PCP Finance Mis Selling FAQ's

The lender has an obligation to inform you what is involved in their car finance deal and what it can and can’t do, so that you are paying for a deal that suits you and what you were looking for. If they haven’t done this then you may be eligible for compensation.
What is PCP?

Personal Contract Purchase (PCP) is effectively a personal loan which allows drivers to spread the payments for a vehicle over a long period, typically two or three years.

However, unlike a normal personal loan, you won’t be paying off the full value of the car and you won’t necessarily own it at the end of the dea, unless you choose to pay the final balloon payment.

PCP is one of the more complex financial products available to help you buy a car, but it can be broken down into three main parts: the deposit, the amount you borrow and the balloon payment.

How do i make the PCP claim process as quick as possible?
Why do dealers offer PCP finance?
What if i don't have the paperwork to make a PCP claim?
Can i still make a PCP claim without my paperwork?
Why is the PCP mis-selling scandal only now coming to light?
How is the deposit calculated?

Dealers offering PCP finance will typically want around 10% of the value of the car as a deposit. Customers pay a deposit on the car they want and then make monthly repayments until the end of the term.

How much will i have to borrow?
What happens at the end of the contract?
What happens if my PCP claim is rejected?
How much money could i be entitled to?
Will the broker who sold me the deal be prosecuted?


Maybe the financial company were misleading about the extra costs involved in your contract or how risky the deal would be - you can make a claim against these kinds of situations. If you were aware of the disadvantages or risks of a deal because your lender told you before the purchase, then you won’t be compensated.


It only takes a few minutes to begin the check to acertain if you have been mis-sold PCP

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