Questions and Answers: Reclaiming Car Finance

I was influenced by a car finance advert that seemed too good to be true. Can this be mis-selling?

If a car finance advert significantly influenced you into a decision that seems too good to be true, it could be mis-selling. Here's what to consider:

Misleading Car Finance Ads:

Unrealistic promises: Rock-bottom interest rates or overly simplified costs without mentioning the total loan repayment can be misleading.
Omission of key details: Failing to disclose crucial information like the APR, hidden fees, or minimum credit score requirement can be deceptive.
Pressure tactics: Urgency tactics like "limited-time offer" or guaranteed approval, regardless of your creditworthiness, could be misleading.

Your Situation:

Did the ad accurately reflect your experience? Were you offered the advertised rate, or did you receive a higher rate due to your credit score?
Were you pressured into the deal? Did the advisor answer your questions fully or rush you into a decision?
Did you understand the full cost? Were all fees and the total loan repayment explained clearly?

Potential for Mis-Selling:

If the advert's promises significantly differed from your experience, you might have been mis-sold car finance. Here's what you can do:

Review Documents: Carefully examine your car finance agreement and any pre-contractual information you received.
Gather Evidence: Collect the advert (screenshots if online) and any communication with the lender about the advertised offer.
Complain to the Lender: Write a formal complaint to the lender outlining the misleading advertisement and how it influenced your decision.

Claiming Mis-Selling:

Financial Conduct Authority (FCA): Report your concerns about potential mis-selling to the FCA: https://www.fca.org.uk/publications/corporate-documents/our-approach-consumers .
Financial Ombudsman Service (FOS): If the lender doesn't resolve your complaint satisfactorily, you can refer it to the FOS for an independent review. However, you typically have six months from the lender's final response to do so: https://www.financial-ombudsman.org.uk/

Time Limits:

Generally Six Years: There's generally a six-year time limit from when you discovered the mis-selling, or could reasonably have discovered it, to make a claim.

Seeking Legal Advice:

Complex Situations: For complex cases or significant financial losses, consider seeking legal advice from a solicitor specialising in mis-selling claims.

Remember:

Be wary of car finance adverts that seem too good to be true. If the reality significantly differed from what was advertised, and it influenced your decision, you might have been mis-sold. By gathering evidence and complaining to the lender and potentially the FCA or FOS, you might be able to seek compensation. Act promptly and remember the time limits for claiming mis-selling.

2024-05-29 11:08