PCP Claim BMW: What You Need To Know
If you purchased a BMW through a finance deal, and have found an issue with the agreement, then you may be able to make a PCP claim. Many BMW owners in the UK have found their car dealerships to have mis-sold them finance agreements.
Basically, this is when they were provided with a financing option that didn’t meet their needs or wasn’t properly explained. This usually results in over-charged monthly payments that the customer might struggle to afford.
If you feel that mis-selling has happened to you, then it’s important to understand the possibility of making a claim against it.
In this guide, we’ll uncover everything BMW owners need to know about making PCP claims.
Mis-Sold Finance Explained
Mis-sold car finance is a common occurrence in the UK, with thousands of vehicle buyers claiming back on mis-sold finance deals. If you were sold a car finance deal that surprised you or is not suitable for you, there is a possibility that you could make a compensation claim for mis-selling.
Mis-sold car finance happens when:
you are sold a finance deal that was not fully disclosed
if you received poor advice on the finance deal
or if you were not properly informed of the information and risks involved with the deal
Mis-sold car finance generally results in customers ending up with cars and a finance agreement that is not suitable for them. This could mean they end up missing monthly repayments.
Car finance mis-selling typically happens to customers who have taken out a personal contract purchase (PCP) agreement. However, mis-selling can also occur with hire purchase agreements, personal contract hire agreements, or any other type of loan that car dealers offer.
Common Types Of Mis-Selling
PCP car finance mis-selling typically happens due to the following reasons:
Hidden commissions. This is when the finance company pays the car salesperson a commission on certain vehicle financing options. The commission payment is covered by high interest rates and hidden fees, which the customer is unaware of.
Lack of proper affordability checks. Car finance companies can push customers into financial agreements that don’t suit their financial means. Again, this type of mis-sold car finance usually comes down to the salesperson wanting a commission from the car finance deals.
High-pressure sales tactics. Customers may be pressured into a PCP car finance agreement that wasn’t right for them. This can include not being presented with alternatives to the finance agreement or not having enough time to assess the deal.
Inflated interest rates and prices. Mis-sold car finance deals often involve heavy interest charges, hidden fees, and inflated rates that are not justified. This could be to fund a commission payment that the salesperson did not disclose to the customer.
If you feel that you were a victim of mis-selling with your BMW finance deal, then you can make a claim against the car dealership and finance company.
Successful claims could reward you with hundreds or thousands of pounds back in compensation for the mis-sold amount.
What Is A BMW PCP Finance Claim?
PCP car finance agreements are the most common funding solutions for new and used vehicles in the UK.
A BMW PCP finance claim takes place when you identify that your finance agreement was mis-sold, and you make a claim for compensation.
Mis-sold PCP car finance sold between March 2016 to December 2020 can be reclaimed by the customer.
If you paid unnecessary interest rates or undisclosed amounts towards hidden commissions, you may be eligible to claim this money back.
Mis-sold PCP car finance claims have become popular for BMW buyers since the Financial Conduct Authority (FCA) created a report that identifies the large extent of car finance mis-sold across the UK.
BMW buyers who were mis-sold deals can make claims to the Financial Ombudsman Service (FOS).
How To Know If You’re Eligible To Make A PCP Claim For Your BMW
If you purchased a BMW through a finance agreement, and you ran into a surprise during your monthly repayments, there’s a possibility that you may be able to make a mis-sold PCP claim.
Claims are generally possible for customers who pay excessive interest rates without understanding why the interest rate exists.
If the car dealer failed to disclose any important information about why they were selling you the finance deal, you will likely be able to make a claim.
BMW owners need to carefully review their finance agreements and go over any correspondence they have had with the car dealership to identify mis-selling.
To understand whether you can make a mis-sold BMW car finance claim or not, you will need to speak to an experienced PCP claims solicitor.
The solicitor will be able to identify whether the mis-sold finance deal is valid or not. Further, they will be able to determine exactly how much you can claim. Working with an experienced solicitor also makes building a solid case a far easier process!
How To Make A Mis-sold PCP BMW Car Finance Claim
First, talk to your finance provider and give them the chance to fix the issue you have. The finance provider will have eight weeks to provide a final response to you. If the motor finance company does not offer a reasonable response, you can bring the complaint forward to the FOS.
To make a claim against your BMW car financing, you will need to have details of your financial agreement and hire purchase agreements. You will also need your correspondence with the BMW car dealer and any other evidence that will support your claim.
It’s important that you make this claim by working with an experienced car finance solicitor. This will help you make the right steps towards making your claim. It can also help you obtain a greater commission payout.
Contact Us To Get Started On Your Claim Today
Ready to make a PCP claim for your BMW financing? Then you’ll need to work with an experienced solicitor.
Get in touch with Paxton Willis today, and we can connect you with one of our experts on mis-sold BW finance agreements. We’ll help you get started on your claim and make sure you get compensated for every penny you’re owed.
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