Over the years, many people have noticed some discrepancies in the PCP contracts that they had signed before 2021. Among them, BMW finance claims have become very noticeable due to consumers raising their voices over the transparency of the financial contracts. If you purchased a BMW on car finance, then there is a chance that you might be mis-sold on your agreement. Therefore, it is crucial to understand the dynamics of a car financing agreement and the steps to take to make a car finance claim.
Why Buy BMW on PCP Car Finance?
You can purchase any car on finance, whether it be a BMW, Audi, or Volkswagen. Car finance allows customers to quickly make an expensive purchase.People usually opt for PCP finance instead of HP finance. PCP finance offers more flexibility than HP finance. However, in an HP finance deal, the customer becomes the owner of the car at the end of the contractual term.
If you have signed a PCP deal, you can retain your car or vehicle, return it or exchange it for a new one. If you want to retain it and get its ownership, you will have to pay the remaining amount to the dealership or your lender. This payment is a huge amount, and only those who want to get the ownership pay this lump sum.
Furthermore, if you would like to get a new car, you can sign a new PCP contract. These three flexible options are available in a PCP contract. That is why many people opt for BMW PCP finance.
Are You Mis-sold on BMW Finance?
But for that, you have to identify the common reasons for mis-selling.
Recently, BMW finance claims have become a trending topic in the UK’s automotive industry. Many people who signed deals before 2021 are claiming for their mis-sold car contracts. The government-backed watchdog, Financial Conduct Authority (FCA), has been investigating mis-sold car deals. They have identified a series of BMW mis-sold finance claims and have banned the practice of Discretionary Commission Arrangements (DCAs) from January 2021. According to the FCA, some lenders were charging excessively high interest rates and hidden commissions on contracts, of which the customers were not aware.
Furthermore, it is the utmost duty of the dealer and the lender to inform each customer of the best car finance deal. The customers lack information regarding car finance agreements. They seek help from the dealership. Therefore, the seller should inform and educate each customer on the suitable car financing option. Likewise, they should inform the customers regarding the payment options, final balloon payment, interest rates and hidden commissions charged on the deal. The car finance agreement should be as clear and transparent as possible. There should be no room for confusion in any document. Otherwise, the customer can make a mis-selling claim.
Moreover, the seller should also inform the customer of the extra costs that might occur at the end of the contract, such as wear and tear costs and mileage costs. It is also crucial for customers to take some time and then sign a PCP or HP deal.
Claim for a PCP Refund
This is an emerging topic in the UK’s financial market, and many are consulting PCP and HP claims expert to identify their old deals. You can also consult a PCP or HP claims expert to analyse your contract and find out if it was mis-sold or not.
All you need to do is to gather relevant details about your contract and consult the best claim experts in your area. You can find the best PCP claims expert online. They charge no fees until you get a refund. The claim process is simple and easy. It takes time, but it is worth it. Your claim expert will handle everything for you. If you do not wish to proceed with a claim expert, you can seek legal help from the Financial Ombudsman Service (FOS). It will consider your request and allow resolution for both parties.