PCP Car Finance Claims: Complete Guide to Claiming Compensation

When you signed that PCP car finance agreement back in 2017, did anyone explain that the dealer sitting across from you could adjust your interest rate to earn more money? Did they mention they had discretion to set your APR anywhere from 7% to 12%, and they'd personally profit more by choosing the higher number?

If you're thinking "absolutely not, nobody said anything like that," you're in good company. Millions of UK consumers who used PCP car finance between 2007 and 2021 had no idea these arrangements existed. And now they're discovering they can claim compensation for it.

What Are PCP Car Finance Claims?

Let's start by being really clear about what we're talking about here, because the terminology can get confusing when you're researching this stuff online.

Here's what actually happened across the UK car finance industry: PCP (Personal Contract Purchase) became the dominant way to finance a car from roughly 2007 onwards. Dealers loved it—lower monthly payments made expensive cars feel affordable, which helped them sell more vehicles. You probably loved it too—suddenly that Audi or BMW seemed within reach.

But there was something happening behind the scenes that nobody bothered explaining to you. When the dealer "sorted your finance," they weren't just arranging a loan. They were acting as a credit broker with discretionary power over your interest rate. The lender (Black Horse, Close Brothers, Santander—whoever it was) gave them a range of acceptable rates, and the dealer chose where to place you within that range.

Here's the part that makes this mis-selling: the dealer earned higher commission by choosing higher rates. Your 9.9% PCP could've been 7.9%. The difference went into the dealer's pocket as commission. And you were never told this arrangement existed.

The Financial Conduct Authority eventually banned these Discretionary Commission Arrangements in January 2021, and the Supreme Court ruled in August 2025 that they created "unfair relationships" under consumer law. That Supreme Court ruling is why PCP car finance claims are succeeding now—the highest court in the UK validated what consumers suspected: this system was fundamentally unfair.

Why PCP Car Finance Was Particularly Affected

You might be wondering: why does PCP get so much attention in the car finance claims scandal? Why not just "car finance claims" generally? Let me explain, because understanding this helps you see why your PCP specifically is worth investigating.

PCP Was Everywhere

Between 2007 and 2021, PCP absolutely dominated new car sales in the UK. Industry estimates suggest 70-80% of new cars and 50-60% of used cars were financed through PCP during the peak years (2015-2019). This wasn't a niche product—this was how most people bought cars.

Why dealers pushed PCP so hard: Those lower monthly payments. A £30,000 car that would cost you £600/month on a traditional loan? On PCP, maybe £350/month. Suddenly it felt affordable. You could "afford" a nicer car than you'd originally planned. Dealers knew this psychology and used it.

But here's what they also knew: PCP commission structures were lucrative. The combination of longer agreements (spreading depreciation), balloon payments (keeping loan values high), and discretionary rates meant substantial commission opportunities. A dealer might earn £800-1,500 on a single PCP deal through undisclosed rate manipulation.

The Perfect Storm for Hidden Commission

PCP's structure made commission easier to hide than on simpler finance products. Let me show you why:

PCP math is complex - You've got your deposit, your monthly payments, your balloon payment, your mileage limits, your early settlement figures. All these numbers make it harder for you to assess whether the interest rate is fair. On a simple Hire Purchase loan, you can more easily compare APRs. On PCP, all the moving parts obscure the rate.

The affordability illusion - Because PCP monthly payments are lower (you're not paying off the full car value), even inflated interest rates could feel affordable. Your dealer set you at 10.5% APR when you qualified for 8%, but at £320/month it still seemed manageable. You didn't realize you were overpaying because the absolute pound amount felt okay.

The upgrade treadmill - PCP was designed for people who want to change cars every 3-4 years. Hand back your car, get into a new PCP deal, repeat. Dealers loved this because it meant repeat commission opportunities. Each time you upgraded, they earned commission again—and you probably never questioned whether you were getting fair rates because "this is just how it works."

