Claim your car finance redress compensation

A PCP compensation claim is a legal action you can take if your Personal Contract Purchase (PCP) car finance agreement was mis-sold. This typically occurs when:

• Hidden commission: The dealer received undisclosed commission that increased your interest rate
• Lack of transparency: Key terms weren't properly explained, such as balloon payments or mileage restrictions
• Poor affordability checks: The lender didn't properly assess whether you could afford the repayments
• Unsuitable advice: You were sold a PCP when a different finance option would have been better for you

The FCA has banned discretionary commission arrangements since January 2021, making many previous agreements eligible for compensation claims.

You may be eligible to claim PCP compensation if:

• Timeframe: You had a PCP or HP agreement between April 6, 2007 and November 1, 2024
• Hidden commission: Your dealer received commission that wasn't disclosed to you (including discretionary commission, high commission, or contractual ties)
• Mis-selling signs: You weren't told about key terms like balloon payments, mileage limits, or wear and tear charges
• Affordability issues: The lender didn't properly check if you could afford the agreement
• Vehicle types: Claims can be made for cars, vans, motorcycles - both new and used vehicles

Even if your agreement has finished or you no longer have the vehicle, you may still be able to claim. Our free assessment can help determine your eligibility.

PCP compensation amounts vary based on your specific agreement, but typical awards include:

• Average compensation: £700 per agreement according to October 2025 FCA estimates
• Typical range: £500 - £5,000+ depending on loan amount and commission paid
• Interest payments: Refund of overpaid interest due to hidden commission
• Additional interest: 8% annual interest on compensation from the date of overpayment
• Multiple vehicles: You can claim for each mis-sold agreement you had

The FCA's latest October 2025 announcement estimates total compensation at £8.2 billion across all affected customers, with 14.2 million eligible motor finance agreements. Factors affecting your compensation include the original loan amount, interest rate, and how long you had the agreement.

The timeline for PCP compensation claims varies depending on several factors:

• Simple cases: 4-6 months if the lender accepts the claim quickly
• Average timeline: 12-18 months for most claims
• Complex cases: May take longer if the case goes to the Financial Ombudsman Service
• FCA compensation scheme: The scheme launches in early 2026, with payments to customers beginning before end of 2026
• Complaint deadline: Extended to July 31, 2026 to allow time for all claims to be processed

We keep you updated throughout the process and work to resolve your claim as quickly as possible. The FCA expects customers who have already complained to receive compensation faster than those who have not yet made claims.

Don't worry if you don't have all your paperwork - we can help obtain most documents. Useful evidence includes:

• Original PCP agreement: The finance contract with terms and conditions
• Payment records: Bank statements showing monthly payments and deposit
• Vehicle details: Make, model, registration number, and purchase date
• Dealer correspondence: Any emails, letters, or sales materials
• Personal details: Your name, address, and contact information from the agreement period

Even without documents, we can make a Subject Access Request (SAR) to obtain your agreement details from the lender. UK law requires them to keep records for at least 6 years.

Yes, you can absolutely claim compensation even if your PCP agreement has ended. This applies whether you:

• Returned the vehicle: At the end of your agreement term
• Made the final payment: And kept the vehicle
• Traded in for a new car: And started a new finance agreement
• Settled early: By paying off the agreement before the end date

The key factor is whether your original agreement was mis-sold, not whether it's still active. The FCA's compensation scheme covers agreements taken between April 6, 2007 and November 1, 2024, giving you a substantial window for potential compensation.

You can claim compensation for multiple vehicles if each had a separate mis-sold PCP or HP agreement:

• Multiple claims: Each mis-sold agreement is treated as a separate claim
• Vehicle types: Cars, vans, motorcycles, and commercial vehicles (for personal use)
• New and used: Both new and second-hand vehicles are eligible
• Different lenders: You can claim against multiple finance companies
• Family vehicles: Joint agreements or vehicles in your spouse's name may also be claimable

Many clients have successfully claimed compensation for 2-3 vehicles, with some claiming for even more. Each claim is assessed individually based on that specific agreement.

The Financial Conduct Authority (FCA) announced a comprehensive motor finance compensation scheme in October 2025:

• Consultation closes: November 18, 2025
• Final rules published: Early 2026
• Scheme launch: Early 2026
• Customer payments begin: Before end of 2026
• Complaint deadline extended: Until July 31, 2026
• Your claim: You can still submit claims during this period - they won't be rejected
• Protection: Starting your claim now protects your position for when the scheme launches

The FCA expects customers who have already complained to receive compensation faster than those who have not yet made claims. It's better to have your case prepared and ready when the process fully launches.

No, our PCP compensation claims are handled on a strict "No Win, No Fee" basis:

• Zero upfront costs: No payment required to start your claim
• No hidden fees: No charges for case preparation, correspondence, or legal work
• Success fee only: We only get paid if your claim is successful
• Transparent pricing: Our fee is a percentage of any compensation recovered
• No risk to you: If your claim doesn't succeed, you pay nothing

This means you can pursue your claim with complete confidence, knowing there's no financial risk to you. We're only successful when you are.

If a lender initially rejects your claim, we don't give up - we have several options to pursue your case further:

• Appeal process: We can challenge the lender's decision with additional evidence
• Financial Ombudsman Service: Independent review if the lender maintains their rejection
• Success rate: Many initially rejected claims succeed on appeal or at the Ombudsman
• Persistent approach: We continue fighting for your compensation until all options are exhausted
• No additional cost: Appeals and Ombudsman referrals are included in our service

An initial rejection doesn't mean your claim lacks merit. Lenders often reject claims automatically, but independent review frequently overturns these decisions.