PCP Claims
Get £000s in Compensation for PCP Car Finance Claims
If you’ve been mis-sold a PCP car finance agreement, you could be entitled to a refund. Our experts are here to help you reclaim what’s rightfully yours, quickly and easily.
- No Win, No Fee
- Easy Claim Process
- check your claim eligibility in 30 seconds
Start Your Claim
What is a PCP Claim?
A PCP (Personal Contract Purchase) claim is a legal complaint against a lender or car dealership for mis-selling a PCP finance agreement. You may be eligible to reclaim a mis-sold PCP car finance agreement if:
- The salesperson did not provide full details of your agreement.
- You received misleading or incorrect information about the deal.
- The salesperson failed to offer proper advice on your finance options.
- You were not informed about commissions or interest charges included in the agreement.
A recent investigation by the Financial Conduct Authority (FCA) found that car finance mis-selling is a big problem in the UK. The FCA discovered that 95% of car finance agreements included commission payments, and up to 40% of these deals may have been mis-sold to customers.
How We Work?
At Instant Assist, we handle PCP claims. Our expert team provides fast, transparent support, guiding you from start to finish for a stress-free experience.
What is a Hire Purchase Claim?
A Hire Purchase (HP) claim is a legal action against a finance company or dealership. In an HP agreement, you pay the monthly amounts for a vehicle over an agreed term without a big final payment, as found in a PCP agreement. You can claim if you took out an HP agreement in the past 10 years. Common reasons include:
- Mis-selling of the agreement
- Unfair contract terms
- Poor affordability checks
- Vehicle quality issues
When Am I Eligible to Claim a PCP Refund?
You may be eligible to claim if the salesperson:
- Didn’t explain all the financial options
- Didn’t clearly outline your PCP contract and interest rates
- Failed to check if you could afford the payments
- Didn’t tell you they would earn a commission
The lender or dealership must prove they followed the law. If they can’t, you may have the right to reclaim money from your PCP finance agreement. To make a mis-sold PCP claim in the UK, you must know:
- It applies to all vehicles (cars, vans, trucks, motorcycles)
- Covers both new and used vehicles bought through PCP
- You can claim even if your PCP agreement is still active
- Completed agreements are also eligible, even if you’ve paid off the vehicle
- Multiple vehicles can be included in one claim
- You can still claim if the vehicle was repossessed
- The vehicle must have been primarily for personal use, not business use
Steps To Making Your PCP Claim
To make a successful PCP claim, follow the steps below:
- Check Your Eligibility: The PCP agreement must have been sold between April 2007 and January 28, 2021, and may have been mis-sold
- Gather Your Documents: Get your finance agreement, payment records, and any correspondence with the lender or dealership.
- Check For Signs Of Mis-Selling: Were you not told about commission, interest rates, finance options, or affordability checks?
- Contact the Lender or Dealership: Convey your concerns and ask for documentation that they acted fairly.
- Make a Formal Complaint: If they aren’t able to resolve your problem, you can submit a complaint to the Financial Ombudsman Service.
- Seek Expert Help if Needed: A specialist in claims, such as Instant Assist, may be required to recover compensation from a complicated case.
- Receive Compensation: If your claim is successful, you may be reimbursed for interest, fees, or overpayments.
What Is the Latest FCA Update on My PCP Finance Claim?
The FCA has extended the deadline for motor finance firms to respond to complaints related to PCP agreements. Firms now have until December 4, 2025, to provide final responses to these complaints. The FCA anticipates a significant increase in complaints due to this judgment and aims to ensure that firms handle them efficiently and consistently.
If you’ve submitted a complaint regarding your PCP finance agreement, be aware that firms have an extended timeframe to respond. It’s advisable to stay informed about any further updates from the FCA or your finance provider regarding your complaint.
How Much Compensation Can I Receive for My Mis-Sold PCP Claim?
What Is the Average Payout for My PCP Refund?
The compensation for a mis-sold PCP car finance agreement varies based on factors such as the loan amount, interest rate, and specific details of the case. Some estimates suggest that average payouts range from approximately £1,100 to £5,000. It’s advisable to consult with a professional or claims specialist such as Instant Assist. It assesses your specific situation and determines the potential compensation you may be entitled to.
What Are the Common Signs of PCP Mis-Selling?
You may have been mis-sold a PCP (Personal Contract Purchase) finance agreement if:
- Hidden Commission: The salesperson didn’t tell you they were earning a commission from the lender.
- Unexplained Finance Options: You weren’t informed about all available finance options and their differences.
- Unfair Interest Rates: You weren’t offered the best available interest rate for your credit profile.
- Lack of Affordability Checks: The lender didn’t properly assess whether you could afford the payments.
- Unclear Terms & Conditions: The contract’s details, including balloon payments and extra charges, weren’t fully explained.