Multiple agreements = multiple hidden charges - If you had three PCP deals between 2007-2021 (say, 2014, 2017, and 2020), that's three separate instances of potentially inflated rates. Each one compounds. You could've overpaid £700 on the first, £850 on the second, £600 on the third. That's £2,150 in total overpayments you never knew about.

How PCP Commission Structures Worked

Let me walk you through exactly how dealers earned commission on your PCP car finance, because understanding this system helps you realize why your claim is legitimate.

Behind the Scenes at Your PCP Sale

You're in the dealership, you've found the car you want, and now you're talking numbers. The salesperson says "let me see what I can do on finance." They disappear for 10-15 minutes. You're waiting, maybe looking at brochures, wondering if you'll be approved.

Here's what's actually happening in that back office:

The dealer submits your details to their finance partners—let's say Close Brothers and Black Horse. Within minutes, they get responses. Black Horse comes back with: "We'll approve at rates between 7.5% and 11.5% depending on term and deposit." Close Brothers says: "We'll do 8% to 12%."

Now the dealer has choices. They could give you 7.5% from Black Horse—low commission for them, best deal for you. Or they could put you with Close Brothers at 11% —much higher commission for them, worse deal for you.

What determines their choice? Not your best interests. Their commission structure. Close Brothers at 11% might earn them £1,200. Black Horse at 7.5% might earn them £600. Which do you think they chose?

The dealer comes back to you: "Great news! You're approved for the PCP. Rate is 10.5%, monthly payments will be £340." You're thrilled to be approved, £340 seems manageable, you trust the dealer, you sign. You have no idea they had discretion to give you 7.5% instead, and no idea they just earned an extra £600 by not doing so.

This is what happened across thousands of dealerships, millions of times.

The Commission Calculation

Let me show you the actual math of how dealers earned money from your PCP car finance:

Simple commission structure (some lenders):

• Base commission: £300 flat fee for arranging finance
• Discretionary bonus: £50 for every 0.5% above minimum rate
• Your rate: 10% APR (minimum was 7%)
• Dealer's total: £300 + (£50 × 6) = £600

Percentage-based structure (more common):

• Commission: 1.5% of total interest paid over agreement
• Your PCP: £20,000 at 11% APR over 4 years
• Total interest paid: ~£4,800
• Dealer's commission: £4,800 × 1.5% = £720

Tiered structure (most lucrative):

• 0.8% commission on rates 7-9%
• 1.5% commission on rates 9.1-11%
• 2% commission on rates 11.1%+
• Incentive to push you into higher tiers

Your dealer knew these structures. You didn't. That information asymmetry is why the Supreme Court ruled these arrangements were unfair.

Can You Claim PCP Car Finance Compensation?

Right, let's figure out if you're eligible. I'm going to walk through the qualifying factors, and more importantly, explain why each one matters so you can honestly assess your own situation.

The Core Eligibility Question

The fundamental test isn't complicated: Were you properly told that your dealer had discretion over your PCP interest rate and would earn more commission by setting it higher?

For the vast majority of PCP car finance customers between 2007-2021, the answer is no. At most, you might have seen a vague line in documents saying "we may receive commission for introducing you to finance." But were you told the amount varied based on your rate? Were you told dealers earned more by charging you more? That specific conflict of interest—that's what needed disclosing and almost never was.

Your Eligibility Checklist

Let me walk through each qualifying factor:

You had PCP (Personal Contract Purchase) finance - This is obviously fundamental, but here's what PCP actually means: you made monthly payments, you had a final balloon payment option, you could hand the car back instead of paying that balloon payment. If your agreement had those features, it was PCP. Check old paperwork or bank statements—"PCP" or "Personal Contract Purchase" should appear somewhere.

Between 2007 and 2021 - This is the DCA period. Before 2007, discretionary commission wasn't as widespread. After January 2021, DCAs were banned. Your PCP needs to have started within this window. Even if you finished paying in 2023, if the agreement started in 2019, you're eligible.

