress scheme for drivers who were treated unfairly.
Who Is Eligible to Seek Compensation?
If you used car finance between 6th April 2007 and 1st November 2024 and commission was not explained clearly, you may have grounds to pursue compensation for mis-sold car finance.
In short, you may have a claim if key finance details were not explained clearly. This can include hidden commission, unclear interest charges, poor disclosure of your options, or a failure to assess affordability properly.
Furthermore, mis-sold car finance claims can be initiated under the following circumstances:
- Compensation claims can be lodged for both new and pre-owned vehicles procured via financing.
- Additionally, claims can encompass various types of vehicles, ranging from cars to vans and trucks.
- Agreements that are either ongoing or have concluded are eligible for claims.
- It is possible to file claims for multiple vehicles concurrently.
How long does a claim take?
The timing depends on when your agreement began and whether you complain before the relevant FCA start date. Under the current timetable, later agreements fall under the 30th June 2026 start date. Earlier agreements fall under the 31st August 2026 start date. However, legal challenges may affect the final timetable.
What is the average mis-sold car finance payout?
The FCA says around 12.1 million agreements may fall within the scheme, with average payouts of about £830 per agreement. However, the final amount will depend on your agreement and lender review.
How much will your service cost me?
No Win, No Fee: You pay nothing unless your claim succeeds. A fee of 15% to 30% plus VAT applies to successful claims, depending on the level of redress secured. A cancellation fee may apply after the 14-day cooling-off period or if you submit a duplicate claim through more than one provider for the same agreement.
Fees: Successful claims made through Car Claim Specialists are subject to fees, charged in line with your terms of business. These range from 15% to 30% exclusive of VAT, depending on the level of redress you receive.
Do I need a solicitor or claims management company to make a claim?
No. You can complain directly to the lender yourself if you prefer. You can also use a claims management company if you want support with the process.
