Was Your Car Finance Mis-Sold?
The UK regulator estimates £8.2 billion in compensation may be owed to drivers who were overcharged on car finance deals. If you bought a car on PCP or hire purchase between 2007 and 2021, you could be entitled to hundreds of pounds.
How the Claim Process Works
Three simple steps to check if you're owed money
Check Your Eligibility
Tell us your lender and when you bought your car on finance. Most PCP or hire purchase agreements from 2007–2021 qualify.
We Refer Your Claim
We pass your details to an FCA-authorised claims specialist who will assess your case and handle all paperwork.
Receive Compensation
If your claim succeeds, you receive your compensation. The average payout is estimated at around £700 per agreement.
What Is the Car Finance Mis-Selling Scandal?
Between 2007 and 2021, many UK car dealers arranged finance deals for customers using a system called discretionary commission arrangements (DCAs). Under this system, the dealer had the power to set — or increase — the interest rate on your loan. Critically, the higher the rate they set, the more commission they earned.
This created a clear conflict of interest: dealers were financially incentivised to charge you a higher interest rate than necessary, and most customers were never told this was happening. The Financial Conduct Authority (FCA) banned this practice in 2021 and launched a formal investigation, estimating that lenders may owe customers around £8.2 billion in compensation.
The FCA is expected to announce a formal compensation scheme in 2026. If you bought a car using PCP (Personal Contract Purchase) or hire purchase finance during this period, you may be eligible to claim — even if the car is paid off, sold, or repossessed.
You May Be Eligible If You:
- ✓ Bought a car using PCP or hire purchase finance
- ✓ Your finance deal was between 2007 and 2021
- ✓ The dealer arranged the finance for you
- ✓ You were not told about the commission arrangement
Even if you're unsure, it's worth checking. The process is free and takes 60 seconds.
Check Your Eligibility — Free
Takes 60 seconds. An FCA-authorised specialist will review your case at no cost to you.
Which Lenders Are Involved?
Many major UK car finance lenders are under investigation. Find your lender below for more information.
Black Horse Finance
Lloyds Banking Group subsidiary — one of the largest UK car finance lenders
View claim guide →Santander UK
Major high-street bank with significant PCP exposure
View claim guide →Barclays
Barclays Partner Finance used DCA arrangements at dealerships
View claim guide →MotoNovo Finance
Mid-tier specialist lender with widespread dealer network
View claim guide →Close Brothers
Motor finance is a core part of their business model
View claim guide →Guides & Resources
How to Check If Your Car Finance Was Mis-Sold
A step-by-step guide to reviewing your finance agreement and signs of a mis-sold loan.
Read more →PCP vs Hire Purchase Explained
Understand the difference between PCP and HP finance and how each is affected by the scandal.
Read more →When Will FCA Compensation Be Paid?
The FCA investigation timeline and what to expect from the compensation scheme.
Read more →Why Check With Us?
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No upfront cost. Your data is handled securely and only shared with authorised claims companies.
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We only refer claims to regulated claims management companies authorised by the FCA.
60-Second Check
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