A dealer arranged your PCP car finance - This means you didn't independently apply to a bank and then use that money to buy a car. The dealer "sorted the finance" for you, which meant they were acting as a credit broker. They submitted your application to lenders, got you approved, and arranged the PCP agreement. Even if the paperwork said "Black Horse Finance," if the dealer arranged it, they were the broker earning commission.

You bought from a dealership, not privately - Private sales don't involve dealer commissions because there's no dealer. This applies to purchases from car dealerships, car supermarkets, manufacturer-approved used car sites—anywhere with salespeople arranging finance.

Commission wasn't properly disclosed - Think carefully about what you were actually told. Some dealers mentioned "we receive a fee" in passing. But were you told the fee amount depended on your interest rate? Were you told they had a range to choose from? Were you told they'd earn more by giving you a higher rate? That's the informed consent that was required but rarely obtained.

Common PCP Car Finance Claim Scenarios

Let me describe some typical situations where claims succeed. See if any match your experience:

The "manufacturer finance" misunderstanding - You thought you were getting BMW Finance, Volkswagen Finance, or Audi Finance directly from the manufacturer. The branding made it seem official. But often, these "manufacturer finance" deals were actually underwritten by lenders like Black Horse or Close Brothers, with your dealer still acting as broker and earning discretionary commission. The manufacturer name made you trust the deal, but the same commission issues applied.

The "I'll get you approved" scenario - Maybe you were worried about your credit. The dealer said "don't worry, I've got great relationships with lenders, I'll get you sorted." They positioned themselves as helpful, working on your behalf. In reality, they were choosing which lender to place you with based partially on which paid them better commission.

The "these are great rates" claim - Dealer assured you the PCP car finance rates were competitive, market-leading, excellent value. You believed them because why wouldn't you? You didn't know they had discretion over the rate and could've given you lower. Their "great rate" of 9.9% might've been great for their commission, less great for your wallet.

The "let me make some calls" theatre - Dealer went to "negotiate" with lenders, came back saying they'd "worked hard" to get you approved. Made it seem like they'd battled on your behalf. In reality, they'd received pre-approved rate ranges instantly and were choosing the highest rates within those ranges to maximize commission.

If any of these scenarios feel familiar, your PCP car finance claim is probably valid.

How Much PCP Car Finance Compensation?

Let's talk realistically about money—what you could actually receive in PCP car finance compensation, and what determines the amount.

The FCA's industry-wide average estimate is approximately £700 per agreement. I need to explain what this figure actually represents: it's a statistical average across all motor finance types, all lenders, all circumstances. It's a useful ballpark, but it's not a promise, a minimum, or a target for your specific case.

Your PCP car finance compensation will be calculated based on your individual overpayment. Let me show you how this works:

The Calculation That Matters

The rate you paid minus the rate you should've received - This is the foundation of your claim. Your dealer set you at 10% APR. Someone with your credit profile would typically qualify for 8% APR. That 2% difference is what you're claiming for.

On a £20,000 PCP over 4 years:

• At 10%: You pay approximately £5,100 total interest
• At 8%: You'd pay approximately £4,200 total interest
• Overpayment: £900

That £900 is your base compensation. But we're not done yet.

Statutory interest gets added - Any money you overpaid earns 8% interest per year from when you paid it until when it's returned. If you made those overpayments in 2017-2021, and you're claiming in 2025, that's roughly 4-8 years of statutory interest. On £900, that could add another £180-250.

Your potential compensation: £1,080-1,150 in this scenario.

What Makes PCP Claims Higher or Lower?

Higher PCP car finance compensation when:

You had a long agreement - PCP terms ranged from 2 to 5 years typically. Longer terms mean more monthly overpayments. That 2% rate inflation on a 5-year PCP (60 payments) costs you significantly more than on a 2-year PCP (24 payments).

Your PCP was for a premium vehicle - An inflated rate on a £35,000 Range Rover PCP has bigger financial impact than on a £12,000 Fiesta. The percentage overpayment is the same, but the absolute pound amount is much larger on expensive cars.