- High-Pressure Sales Tactics: You were rushed or pressured into signing the agreement without enough time to consider it.
- Overpriced or Poor-Quality Vehicle: The vehicle was not as described, or important issues were hidden from you.
If any of these apply to your agreement, you may have grounds for a PCP mis-selling claim via Instant Assist.
Which Lenders Can You File a PCP Claim Against?
If you believe your Personal Contract Purchase (PCP) car finance agreement was mis-sold, you may be able to file a claim against various lenders. Notable lenders implicated in misselling cases include:
- Close Brothers Ltd
- FirstRand Bank Ltd (London Branch)
- Black Horse Ltd
- Santander Consumer (UK) PLC
- BMW Financial Services (GB) Ltd
- Mercedes-Benz Financial Services UK Ltd
- Barclays Finance
- PSA Finance UK Ltd
- RCI Financial Services Ltd
- Toyota Financial Services (UK) PLC
- Moneybarn No. 1 Ltd
- Blue Motor Finance Ltd
- Clydesdale Financial Services Ltd
- Hyundai Capital UK Ltd
- FCE Bank PLC
- NIIB Group Ltd
- Startline Motor Finance Ltd
- CA Auto Finance UK Ltd
- Vauxhall Finance PLC
- Volkswagen Financial Services (UK) Ltd
What is the Processing Time for a PCP Claim?
The processing time for a mis-sold PCP claim can vary based on several factors. It includes the complexity of the case, the lender’s responsiveness, and whether the claim is settled directly or escalated to external bodies. Here’s a general overview:
- Unaffordability Claims: These are typically more straightforward and can often be resolved within approximately 10 weeks if the lender is cooperative.
- Undisclosed Commission Claims: If a claim cannot be settled directly with the finance company and is escalated to bodies like the FOS, the process may extend significantly. The FOS advises that while some cases are resolved in a few months, others, particularly complex ones, can take over a year.
- General Expectations: Given the current landscape and the influx of claims, some clients may experience resolutions within 12 to 24 months.
Staying informed and maintaining regular communication with Instant Assist experts. They can provide more specific guidance tailored to your situation.
No Win No Fee PCP Car Finance Claims
If you believe your PCP car finance agreement was mis-sold, you can pursue a compensation claim on a No Win, No Fee* basis. If your claim is successful, the firm will deduct a pre-agreed percentage from your compensation as their fee.
*The solicitor we recommend will charge you a fee of 36% (inclusive of VAT) of your compensation. The solicitor may charge a termination fee if you cancel your agreement with them after the cancellation period. Please read their Terms and Conditions for more information.*
Why Choose Instant Assist for Your PCP Claim?
Suppose you’re considering pursuing a PCP claim and are evaluating a claim. In that case, Instant Assist is a trusted claims management company specialising in PCP finance claims, ensuring you pay nothing upfront and only a success fee if your claim is approved.
We offer expert guidance in handling mis-sold PCP agreements and helping clients reclaim compensation for undisclosed commissions, unfair interest rates, and inadequate affordability checks. Our dedicated team works to maximise your compensation while minimising your stress, making them a reliable choice for your PCP claim.
Frequently Asked Questions
To qualify for a PCP claim, you must have taken out a PCP finance agreement (generally between April 2007 and January 2021) that you believe was mis-sold via undisclosed commissions, excessive interest rates, or a failure to explain the terms of the deal properly. It would mean that the lender or dealer had not told them important facts about their finances or affordability checks.
Details of your car finance agreement will be in your original contract, monthly statements, or online account with your lender. If you can’t find them, you can call your finance provider directly and ask for a copy.
If you are starting a process to submit a mis-sold PCP car finance claim, you will need your finance agreement information and/or to find evidence of mis-spelling, which might include hidden commissions or unclear terms. Then, find a claims management company such as Instant Assist.
It can be several months if addressed swiftly, but years if it goes to the Financial Ombudsman Service (12–24 months).
With PCP finance, car dealers can determine the interest they charge on loans while earning a commission for each percentage point charged. It presents a conflict of interest since dealers might raise rates to increase their commission instead of giving customers the best deal.
Yes, you can make a PCP claim for second-hand vehicles, multiple vehicles, and work vehicles as long as they were financed through a PCP agreement. For work vehicles, claims depend on whether it was used primarily for personal or work purposes.
Yes, you can still make a PCP claim if the lender has gone out of business. Your claim may be handled by the Financial Services Compensation Scheme (FSCS) if the lender is regulated.
Selecting the "best" PCP claims company depends on individual needs and preferences. Reputable firms like Instant Assist offer specialised services, such as No Win No Fee*, for mis-sold car finance claims.
*The solicitor we recommend will charge you a fee of 36% (inclusive of VAT) of your compensation. The solicitor may charge a termination fee if you cancel your agreement with them after the cancellation period. Please read their Terms and Conditions for more information.*
