Many unaware customers have ended up out of pocket due to unfair and unexpected charges like undisclosed commissions put on their car finances. Don’t let yourself become one of them; find out if you can make a mis-sold car finance claim today.

Who Are Close Brothers Motor Finance?

Close Brothers Motor Finance is a finance company that provides motor-based loans and finance deals to individuals and businesses. Established in 1988, the company has over three decades of experience in the industry.

They offer a range of finance options to suit various circumstances, including hire purchase agreements, personal loans, and refinancing options. 

What Is a Mis-Sold Car Finance Claim?

Car finance is a popular option for those who want to buy a new or used vehicle but cannot afford to pay the full amount upfront. Although car finance has advantages, there have been cases of mis-selling practices by some finance providers, including Close Brothers Motor Finance.

In recent years, there has been a growing number of individuals seeking compensation for mis-sold car finance agreements. These types of claims arise when individuals were not provided with the necessary information regarding the car finance agreement they entered, or where they were misled into believing that the agreement was more favourable to them than it was.

The most common mis-sold car finance agreements are Hire Purchase (HP) and Personal Contract Purchase (PCP) agreements. Under these types of agreements, individuals rent the car from the dealer and make regular monthly payments until the agreed term is complete.

At the end of the term, the individual can buy the car outright for a lump sum payment or trade it in for a newer model under a new agreement.

The issue with these agreements is that dealers can often be less than forthcoming with all the details, resulting in the individual paying more than they need to. For instance, dealers may fail to fully disclose additional costs, such as interest rates, fees, and charges, resulting in individuals paying more than they bargained for.

Additionally, there may be hidden clauses within the contract that can result in further costs, such as penalties for missing payments, early termination fees, and excess mileage fees.

How Could Close Brothers Motor Finance Have Mis-Sold My Car Finance Agreement?

Mis-sold car finance by Close Brothers Motor Finance can take various forms. One of the most common practices is the mis-selling of PCP deals. PCP is a kind of car finance that consists of a deposit, monthly payments, and a final balloon payment. The balloon payment is a lump sum owed at the end of the agreement period that is higher than the monthly payments.

Close Brothers Motor Finance mis-sold PCP claims involve misrepresenting or withholding key information about the deal, such as the total cost of the agreement, the annual percentage rate (APR), and the balloon payment. Customers may have been given an unaffordable PCP deal, leaving them with a large financial burden at the end of the agreement period.

Another common mis-selling practice is undisclosed commission. In some cases, brokers and dealers who introduced customers to Close Brothers Motor Finance were given undisclosed commission payments that were not disclosed to the customer.

This potentially created a conflict of interest, as brokers and dealers were incentivised to sell more expensive finance products rather than providing the best finance advice for the customer.

Close Brothers Motor Finance undisclosed commission claims can be made by customers who believe they were given an unsuitable car finance product or were misled about the finance product's cost due to brokers' and dealers' undisclosed commissions. Customers may also be entitled to compensation if they believe the undisclosed commission payments have disadvantaged them.

How Much Can I Receive for a Close Brothers Motor Finance PCP Claim?

If you are considering making a Close Brothers Motor Finance undisclosed commission PCP claim, it is important to understand the eligibility criteria and the potential amount you may receive. The amount you could receive will depend on various factors, including the nature and extent of the damages or losses incurred, the terms and conditions of your PCP agreement, and any relevant insurance policies you may have.

It is worth noting that Close Brothers Motor Finance may offer a settlement offer to you as part of the claims process. However, it is important to ensure that any settlement offer is fair and reasonable and takes into account the full extent of your losses and damages.

How Can I Start My Car Finance Claim against Close Brothers Motor Finance?

If you have been a victim of mis-sold car finance by Close Brothers Motor Finance in your car financing agreement, you may be entitled to file a claim against them. The first step to take is to seek the assistance of experienced lawyers who specialize in consumer rights and financial law.

To initiate your claim against Close Brothers Motor Finance, you must collect all the relevant documents and evidence, such as your finance agreement, repayment schedule, and any correspondence with the company. It is important to have a clear understanding of your rights as a consumer and what the law requires of companies like Close Brothers Motor Finance in their dealings with customers.

We can advise you on your legal options, including filing a complaint with the Financial Ombudsman Service or pursuing legal action in court. Our panel can also negotiate with Close Brothers Motor Finance on your behalf to seek a fair settlement or compensation for any harm or losses you have suffered because of their actions.