Rate inflation was significant - If your dealer really maximized their commission by putting you at 11.5% when you qualified for 7.5%, that's 4% inflation. Much more impactful than 1% inflation, and compensation reflects this.

You had multiple PCP deals - This is where compensation really multiplies. Three PCP agreements between 2007-2021? That's three separate claims. £700 each = £2,100 total potential compensation.

Lower PCP car finance compensation when:

Short agreement term - A 2-year PCP means only 24 monthly overpayments. Still worth claiming, but the total is naturally less than someone who overpaid for 48 months.

Small finance amount - PCP on a £8,000 used car will have less excess interest than PCP on a £25,000 car, purely due to the principal amount.

Minimal rate inflation - If investigation reveals the dealer only inflated your rate by 0.5%, your overpayment is correspondingly smaller.

Partial disclosure occurred - Some dealers did mention commission, just not adequately. If there was some disclosure (even if inadequate), compensation might be reduced to reflect this.

Illustrative Example: How PCP Compensation Is Calculated

Here's a hypothetical scenario showing how compensation might be calculated:

Hypothetical PCP Agreement:

• Vehicle value: £22,000
• PCP term: 4 years (48 months)
• Rate paid: 11.2% APR
• Monthly payment: £285
• Balloon payment: £8,500

If investigation revealed:

• Dealer had discretion to offer 7.5%-12.5%
• A fair rate based on credit profile would have been 8.5%
• Rate inflation of 2.7%

Potential compensation calculation:

• Excess interest paid: ~£950
• Statutory interest (4 years at 8%): ~£240
• Potential total: ~£1,190

This is illustrative only—actual compensation depends on your specific agreement, interest rate, and circumstances. The FCA estimates the industry average at around £700 per agreement.

The PCP Commission Problem Explained

Let me explain what made PCP car finance commission structures so problematic, because understanding the issue helps you appreciate why your claim is legitimate—not some opportunistic money grab.

The Conflict of Interest

Think about any other situation where someone advises you while earning more money by recommending more expensive options. A financial advisor who earns bigger commission by putting you in expensive funds? That has to be disclosed, and they have to justify why it's in your best interest. An estate agent who could earn more by inflating the price? That conflict has to be managed.

With PCP car finance, dealers were in exactly that position—they could earn more by charging you more—but the disclosure almost never happened. You walked into the dealership thinking "the salesperson works for the dealership, they want to sell me a car." You didn't realize "they also work as a credit broker, and they'll earn more money from my finance if they inflate my rate."

That information asymmetry is the problem. You couldn't make an informed decision because you didn't know the dealer's financial incentives. You thought they were helping you. They were helping themselves.

Why Dealers Didn't Disclose

I want to be fair here: most dealers weren't twirling mustaches thinking "I'm going to rip this person off." They were following industry-standard practices that had developed over years and become normalized.

The industry culture was: "This is how we've always done it. Everyone does it. Customers don't need to know the details—they just want their car." Commission became so standard that dealers genuinely didn't think there was anything wrong with not disclosing it.

The training and incentives were: Sales managers taught new salespeople how to "present finance options" without mentioning commission. Dealer groups had targets for finance penetration rates. Manufacturer bonuses rewarded dealerships for hitting finance volumes. The entire system pushed dealers toward maximizing finance sales and commission—disclosure wasn't part of that system.

But here's what regulators eventually realized: just because something is industry-standard doesn't make it legal or fair. When the FCA investigated and the Supreme Court examined PCP car finance practices, they concluded: this normalized behavior was actually creating unfair relationships with consumers. Industry practice doesn't override consumer protection law.

The Supreme Court's View

When the Supreme Court looked at PCP car finance commission arrangements in 2025, they focused on a key question: Could consumers give informed consent to these arrangements if they didn't understand them?

Their answer: No. Informed consent requires understanding. If you didn't know dealers had discretion over your rate, you couldn't consent to them exercising that discretion. If you didn't know they'd earn more by charging you more, you couldn't consent to that conflict of interest.

