Your Guide to PCP Compensation Claims

You can begin your claim for being mis-sold on your PCP car finance agreement using our free online checker to see if you are eligible. The checker will ask a few quick questions to see if you meet the criteria. We will let you know if you qualify, providing an answer in minutes without requiring you to speak with a member of our team.

To proceed with a claim, you can continue through our online system to provide more information about your agreements and any necessary documents, including identification and a signed letter of authority. Our experts will assess your claim and notify you if any additional information is required from you. We will contact your lender(s) and negotiate a compensation settlement that accurately reflects the damage caused by the mis-selling.

We will keep you updated on your claim at every step.

An investigation by the Financial Conduct Authority (FCA) has found that car finance lenders mis-sold customers when selling vehicles on finance plans. Lenders have charged customers with unfair commission fees (particularly due to discretionary commission arrangements, which are now banned) and excessive fees.

This type of claim is to right the wrongs of being mis-sold car finance on a PCP or HP agreement. You are a victim of mis-selling if your agreement is deemed to have been unfair or excessive. Dealers should clearly explain the financial agreement, including fees and terms and conditions, before you sign it.

Several factors influence whether someone can make a claim. To make a compensation claim with PCP Claim UK, you must have purchased the car under a finance agreement. Claims can be made on both PCP and Hire Purchase agreements. The vehicle must be your own, not a company car. You must be a UK resident and have bought the vehicle between 1 April 2007 and 1 November 2024.

If you meet the above criteria, the next step is to assess whether you were mis-sold car finance. We will work with you to identify whether there is sufficient evidence that you are a victim of mis-selling. Examples of mis-selling include unfair or excessive commission arrangements.

The FCA confirmed a consumer redress scheme in March 2026. Under this scheme, there is a short implementation period to help lenders prepare. The period is up to 30 June 2026 for agreements taken out after 1 April 2014 and up to 31 August 2026 for agreements taken out earlier. Claimants should be told by their lender within 3 months of the end of the implementation period whether they’re owed compensation and how much. The claimant will then have 1 month to accept or challenge an offer. After an offer has been accepted, lenders should deliver the payout within 1 month. Consumers who haven’t complained should be contacted by their lender within 6 months of the end of the implementation period if they are eligible for compensation.