Car Finance Claims
Things you need to know before you proceed
You do not need to use a third party to make a claim, the Financial Ombudsman Service (FOS) is a free service, however you must direct your complaint directly to the firm before it can be referred to the FOS
Our fees range from 18% - 36% inclusive of VAT depending on the amount of compensation awarded and is subject to a fee cap
If your claim fails to succeed and you do not cancel the agreement before the completion of the claim you will not be charged a fee
Full details of our T&Cs and fee structure are available here
Starting your claim will direct you to our easy to use claim processing portal. All of the information we require to process your claim can be entered using just your mobile phone with no need to speak to anyone at Hallbrook unless you need assistance. Call 0115 822 1850 for help
Your data is important to us, which is why we will only process your data to pursue a claim on your behalf. Rest assured we will not pass your details to any third parties for marketing purposes
Don’t worry if you no longer have a copy of your old car finance agreements, we can help you locate these through the claim portal
What did the Financial Conduct Authority discover?
A recent investigation by the Financial Conduct Authority (FCA) found evidence of widespread mis-selling by car dealers when persuading customers to buy a new car using a Personal Contract Plan (PCP).
The FCA sent mystery shoppers into 122 car dealerships and found that only 11 dealerships confirmed commission will be added to the deal. In addition, only 31% of dealers explained fully to the customer that they do not own the vehicle at the end of the contract unless the balloon payment is paid in full.
In a report published in March 2019, the FCA stated that 28% of car dealerships failed to outline the consequences of missed payments too.
What’s more, some car retailers received commission from lenders which was often linked to the interest rate customers were charged. Some car dealerships could also set the interest rate, this gave them an incentive to sell more expensive credit – going directly against their customers’ best interests. As a result, mis-sold car finance may have cost UK consumers £300,000,000 every year
Were you mis-sold
Thousands of car owners who bought their new car through Personal Contract Plans (PCP) may be victims of this new mis-selling scandal. Car dealerships have been exploiting the complexity of PCP deals, telling buyers that they are more economical than hire purchase arrangements.
In fact, the mystery shoppers sent out by the FCA reported that:
Salespeople focused on just one finance product without discussing any alternatives, meaning that customers didn’t have all the information needed to make the right choice for them
For new car sales, salespeople pushed PCP rather than hire purchase and ignored the customer’s desire to own the vehicle
The amount of commission received by the dealer or broker was hardly ever mentioned
So when buying your new car did you:
Totally understand the finance deal being offered to you?
Have other finance options explained to you?
Know exactly how much commission the car dealer / finance broker was receiving?
Understand the consequences of missing finance payment?
If you’re not sure, then you received poor advice. You might well have ended up paying hundreds of pounds more than you needed to, and got a finance deal that was unsuitable for your needs or your budget.
To find out if you’re eligible to receive compensation, contact Hallbrook today and we’ll start the process as quickly as possible. We can help you fight your case to achieve justice and receive the financial redress you deserve.
Full details of our terms of engagement, including the fee structure can be found here.
Car Finance Claims is a trading name of Hallbrook Partners Ltd. Hallbrook Partners Ltd is authorised and regulated by the Financial Conduct Authority (FRN:837713) as a Claims Management Company. You do not need to use any third party to present a claim to the firm, The Financial Ombudsman Service (FOS) or the Financial Services Compensation Scheme (FSCS). You can make your own representation to them and their services are free. ©2008-2022 Hallbrook Partners Ltd. All rights reserved.