This wasn't about whether dealers mentioned "commission" somewhere in 20 pages of documents. It was about whether you genuinely understood the arrangement you were entering—the rate-setting discretion, the variable commission, the conflict of interest. For most PCP car finance customers, that understanding never occurred.

How to Make a PCP Car Finance Claim

You've read this far, you understand the issue, you think your PCP was affected. Now you're probably wondering: what do I actually need to do?

Let me walk you through both routes available to you, because I want you to make an informed choice about how to proceed.

Gathering Your Information First

Before you can claim (either route), you need some basic information. Don't panic—this is simpler than you think:

What actually helps:

• What car did you have on PCP? (Make and model is fine, or registration if you remember)
• Roughly when did your PCP start? (2017? 2019? Year is sufficient)
• Do you remember who the finance company was? (If not, we can find out from bank statements)

That's genuinely enough to start. I know you're probably thinking "but what about my agreement documents, my credit check, my commission disclosure forms?" Your lender has all of that on file. Finance companies keep records for years—they're legally required to. The claims process involves requesting those records from them.

Many people don't claim because they think "I've lost all my paperwork so I can't prove anything." But you don't need to prove it—the lender has the proof in their own files. They just need enough information to find your account in their system, and vehicle details plus approximate dates achieve that.

Route 1: Claim Yourself (Free)

You have the absolute right to make a PCP car finance claim directly to your lender at zero cost. This is your legal right under UK consumer protection law, and thousands of people successfully claim this way.

What you'd need to do: Write to your PCP lender explaining you're making a claim for undisclosed commission arrangements. Reference Discretionary Commission Arrangements (DCAs), cite the Supreme Court ruling from August 2025, request information about dealer commission under data protection law, and ask for compensation reflecting your overpayment.

Your lender has 8 weeks to investigate and respond. They'll review your PCP agreement, check commission records, assess what disclosure occurred, calculate your overpayment, and either uphold your claim (offering compensation), reject it (with reasons), or make a partial offer.

If they reject your claim or you're unhappy with their offer, you can escalate to the Financial Ombudsman Service for free. The Ombudsman investigates independently and makes binding decisions on lenders.

Why people choose this route: You keep 100% of any compensation. No fees, no deductions. If you recover £1,000, that full £1,000 is yours.

What's involved: Multiple rounds of correspondence spread over 3-4 months, understanding legal frameworks, interpreting lender responses, calculating appropriate compensation, negotiating settlement amounts, potentially navigating Ombudsman processes. Doable if you're confident with formal complaints, but it requires time and persistence.

Route 2: Professional Claims Management (No Win, No Fee)

Our service handles everything I just described, but with years of experience knowing exactly what each lender needs and how to maximize your PCP car finance compensation.

What we do: Check your PCP eligibility (free), verify your lender and agreement details, request full documentation under data protection law, prepare a professionally-argued claim citing relevant precedents, submit to your lender, handle all correspondence, negotiate settlement amounts based on experience with hundreds of similar cases, and escalate to the Financial Ombudsman if needed.

What you do: Provide basic information (5 minutes), answer a few follow-up questions, then wait for updates. We handle everything else—you don't chase lenders, decode legal jargon, or spend time on complaints.

Our fee: Nothing upfront. Nothing if we don't recover compensation. 30% + VAT only on successful claims. If we recover £1,000 for your PCP car finance claim, you receive £700, we receive £300. Simple, transparent.

Why people choose this route: Time saved, expertise applied, higher success rates through professional handling, stress removed, negotiation from experience. The 30% fee is worth it if you value your time or lack confidence navigating financial complaints.

Neither route is wrong. If you're comfortable handling formal complaints and have time, claiming yourself keeps more money. If you'd rather professional handling while you focus on work and life, our service removes the hassle. It's genuinely your choice—we're not pushing you either way.

What Happens After You Claim

Regardless of which route you choose, here's the typical journey your PCP car finance claim takes:

Weeks 1-2: Claim submitted, lender acknowledges and opens investigation. Behind the scenes, they're pulling your PCP agreement from archives and reviewing commission records.

