MILLIONS more drivers could be owed compensation in a car finance mis-selling scandal after a landmark legal case.at the start of the year into whether motorists were unknowingly overcharged when they took out a loan to buy a car.The decision applies to more types of commission and not just DCA, meaning more drivers could be owed cash.
These brokers earn money in the form of commission - a percentage of the interest payments on the loan.The FCA estimates that around 40% of car deals may have been affected before 2021.Second, you must have bought the vehicle through a mechanism like Personal Contract Purchase or Hire Purchase , which make up the majority of finance deals and mean you own the vehicle at the end of the agreement.
He explained: "This potentially more than doubles the number of people involved, and would really start to look more like PPI scale of payouts ."group Consumer Voice said: "The financial regulator has signalled it will allow motor finance providers more time to consider how to deal with complaints about all secret commissions, not just those that are discretionary.
Anyone who took out a vehicle on finance before January 28, 2021, could have been unfairly paying more than they should have.It also has a list of firms that are unlikely to have handed out dodgy deals and therefore don't owe customers