Even if some do not have the means to pay for the car, they can drive a car by opting for the car finance contracts. However, things may get complicated as one may not fulfill their part of the contract. In this regard, some may find themselves in a situation where they are taken advantage of and end up being misinformed about the terms included in the contract. Because of this, the practice of filing claims in car finance came into being. In such instances, customers have all the rights to file a suit and claim for compensation. As experts in the field working at Legal Assist, we help such people recover their losses.
In this article, we will take you through the car finance claims step by step so that you don’t have to worry about anything except your mental peace.
What Are Car Finance Claims?
Anytime a customer is in a car finance agreement where they find out later they have been given false information or there are terms that are unfair to the customer, is the time when the car finance claim comes forward to make things right. Car finance agreements consist of loans, hire purchase (HP), or personal contract purchases (PCP) which can lead to problems starting from undisclosed additional charges to blatant stealing of the funds.
Common Reasons for Car Finance Claims Rejected
- Mis-Sold Finance Agreements
Did the car finance deal that you entered into have any terms that you were unaware of as you appear to be not sufficiently informed? If so, you may just have a point. Most people find that some details in relation to the finance that were supposed to be dealt with such as paying attention to rates of interest, or penalties due to early repayment were left out of discussions’ informing sessions.
- Additional Charges Were Included
There are times when car dealerships place additional delivery fees as well in the contract. If you weren’t told of such charges, then you’re in a position where you can request reimbursement.
- Unaffordable Payments
In extending finance to borrowers commencing with the agreements did the lender look into the borrowers DSR? If you feel that the repayments are too high then you may have been offered the agreement at the wrong terms.
- Vehicle Issues
If the abhorring nature of the car you purchased proves otherwise when compared as per the description provided or the ads, then you have suffered damages for which you can be compensated.
- Commission Misrepresentation
At times, finance agreements provided by dealers or brokers come with a substantial in-built commission that are not officially documented. Such omissions in information may give rise to a claim.
How to Recognize a Car Finance Deal That Was Not Sold Appropriately
Deficiency of Information
Did the dealer or financier explain the contract that you had?
High Interest rates
Do you find yourself paying much more than the rest of the population?
Poor Document Examination
Did they overlook your earnings, costs, or your credit score?
In case your answer was a yes to any of these questions, you probably have car finance claim and compensation as an option.
Why Car Finance Claims Are Important
Car finance claims do not simply focus on getting back the money rather they focus around the words accountability – lies and deceptive acts are bad for consumers and making sure companies are held accountable means there is a chance they operate with morals moving forward.
The Role of Legal Assist in Car Finance Claims
At Legal Assist car finance claims, we want to ensure that you do not feel cheated. This is why we have decided to support you at every stage of the process. Here is what we do:
No obligation assessment of the claim: It is possible for you to make us look at your claim without having to make any commitments or agreements.
Professional Support: We have a team of solicitors who are well versed in car finance claims law so you will be properly advised.
No Stress: You do not need to worry about the documents and the conversations as we will deal with them.
No Win No Fee: When winning a claim, you pay us a fee, if no claim is successful, you do not pay us.
Who Is Eligible For A Claim For Car Finance?
If you had a car finance agreement and have suffered any of the following events, you could be eligible for compensation:
Not to fully understand the terms of an agreement.
Possibly ending up in an economic risk owing to repayment obligations.
Paying unreasonable fees or surcharges which were not disclosed.
Discrepancies in the quality or description of the car concerned.
Car Finance Agreements Available
- Personal Contract Purchase (PCP)
Personal Contract Purchase is another “interesting” solution that offers low monthly payments but has significant costs at the end of the term.
- Hire Purchase (HP)
In the case of HP, for initiating ownership of a car, there is a possibility of paying in installment and once the agreement is paid up completely, ownership is given. This kind of product is more sued for mis-selling because the commissions from the car companies which endorsed loans were always hidden in the form of interest or other charges for these sorts of agreements.
- Lease Agreements
It is important to note that for a lease the vehicle is not owned by the propounding individual however there are cases where if there are unfair terms or insufficient explanations are provided for the use of the vehicle, the individual in question has defenses.
Filing a Car Finance Claim
Step 1: Collate Relevant Documentation
The documents needed include your car finance agreement, proof of payments, and every form of correspondence with the lender’s premises or their dealership.
Step 2: Recognize the Terms That Were Violated
Document the exact detail of the problem, be it a charge that was never disclosed or comprehension of what was stated.
Step 3: Consult with an Expert
Get in touch with Legal Assist for professional assistance on developing your case.
Step 4: Fill out Your Claim
As per our advice, file your claim for the appropriate parties, which includes the dealer, the lender or a financial ombudsman.
How Much Can You Claim?
The figure you are able to obtain as compensation varies with how serious the complaint is. some of the payment can include:
A rebated overpayment.
Changes on the terms of contract.
To reimburse for loss of investment or anxiety.
Time Limit For Filing Car Finance Claims
After signing an agreement or discovering the problems, a maximum period of six years is given for claiming the car finance. Prompt action helps keep the legitimacy of your case.
What If Your Claim Gets Rejected
Sometimes all claims do not get through on the first attempt, don’t be disheartened. Legal Assist can help you file appeals or refer your case to the Financial Ombudsman Service.
What Makes Legal Assist Different
To succeed in your claim, choosing the appropriate legal provider is essential. In that sense, the reason Legal Assist is a good option is because of the following:
Experienced Team: We have made several car finance claims and have been successful in most of them.
Tailored Support: We focus on specific problems for each case and offer most suitable solutions.
Clarity regarding communication, You will know what the status regarding your case is at all times.
Frequently Asked Questions About Car Finance Claims
- Can I claim after paying off my finance agreement?
Yes, you’re eligible to make a claim in the event that the agreement was mis-sold or was unfair, notwithstanding it being paid.
- Is it necessary to have an attorney to put forth a claim?
You can definitely go ahead and submit a claim, but you are better off working with Legal Assist.
- What is the claims duration?
It differs but in most cases the problem is solved within a few months.
- What actions should be taken if the dealership is out of business?
You can still make a claim to the finance provider or the lender as they are also responsible for making sure fair practices are maintained.
- Will my credit score change after filing a claim?
No, filing a claim should not have a bearing on your credit score because there is a position of accountability taken against the practices done by the company.
Conclusion
A car loan should always serve as a convenient measure for an individual, not a discomfort. If you have been deceived or overpaid, action is required. Legal Assist stands at your side to help you proceed in a way that makes you feel safe and protects your right for justice and compensation. Why leave injustice unaddressed? Contact Legal Assist now and let us help you turn your dissatisfaction in car finance into a happy ending.