Weeks 3-10: Lender assessment. They're checking what rate you had, what discretion the dealer had, what commission was paid, what disclosure occurred. The 8-week response time feels long when you're waiting, but this investigation is actually happening.

Weeks 11-14: If upheld, you might negotiate the amount. If rejected, you decide whether to accept that or escalate to the Ombudsman. If you accept an offer, the lender processes settlement.

Weeks 15-20: Payment arrives in your account (direct claim) or is forwarded after fee deduction (if using our service).

Most PCP car finance claims resolve within 3-5 months for straightforward cases. Ombudsman escalations add 6-8 months but often result in better outcomes.

PCP vs Other Car Finance Claims

You might be wondering how PCP car finance claims differ from general car finance claims, or claims on other finance types like HP. Let me clarify this:

PCP car finance claims are a subset of car finance claims. They're all part of the same hidden commission scandal, but there are some nuances worth understanding.

What's the Same Across All Car Finance Types

The fundamental issue is identical whether you had PCP, Hire Purchase, or a personal loan arranged by a dealer:

Discretionary Commission Arrangements existed - Dealers had power to adjust interest rates across all finance types during 2007-2021. It wasn't unique to PCP.

Commission wasn't disclosed properly - Whether your undisclosed commission was on PCP, HP, or a loan, the lack of disclosure is equally problematic.

Same legal framework applies - Consumer Credit Act 1974, Supreme Court precedent, FCA redress scheme—these apply to all motor finance types, not just PCP.

Same claiming process - You make a claim to your lender, they investigate, you might escalate to the Ombudsman. The process doesn't change based on whether your finance was PCP or HP.

What's Different About PCP Claims

The specific differences relate to how PCP agreements are structured and how that affects calculation:

PCP has balloon payments - Your monthly payments were lower because you weren't paying off the full car value. This affects how interest is calculated over the term, which affects compensation calculations. Not better or worse for claims—just different math.

PCP had mileage limits and condition requirements - These factors don't directly affect commission claims (you're claiming about interest rates, not about mileage), but they're part of the PCP structure that made these agreements more complex than HP.

PCP created the upgrade treadmill - The built-in upgrade cycle (hand back car, get new PCP, repeat every 3 years) meant people often had multiple PCP agreements. Multiple agreements = multiple potential claims. This is where PCP compensation can exceed other finance types—not because individual claims are worth more, but because people had more of them.

Comparison: PCP vs HP Claims

| Factor | PCP Car Finance Claims | HP Finance Claims |

|--------|----------------------|-------------------|

| Eligibility period | 2007-2021 (DCA period) | 2007-2021 (DCA period) |

| Commission issue | Hidden discretionary commission | Hidden discretionary commission |

| Legal basis | Consumer Credit Act, Supreme Court | Consumer Credit Act, Supreme Court |

| Calculation | Based on PCP structure | Based on HP structure |

| Typical agreements | Multiple (upgrade cycles) | Fewer (owned cars longer) |

| Average compensation | ~£700 per agreement | ~£700 per agreement |

The key takeaway: Whether you had PCP or HP, if commission wasn't disclosed, you can claim. The calculations differ slightly based on agreement structure, but the underlying issue and legal basis are identical.

Our comprehensive PCP claims guide goes deeper into PCP-specific details if you want more depth.

Common PCP Car Finance Claim Questions

Can I claim if I've finished paying my PCP?

Absolutely yes, and this is one of the most common misconceptions that stops people claiming. Having completed your PCP payments makes zero difference to eligibility.

You're claiming about how the finance was sold—specifically, that commission arrangements weren't disclosed. Whether you finished paying last month or five years ago, if the PCP ran during 2007-2021, you can claim. The mis-selling occurred during the agreement period, and you're entitled to compensation for it regardless of current status.

Think of it this way: if a shop overcharged you in 2018, you don't lose the right to a refund just because you've since spent the product. The overcharging happened, and you're entitled to compensation for it, even years later.

