How the Car Finance Claims Process Works

Step 1: Eligibility Check

The process begins with a simple eligibility check. You provide your basic details (name, date of birth, address) and we perform a soft credit check. This type of check:

• Does not appear on your credit file
• Does not affect your credit score
• Can identify motor finance agreements linked to your name
• Shows the lender, approximate dates, and type of agreement

Step 2: Agreement Review

If eligible agreements are found, the details are reviewed to assess the strength of your claim. This includes looking at:

• The lender involved and their commission practices
• The dates of the agreement
• The type of finance (PCP, HP, etc.)
• The estimated amount of overpaid interest

Step 3: Claim Submission

Your claim is submitted to a regulated claims management company or solicitor who will handle the process on your behalf. They will:

• Prepare a formal complaint to the lender
• Request details of any commission arrangements
• Calculate the compensation you may be owed
• Submit the claim through the appropriate channels

Step 4: Lender Response

The lender is required to investigate your complaint and respond within the timeframes set by the FCA. They will either:

• Uphold the complaint and offer compensation
• Partially uphold the complaint
• Reject the complaint with their reasons

Step 5: Resolution

If the lender upholds your complaint, compensation is typically paid directly to you (minus the agreed fee). If the complaint is rejected, your representative can escalate to the Financial Ombudsman Service.

What You Need to Provide

• Your full name and date of birth
• Your current address
• A form of ID (driving licence or passport)
• You do NOT need your original finance agreement

Costs

The service operates on a no win, no fee basis. If your claim is unsuccessful, you pay nothing. If compensation is awarded, a fee (typically up to 30% including VAT) is deducted from the amount recovered.