Lender PCP and Car Finance Claims

Yes. If you took out a PCP agreement between April 2007 and January 2021 and weren’t told about any commission the dealer might receive for arranging the finance, or believe there are other charges you were unaware of, you may have a claim.

Even if you're unsure about the details, complete our quick and free Claim Checker form to see if you’re eligible.

A Discretionary Commission Arrangement (DCA) is a type of commission structure where the finance provider/lender pays the car dealer or broker a fee based on the interest rate paid in a Personal Contract Purchase (PCP) or Hire Purchase (HP) car finance agreement.

Car dealers and brokers had the ability to control the interest rates on the car finance they sold.  This meant that some customers may have paid higher fees than necessary without realising.

In January 2021 the Financial Conduct Authority (FCA) banned DCAs due to unfair and misleading practices.

We make the process as simple and stress-free as possible. Here’s how it works:

Step 1 – Checking your eligibility to make a PCP claim

Complete our free online Claim Checker form where we’ll gather key details about your possible claim. We can then check whether your agreement meets the criteria for a PCP mis-selling claim.

Step 2 – Registering your PCP claim

Once we’ve confirmed you’re eligible, we’ll take it from there. Members of our specialist legal panel will prepare and submit your claim on your behalf, making sure all of the relevant information and claim details are provided.

Step 3 – Proactively managing your PCP claim

Our specialist legal panel will deal with all aspects of your PCP mis-selling claim, including calculating how much compensation you may be owed to negotiating directly with the finance company or lender or, if needed, escalating the case to the Financial Ombudsman Service (FOS) or legal channels.

Step 4 – Getting the compensation you deserve

As your PCP claim progresses, you’ll be kept informed throughout, and at the end of the process, you’ll receive the compensation you’re entitled to.

All claims are made on a no-win, no-fee basis, meaning there's no upfront cost to you. If your claim is successful, your solicitor may take a success fee, which is usually a percentage of the overall compensation recovered. If your claim is unsuccessful, you pay nothing.

The fees listed below are exclusive of VAT and will be subject to VAT at the prevailing rate.

These fees are in line with the FCA guidelines on compensation refunds of up to £49,999.

Premier Legal Assist acts on a no-win, no-fee basis, with no administration charges or hidden fees payable. Our Charging rates are set in bands depending upon the amount of redress or refund you receive. 

If one of our panel of solicitors takes on your case, they will explain the possible timescales of your claim. Timelines vary depending on how the finance company or lender responds and whether the complaint needs to go to the Financial Ombudsman Service (FOS). 

Compensation values vary from case to case; your solicitor will explain this to you in full if they take on your case. Compensation usually reflects the extra money you paid due to an undisclosed or unfair commission.

Following a recent Supreme Court ruling, claims are currently paused while the FCA assesses the potential introduction of a redress scheme. It has been indicated by the FCA that average compensation payments are likely to be below £950 per agreement.

Yes, you can. If you had more than one PCP or Hire Purchase agreement, you may be able to make separate claims for each one.

You don't need to have all the original paperwork to make a claim. If you know the lender's name, the date when the agreement was taken out, and the vehicle details, we can usually retrieve the rest. The more information you have, then usually the quicker your claim can be processed.

Yes. The claim focuses on the lender, not the dealership. Even if the dealer is no longer trading, you can still make a PCP compensation claim if the lender was responsible for the finance agreement.

Yes, absolutely. You can still claim even if you no longer have the car or the agreement has been paid off. As long as the finance was arranged between April 2007 and January 2021, you could be eligible to claim.

Both PCP (Personal Contract Purchase) and HP (Hire Purchase) are types of car finance; the key difference is what happens at the end of the agreement, namely whether you pay for the whole car (HP) or just the depreciation value with a balloon payment at the end of the term (PCP), but both could involve unfair or hidden commissions. 

We specialise in mis-sold finance claims and are working with consumers looking for redress from major lenders. We make the process clear and simple, all on a no-win, no-fee basis. With our expert team handling everything, you can focus on what matters while they fight your corner to recover the compensation you’re owed.

Premier Legal Assist is a claims management company. You do not need to use a claims management company to make your complaint. You can do this directly. If your complaint is unsuccessful, you can refer it to the Financial Ombudsman Service for free.

The Financial Conduct Authority (FCA) is the UK’s independent regulator for financial services institutions, including banks, lenders, insurers, and investment firms. Its main role is to make sure that consumers are treated fairly, markets operate with integrity, and businesses are held to high standards of transparency and accountability.

The FCA took a significant step in 2021 by banning discretionary commission arrangements (DCAs), which allowed car dealers to increase the interest rate on finance deals in return for higher commissions. 

The Financial Ombudsman Service (FOS) is an independent and impartial body set up to settle disputes between consumers and financial firms when a complaint cannot be resolved directly. It provides a free service to the public and has legal powers to investigate and issue binding decisions.

If you submit a PCP mis-selling complaint to the lender/finance company and they reject it, delay unreasonably, or offer an unsatisfactory outcome, the FOS can step in to review your case independently. They will consider whether the lender acted fairly and in line with FCA rules and industry standards.