What if I returned the car at the end of my PCP?

Doesn't matter at all. Your PCP car finance claim relates to the finance agreement itself—the interest you paid, the commission arrangements, the lack of disclosure. What happened to the car at the end (returned it, paid the balloon to keep it, or part-exchanged for another car) has zero impact on whether you're owed compensation.

Many people worry "I didn't keep the car, so how can I claim?" But you did keep the finance payments—you paid them monthly for 2-4 years. That's what you're claiming about, not the car itself.

Can I claim on multiple PCP car finance agreements?

Yes, and this is where PCP claims can significantly exceed that £700 average figure. If you had three PCP deals between 2007-2021 (which is actually quite common), you can claim on each one individually.

Each PCP agreement had its own interest rate, its own commission structure, its own overpayments. You don't have to choose which one to claim on—you claim on all of them. The claims are assessed separately, but they can be submitted together. Three claims averaging £700 each = £2,100 total.

How do I know what my PCP interest rate was?

Check old bank statements or emails from when you set up the PCP—the agreement should've stated your APR. If you can't find this, don't worry. Your lender has it on file. When you (or we) submit a claim, the lender pulls your full agreement from their records, and the interest rate is right there in black and white.

Can't find any records at all? We can still proceed. Using your vehicle registration and approximate dates, we can identify your lender and request all documentation under data protection law. The information exists—we just need to retrieve it.

Will claiming affect my current car finance?

No, and this is important to understand: making a compensation claim for historical PCP car finance doesn't affect any current finance agreements you might have, even if they're with the same lender.

Let's say you had Santander PCP in 2017 (which you're claiming for) and you currently have Santander car finance in 2024 on your current car. These are entirely separate agreements. Claiming for the historical mis-selling doesn't impact the current contract, doesn't affect your payment terms, doesn't give the lender any right to change anything about your current finance.

Your current finance and your historical claim are distinct legal matters. The lender cannot penalize you for exercising your legal rights to claim.

What if my PCP lender says no commission was paid?

This would be unusual but not impossible. If your lender genuinely paid no commission to the dealer (perhaps it was a direct sale, or a manufacturer offer with no broker involved), then there's nothing to claim for—you can't be refunded commission that was never paid.

However, this is rare for dealer-arranged PCP between 2007-2021. Commission was industry-standard. If a lender claims no commission was paid, you'd want to see evidence of that, because it goes against typical practice for that period.

More commonly, lenders say "commission was disclosed" rather than "no commission was paid." That's the key battleground—disclosure adequacy—and that's where most claims succeed because disclosure was typically inadequate.

What evidence do I need for a PCP car finance claim?

Good news: you need less than you probably think. At minimum:

• Your name and contact details
• Vehicle make/model or registration
• Approximate dates (year is fine)
• Lender name (if known)

That's enough to start. Everything else—your PCP agreement, disclosure documents, commission records, payment history—the lender has all of this on file. They're legally required to keep records for years.

We (or you, if claiming directly) request this documentation from the lender as part of the claims process. Don't let "I've lost my paperwork" stop you from claiming. The paperwork exists—it's just in the lender's archives, not your filing cabinet.

Making Your PCP Car Finance Claim: Next Steps

You understand PCP car finance claims, you think you're eligible, you're ready to take action. Here's what actually happens next:

Check Eligibility (2 Minutes, Free)

Whether you ultimately claim yourself or use our service, the first step is the same: verify you're actually eligible. No point starting a claims process if you don't meet basic criteria.

Our free eligibility check asks:

• When did you have PCP? (Approximate year)
• What car was it? (Make and model)
• Who was the finance with? (If you remember)
• Did a dealer arrange it? (Yes/no)

We'll tell you immediately:

• Whether you're in the right timeframe (2007-2021)
• If your lender used DCAs during that period
• Realistic assessment of claim strength (strong, moderate, or weak)
• Estimated compensation range based on similar cases (not guaranteed, but informed)

No pressure, no obligation, no cost. If you're not eligible, we'll explain honestly why. If you are eligible but prefer claiming yourself for free, we respect that. Our goal at this stage is just information—help you understand if you have a valid claim.

