How do you know if you've been mis-sold car finance?

What is the mis-sold car finance scandal?

An estimated 95% of vehicle finance agreements from April 2007 onwards included commission payments that consumers were unaware of, meaning they could not have given informed consent.

The Financial Conduct Authority (FCA) banned Discretionary Commission Arrangements (DCAs) in 2021, meaning car dealerships could no longer receive higher commissions by signing people up to loans with higher interest rates. This means that prior to the ban, consumers paid more money in interest to financial bodies, and were encouraged to do so, in order for the dealerships to earn more commission.

While the FCA's investigation began with DCAs, in 2024, a Court of Appeal case ruled that any commission arrangement that was not fully transparent (including informing the customer of how much commission would be paid) was unlawful. The decision was appealed by finance firms and sent to the Supreme Court for a final decision. If this decision is upheld by the supreme court, thousands of drivers will be eligible for compensation.

What being mis-sold car finance means for you

If you were mis-sold car finance, it means you paid a commission that may have been inflated without your knowledge, or you were not made aware of any commission in the first place. You have the right to purchase vehicles with the confidence that you can trust the seller and if you have been mis-sold car finance, this trust was breached, and you deserve compensation for the extra money you paid.

How to start your compensation claim

Instead of needing to find your old finance agreements on your own, our team of car finance claim experts have created a tool to help you find your previous finance agreements.

All you need to do is enter your details and we can find the agreements that contain your details and let you know if you are entitled to compensation. If you are, we will handle your claim and get you the compensation you deserve.

For expert advice and legal guidance, look no further than our team of leading experts. Contact us today on 0330 041 5869 or contact us online to arrange a callback.