PCP Car Finance Claims
Personal Contract Purchase (PCP) is one of the most popular ways to finance a car in the UK. The monthly payments are usually lower, the structure looks flexible, and you often get the choice to return, upgrade or buy the car at the end.
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PCP Car Finance Claims
PCP car finance often includes more complexity than many people realise, such as balloon payments, mileage restrictions, additional charges, future value assumptions and interest that may not have been clearly explained at the point of sale. Over time, many customers have looked back at their PCP agreements and questioned whether these key details were properly discussed or understood. Mis-sold Expert brings together clear, easy-to-understand information about PCP car finance mis-selling, helping you understand how PCP works, what may have gone wrong, and how we can support you in reviewing your agreement.
Check My ClaimNo win, no fee***How PCP Finance Works
A typical PCP agreement involves:
- Fixed monthly payments for a set period
- A large optional final payment (the balloon payment)
- Mileage limits you must stick to
- Conditions on the car’s value at the end
- Options to return, part-exchange or purchase the vehicle
It’s flexible, but it can also be confusing, especially when those choices aren’t explained in the way they should be.
Where PCP Mis-Selling Can Happen
Mis-selling often happens when important information is missing or not communicated clearly. For many people, this only becomes obvious later on.
Common issues include:
- The balloon payment not being explained properly
- Confusion around mileage limits and extra charges
- Interest rates or total costs not made clear
- Being pushed into PCP instead of HP or other options
- No proper affordability checks
- The dealer earning commission you didn’t know about
If any of this sounds familiar, Mis-Sold Expert can take a look at your PCP documents and help you understand what may have gone wrong.
The Balloon Payment: A Key Source of Confusion
For a lot of customers, the balloon payment is the part of the PCP agreement that causes the most worry. It’s often thousands of pounds and can make the car far more expensive overall.
If this wasn’t explained clearly, or was made to sound optional when it wasn’t fully understood, it can lead to people feeling misled about the true cost of the agreement.
Commission and Interest Rates: What You Weren’t Told
Many PCP deals involved commission being paid to the dealership or finance broker. In some cases, the dealer could increase the interest rate to earn more commission, something known as a discretionary commission arrangement.
The FCA has raised concerns about this, and many customers were never made aware it was happening.
Here's how it works
We'll find your finance agreements
Our system securely connects with trusted credit agencies and vehicle records to find your car finance agreements, even if you've moved house or changed your name. It's only a soft credit check, so your credit file won't be affected.
We'll review your eligibility
After you enter a few basic details, our system searches for your past car finance agreements, including those dating back to 2007, where available.
Driving you safely to the next stop
Once your finance agreements are found, Mis-sold will review your agreements in detail, we'll either do this ourselves or send it to one of our partner law firms. You will be updated every step of the way while we collect evidence, negotiate directly with the lenders, and fight your case for you.
You do not need to use a claims management company; you can complain directly to your lender or the Financial Ombudsman Service (FOS), free of charge.
Signs Your PCP Agreement May Be Worth Reviewing
People often come to Mis-Sold Expert when they:
- Didn’t understand how the balloon payment worked
- Were surprised by extra charges or mileage penalties
- Weren’t shown alternative finance options
- Found the agreement unaffordable from the start
- Later discovered commission they were never told about
- Felt pressured to take the deal on the day
Your Options If You’re Worried About PCP Mis-Selling
If you feel something wasn’t right about how your PCP was sold, you can:
1) Raise a complaint directly with your lender or the dealership
2) If the response doesn’t help, escalate it to the Financial Ombudsman Service
3) Work with a regulated claims management company for support
If you’d prefer guidance throughout the process, Mis-Sold Expert can help you understand your agreement and the options available.
How Mis-Sold Expert Supports You
When you ask Mis-Sold Expert to review your PCP agreement, you can expect:
- A careful look through your car finance documents
- Clear explanations of fees, interest, balloon payments and commissions
- Guidance that is simple, supportive and easy to follow
- Transparent communication at every stage
There are no assumptions made about your situation and no guaranteed outcomes.
What Redress Can Cover
If a PCP agreement was mis-sold, redress may relate to things like:
- Overpaid interest
- Fees or charges that weren’t clearly explained
- Issues linked to unfair relationships under consumer credit rules
The amount varies from person to person. Mis-Sold Expert focuses on helping you understand whether your circumstances.
Could your car finance have been mis-sold?
Some agreements included commission setups that weren't always made clear at the time. If you had a PCP or HP agreement between April 2007 and November 2024, you may have been affected by one of the following:
Discretionary Commission Arrangements (DCAs)
The interest rate could be increased, and that increase could boost dealer commissions.
Unfairly High Commission Charges
The commission paid may have been disproportionate to the finance agreement.
Contractually Tied Arrangements
The broker may have been tied to one lender, rather than comparing options fairly.
What Happens When Mis-Sold Expert Reviews Your PCP Agreement
Most people find the process reassuring and straightforward:
1) You share your PCP details
2) Mis-Sold Expert reviews the information carefully
3) You receive simple, jargon-free feedback
4) You decide what you’d like to do next
If you’ve had more than one vehicle on PCP or HP, Mis-Sold Expert can review each agreement individually.
Recent Developments in PCP Fairness
There has been increased focus on how car finance was sold across the UK, especially on commission and transparency. Courts have highlighted the importance of clear, honest communication, particularly where customers relied on the dealer’s advice.
Mis-Sold Expert stays up to date with these developments so you can feel confident you’re getting the most accurate, balanced explanation of your situation.
Gain knowledge Of Your Agreement With Mis-sold Expert
If you want simple, reassuring guidance that helps you understand whether your PCP car finance was sold fairly, Mis-Sold Expert is here to support you from the moment you reach out.
Real customer stories
What our customers say about the process.
Mis-sold Expert made my claim process quick and easy. I filled in a simple form, submitted a few details, and they got back to me almost immediately to confirm they were looking into my claim. Everything has been straightforward, with no hidden steps, and they've kept me updated throughout. Would highly recommend!
I discovered in the past year that I had been mis-sold car finance on multiple occasions over the years. I got in touch with Mis-Sold, and the process has been incredibly smooth and straightforward as they've taken care of everything for me, making the whole experience much easier than what I would have expected!
Mid-sold helped me find out if I have a claim for my car finance. The process was simple, they have kept me up to date and the whole thing has felt very professional and easy. Thanks for the help Mis-sold Expert
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