Do you think you may have been a victim of Volkswagen Financial Services' hidden commission fees on your PCP car finance agreement? If so, it’s important to understand the process to file a claim and ensure you get fair compensation. Find out if you're eligible.

Who Are Volkswagen Financial Services?

Volkswagen Financial Services (VWFS) is a subsidiary of the Volkswagen Group, offering a range of financial products and services to customers looking to purchase Volkswagen Group vehicles. The company provides various financing options, including personal contract purchase (PCP) agreements, hire purchase (HP) agreements, and leasing options. VWFS also offers insurance products, such as motor insurance, gap insurance, and extended warranty options. 

What Is a Mis-Sold Car Finance Claim?

The mis-selling of car finance agreements involves the offering of car finance deals to customers who were unsuitable for them which can be through undisclosed commissions, high-pressure tactics, and other forms of deception. Customers who have been mis-sold car finance by Volkswagen Financial Services can make file a claim and get compensation.

How Could Volkswagen Financial Services Have Mis-Sold My Car Finance Agreement?

One of the key indicators that you have been mis-sold a car finance product is if the salesperson did not disclose the commission they would be receiving for recommending the product.

The law in the UK requires that any commission paid be disclosed to the customer, so if this did not happen during the sales process, it is a red flag.

Another factor to consider is whether the product suits your needs and financial circumstances. Car finance agreements are not a one-size-fits-all solution, and it is important that your income, expenses, and other financial obligations were taken into account before the agreement was signed.

If the salesperson did not conduct a thorough affordability assessment, or if they ignored your stated budget or other financial constraints, this could indicate a mis-sale.

You can assess your situation by asking yourself the following questions:

• Were you fully informed about the terms and conditions of the agreement, including the interest rate, monthly payments, and total cost of the vehicle? 
• Did the sales representative disclose they received a commission for recommending the PCP agreement to you? 

If you answered no to either of these questions, there is a chance that you may have a case for a Volkswagen Financial Services mis-sold car finance claim.

How Much Can I Receive for a Volkswagen Financial Services PCP Claim?

The amount that a claimant may receive for a Volkswagen Financial Services undisclosed PCP commission claim will vary depending on their individual circumstances. For example, the length of the PCP agreement and the level of payments made will be taken into account. If a claimant has made a significant number of payments towards their PCP agreement, then they may be entitled to a larger refund.

Additionally, any additional losses suffered as a result of because of the mis-sale may also be taken into account considered. For example, if a customer has suffered damage to their credit rating due to the mis-sale, then they may be entitled to compensation for this.

It is also important to note that the level of compensation awarded will depend on the strength of the evidence presented by the claimant. Therefore, it is recommended that individuals seek professional advice when making a claim, as this can increase the likelihood of success and the amount of compensation awarded.

How Can I Start My Car Finance Claim against Volkswagen Financial Services?

If you suspect that you were sold a PCP agreement that was not suitable for you, the following steps will guide you in making a Volkswagen Financial Services car finance claim:

1. Gather All Relevant Documentation

The first step is to collect all the documentation related to your purchase and finance agreement. This includes any PCP agreement documents, sales invoices, and communications with Volkswagen Financial Services. These will provide evidence of the agreement and any discrepancies that may have occurred during the sales process.

2. Contact Volkswagen Financial Services

Once it has been established that you were mis-sold the car finance agreement, you need to contact Volkswagen Financial Services. You should explain the situation and provide any evidence you have collected. You must clearly outline the reasons for the claim and how you have been financially affected. 

3. Escalate The Claim

If Volkswagen Financial Services rejects your claim or does not respond, you can escalate the claim by contacting the Financial Ombudsman Service. They will assess the case independently and make a final decision on whether you are entitled to compensation.

4. Seek Professional Advice

Volkswagen Financial Services mis-sold car finance is a common issue in the UK, and it is essential to seek professional guidance for those who want to claim back the amount they have paid in PCP repayments. Our sister website, claim.co.uk provides comprehensive support and guidance for clients who wish to pursue their legal rights for claiming car finance compensation.

If you believe you have been mis-sold car finance by Volkswagen Financial Services or were not informed of the undisclosed commission, we can help you explore your legal options and file a claim.