If you’ve been an Audi driver in the last six years or even as far back as 2007, and paid for your vehicle using Personal Contract Purchase (PCP) financing, you could be eligible for car finance mis-selling compensation. PCP mis-selling is a widespread issue affecting many drivers, and discovering whether you’ve been mis-sold could lead to a significant compensation payout.
In this blog, we’ll guide you through everything you need to know about claiming compensation for mis-sold car finance from Audi Financial Services.
How to Claim Car Finance Mis-Selling Compensation from Audi
If you suspect that your Audi PCP finance agreement was mis-sold, the first step is simple: provide us with your details so we can check your contract. Our free online car finance check takes just a few minutes, allowing us to determine if your car finance was mis-sold. Once completed, if we believe you’re owed compensation, you can instruct us to proceed with your claim immediately.
his service ensures that your mis-sold car finance PCP claim is thoroughly assessed, and if compensation is due, we’ll handle all the necessary paperwork to move the process forward.
Who Will My Claim Be Against?
Depending on the date you financed your vehicle, your agreement may have been arranged with either Audi Finance or Audi Financial Services. Both companies are trading names of Volkswagen Financial Services, one of the major providers of car finance. When you submit your car finance check, we’ll ensure your claim is directed to the correct company based on your agreement.
Our team will manage your claim efficiently, working with the appropriate company to maximise your compensation payout.
How Likely Is It That My Audi Finance Was Mis-Sold?
Car finance mis-selling has become a significant scandal, affecting thousands of drivers across the UK. While detailed data on individual firms isn’t always available, a few crucial insights highlight the widespread nature of this issue:
- 90% of new cars purchased on finance use PCP.
- 95% of all car finance deals sold before January 28, 2021, included discretionary commission arrangements (DCAs). These arrangements incentivised brokers and dealers to inflate interest rates for higher commissions.
- 40% of car finance agreements before January 2021 were likely mis-sold due to artificially inflated interest rates.
The statistics point to a high likelihood that many car finance PCP agreements were mis-sold. Even if you’re unsure, it’s worth taking a brief moment to check your PCP agreement claims online.
How Might My Audi Car Finance Agreement Have Been Mis-Sold
Before January 28, 2021, brokers and intermediaries were allowed to use DCAs when selling car finance. This meant that the person selling you the car could set the interest rate you’d pay, often inflating it to earn a higher commission. For example, if your credit score entitles you to a 2% interest rate, the broker could charge you 5%, pocketing the difference as commission.
This unethical practice left many buyers unknowingly paying more than necessary. If you weren’t informed about the commission or weren’t aware that your interest rate was inflated, you were likely mis-sold your car finance agreement.
If your car finance agreement involved a DCA and this information wasn’t disclosed, you could be eligible for compensation. The only way to know for sure is to check your car finance claim with our free service.
Identifying if Your Audi Car Finance Was Mis-Sold
Determining whether you’ve been a victim of car finance mis-selling can be difficult, especially if you weren’t informed about the full terms of your agreement. Still, here are some key warning signs to look for:
- Interest Rate Disclosure: If the person selling you the car dictated your interest rate without offering you alternative options, this could be a sign of mis-selling.
- Commission Transparency: If you weren’t told that the broker was earning a commission on your finance deal, or if they didn’t disclose how much commission they were earning, this could point to mis-selling.
- Failure to Offer Alternatives: If the salesperson didn’t encourage you to shop around for other financing options or provide full disclosure about your deal, this might have been a tactic to ensure they earned a higher commission.
Most car finance mis-selling claims are based on the broker’s failure to disclose the commission arrangement. The inflated interest rate, paired with a lack of transparency, often leads to successful compensation claims. The key takeaway? If you suspect something was amiss with your Audi, BMW, Mercedes Benz, or Nissan car finance, it’s time to investigate.
How Much Compensation Could I Receive?
Compensation is affected by various factors, including:
- The Size of the Car Finance Agreement: The more you borrowed, the higher your compensation could be.
- The Duration of Your Agreement: How long you held the car finance contract and how many payments you made affect your claim.
- Interest Rate Inflation: If the interest rate on your deal was artificially inflated, your compensation will reflect the amount you overpaid.
- Total Overpayment: Compensation is calculated based on how much extra you paid due to the mis-selling practices.
Upon receiving your information, we’ll review your car finance agreement to calculate your potential compensation. We’ll then notify you of the amount owed and the next steps involved in pursuing your Audi, Mercedes, or BMW PCP claim.
Can I Claim Even If I No Longer Have the Car?
Absolutely! Even if you no longer own the vehicle you financed through Audi, you can still file a compensation claim. We conduct a soft credit search to identify all car finance agreements you’ve held over the past six years. Once we’ve identified relevant agreements, we’ll notify you of any compensation due.
If your car finance agreement falls within the last six years, but you had additional vehicles financed with other lenders such as Black Horse, Close Brothers, Or MotoNovo PCP claim, it’s also worth reporting those agreements to us. Our free check includes all historical car finance agreements, meaning you could potentially uncover compensation for multiple vehicles, not just your Audi.
Is Audi Finance the Only Company Affected by Mis-Selling?
No. While we’re focusing on Audi in this guide, car finance mis-selling affects a vast number of lenders across the industry. The use of discretionary commission arrangements was widespread before the FCA’s ban in 2021. Therefore, it’s likely that many other car finance providers, in addition to Audi Finance and Audi Financial Services, are involved in the mis-selling scandal.
If you’ve had vehicle finance agreements with other lenders, it’s worth including them when you check your claim online. Compensation could be due for various agreements, especially if they were signed before January 2021.
How to Start Your Audi Finance Claim
Starting your claim is quick, easy, and risk-free. You don’t even need your vehicle details to begin the process. Drive Back online car finance check takes just a few minutes, and you’ll soon discover whether you’re owed compensation for a mis-sold Audi finance agreement.
There’s nothing to lose by checking your car finance agreements, and the potential rewards could be substantial. Many drivers have already received thousands of pounds in compensation after uncovering that they were mis-sold car finance.
Final Thoughts: Why Checking Your Audi Finance Claim Matters
Car finance mis-selling is a growing issue, and many drivers are unaware they’ve been affected. Given the complexity of car finance agreements and the lack of transparency in commission arrangements, it’s easy for buyers to overlook the signs of mis-selling.
By checking your claim, you’re not just pursuing compensation—you’re holding car finance providers accountable for unethical practices. The process is straightforward, and with our expert team handling the heavy lifting, you can rest assured that your claim is in safe hands.
Take a few minutes to check your car finance agreements today. You may be entitled to significant compensation, and with no cost to check, you’ve got nothing to lose.
Start your Audi finance claim today with our free online check and discover if compensation is owed to you.