Vauxhall PCP Claim
Vaxuhall PCP No Win, No Fee Claims
If you’re a UK resident and took out a Personal Contract Purchase car finance agreement, also known as PCP, before 28 January 2021 to buy a new or used Vauxhall car, then read on. If the Vauxhall dealer didn’t tell you about commission arrangements when you signed your agreement with Vauxhall Finance, you may be able to claim compensation under a PCP car claim. Thousands of UK motorists are affected by what are called DCAs or Discretionary Commission Arrangements – which means that they ended up paying a higher interest rate on their PCP agreement in return for the dealer receiving more commission. This is an unfolding scandal that goes way beyond just Vauxhall.
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Let us put you in touch with the UK’s leading PCP claims solicitors to help you apply for compensation on your Vauxhall finance agreement. It’s on a strict no win no fee basis, so you won’t pay a penny unless you receive compensation, and it’s free to check!
Why Choose PCP Claims UK
We will put you in touch with the UK’s top PCP compensation claims handlers to help you recover compensation for higher interest rates and inflated monthly repayments from dealers and brokers who didn’t give you all the facts at the start of the agreement. It’s strictly no win, no fee, and it’s completely free to check.
- Claim £1000s – Receive compensation for your mis-sold PCP finance agreement.
- Work with the pros – We team you up with the UK’s leading PCP claim solicitors.
- No win, no fee – Our no win no fee basis means no financial risk to you.
- 60 second form – Fill in our form to find out if you have a claim.
- Zero risk – We only share your data with solicitors if you qualify.
The Emerging Scandal Of Mis-Sold Car Finance
After receiving thousands of complaints, the Financial Conduct Authority (FCA) has begun an exhaustive investigation into car finance mis-selling. The FCA is looking at car finance agreements that were subject to undisclosed or hidden commissions – effectively, customers paid higher interest rates increased by the broker or dealer in return for a higher commission payment. The law changed in 2021 so if you’re thinking of making a complaint, then your PCP finance purchase must have been before that date. PCP has been a popular form of car finance for years so financial experts predict that there could be a wave of compensation along the lines of the PPI scandal a couple of decades ago.
The FCA had been due to announce their findings in September 2024 but has extended the deadline until May 2025 because of the scale of the investigation and the need to carefully structure any compensation scheme in a fair and consistent way for those who are able to claim. The FCA is also awaiting the outcome of a court case involving Barclays Finance, which has gone to appeal. However, the FCA has warned finance providers to start setting aside substantial reserves to cover compensation payments to customers who have been mis-sold.
Even though finance providers do not have to formally respond to your complaint, if you had a PCP agreement taken out before 28 January 2021, you should still register your car finance claim now.
Identifying Whether You Have A Personal Contract Purchase PCP Agreement With Vauxhall
Personal contract purchase is one of a few finance options offered by car dealers. You can use PCP finance to buy new and used cars, and more than 80% of car purchases are financed using this method.
PCP finance deals typically have a deposit or upfront payment, and sometimes, the dealer adds to this with free insurance products to attract customers to their finance offers. This is followed by an agreed amount of monthly payments with a lump sum figure at the end, often called a balloon payment. You then own the car outright or you can return it and start the whole process again on a new car.
A PCP finance agreement is entirely different from hire purchase and personal contract hire (PCH). It is the most popular loan because it allows for significant depreciation in the car value in the first two or three years.
Are you unsure about your finance agreement? Read on or get in touch with us today. We’ll connect you with a law firm that works on a No-Win, No-Fee basis, so it won’t cost you anything to check your PCP finance agreement and see if there was a hidden discretionary commission arrangement.
How To Find Out If You Are Eligible For Compensation On Mis-Sold Vauxhall Finance
How Wide Is Mis-Selling On Vauxhall Car Finance Contracts?
Before 2021, car dealers on all types of new cars, not just Vauxhalls, hid discretionary commission arrangements from customers. Essentially, the monthly repayments were inflated on a range of Vauxhall vehicles, whether you were buying a new Astra sports tourer or a Vauxhall Vivaro van.
In line with other car dealerships, Vauxhall did not disclose the inducement of higher commission from the finance provider in return for imposing a higher interest rate on the agreement. So, customers paid over the odds without knowing a thing.
After the Financial Ombudsman Service decided in favour of a consumer on a case it looked at back in January 2024, and the FCA decided to launch its own investigation. In the test case, Barclays Partner Finance provided the finance, but many other companies are in the frame, including Stellantis Financial Services, Black Horse, and Santander. Motor manufacturers either chose to partner with a third-party company like these or had their own internal brand financing. Vauxhall did both, arranging agreements with Vauxhall Finance or Stellantis Financial Services.
Now very much in the news, there has been an avalanche of complaints from customers on historic vehicle financing. If you are a Vauxhall customer and with a current or old PCP agreement on a Vauxhall vehicle taken out before 28 January 2021, then you may be entitled to compensation from the finance company for PCP mis-selling.
How Much Compensation Could I Get?
PCP agreements with discretionary commission arrangements cost more than they should have done, with thousands of customers paying more money each month on inflated interest rates. Industry experts predict that the FCA will authorise settlements of the difference between the interest rate prevailing on the agreement and a lower rate which you could have been charged if there was no DCA.
Customers with high value vehicles, long agreements or more than one account, could be in line for thousands of pounds in compensation. There are some examples already seen by the FOS where customers were charged an interest rate nearly double the one they should have paid. Any interest refund will also attract interest at the statutory rate of 8%, dating back to when you made the overpayment.
Start A Vauxhall PCP Car Finance Claim Today
Even though the FCA is still conducting its review, if you think you are a victim of the motor commission mis-selling scandal, then you can register your claim now. The FCA has extended the deadline for companies to respond to December 2025, so you may not receive more than an acknowledgement of your potential claim at this stage. However, whichever finance provider your agreement was with should be able to confirm whether there was a DCA in place.
Did you know that the average compensation award for mis-sold car finance claims, is £1,600 with some higher awards in excess of £3,000? It’s certainly worth checking out your PCP finance agreement now.
Start a free claim with our expert solicitors. That’s right, our service is completely free of charge and we only take a fee if you are successful and win compensation.
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Why Use Us?
- Fast results – We work with only the best PCP claim solicitors in the country, who all prioritise your time and compensation above all else.
- No upfront risk – You don’t pay a penny for legal services unless you win, and only then will a small % of your compensation be deducted for their work.
- Industry leaders – When you work with us, you work with claim experts who have connections to leading PCP claim solicitors.
Vauxhall PCP Claim FAQs
Our most common PCP claim questions about Vauxhall are answered for you below.
No, it isn't, although it's best not to hang around as companies are receiving a deluge of complaints. Remember, over 80% of new car purchases are financed using a PCP agreement, so that's potentially thousands of customers. The FCA has actually extended the time it needs to investigate this and won't report until May 2025 with finance providers not required to give a response to customers or pay compensation until December 2025. However, you should act without delay, contact your finance provider and lodge a complaint so you can discover whether there was a DCA in place on the finance for your new car.
No, the FCA investigation is only concerned with PCP agreements, so it doesn't include Personal Contract Hire (PCH) or other options like different types of leasing arrangement.