Our No Win, No Fee Service

If you check eligibility and decide professional handling suits you better, here's what we do for PCP car finance claims specifically:

We verify your PCP details - Request your full agreement from the lender, confirm it was indeed PCP (not HP or another product), verify dates fall within the DCA period, check commission records.

We prepare your claim professionally - Draft comprehensive claim letters citing Consumer Credit Act 1974, reference Supreme Court precedent, present PCP-specific evidence, calculate overpayment based on your agreement terms, and submit to your lender with all appropriate legal framework.

We handle lender correspondence - When lenders respond (or fail to respond on time), we deal with it. You're not chasing them for updates, not decoding their legal jargon, not trying to understand their counter-arguments. We translate everything into plain English and keep you updated.

We negotiate from experience - If they offer £600 and we believe you're owed £950 based on similar PCP car finance cases, we push back with detailed justification. We've negotiated hundreds of PCP settlements and know what's reasonable vs what's lowballing.

We escalate if necessary - If your lender rejects your PCP claim, we don't accept that as final. We escalate to the Financial Ombudsman Service, present your case comprehensively, and argue for why you're entitled to compensation.

You pay nothing unless we win - Our fee is 30% + VAT of compensation recovered, and that fee only applies if we successfully get you money. If we don't recover anything, you owe us nothing. We absorb that risk entirely. Only when compensation arrives do we deduct our fee and forward your 70%.

Why People Choose Professional Handling for PCP Claims

PCP car finance claims are more complex than some other claim types because the agreement structure is more complex. The balloon payment, the depreciation calculations, the option to return the car—these factors affect how compensation is calculated. Having someone who understands PCP-specific mathematics can make a difference in settlement amounts.

Time is valuable - The claims process spans 3-5 months with multiple touchpoints. Many people would rather pay a fee than spend hours over months handling correspondence, researching legal frameworks, and negotiating with finance companies.

Expertise increases success - We know what makes PCP car finance claims succeed because we've submitted thousands. We know which evidence strengthens your case, which arguments resonate with lenders, when to negotiate vs when to escalate. That experience translates to higher success rates and often better settlement amounts.

Stress removal - Some people find the idea of battling a large financial institution stressful, especially if they're not confident with formal complaints. They'd rather pay a fee for professional handling than deal with potential confrontation.

But again: this is your choice. We're not saying you can't claim yourself. You absolutely can, and thousands do successfully. We're explaining why people choose professional help, but we respect whichever route you prefer.

Related Resources

Continue learning about PCP and car finance claims:

• PCP Claims: Complete Guide - Our main pillar guide with 3,800 words covering every aspect of PCP compensation
• Mis-Sold Car Finance Claims - Broader guide to all types of car finance mis-selling beyond just PCP
• Understanding DCAs - Deep dive into how Discretionary Commission Arrangements worked and why they were banned
• Black Horse Finance Claims - If your PCP was with Black Horse (UK's largest motor finance lender)
• Close Brothers Motor Finance Claims - Named in the Supreme Court case that validated PCP claims
• FCA Redress Scheme 2026 - The systematic scheme launching May 2026 and what it means

Understanding our services:

• No Win, No Fee Policy - Complete explanation of how our no win no fee service works
• Our Fee Structure - Full transparency on costs and charges

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PCP car finance claims aren't speculation—they're validated by the Supreme Court and supported by the FCA.

If you had PCP between 2007 and 2021, there's a strong chance you paid more interest than necessary due to hidden discretionary commission arrangements. The only way to know for certain is to check your eligibility.

You're not being greedy. You're exercising legitimate consumer rights. The highest court in the UK examined these PCP commission structures and ruled they were unfair. The FCA investigated and agreed compensation should be paid. Your claim isn't opportunistic—it's justified.