Motor Finance Commission claims

lindsay

lindsay

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Lindsay
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This seems to be the latest PPI-type reclaim bandwagon, but having looked into it a little, it seems genuine - the FCA did an investigation into commission paid by motor finance companies and banks to dealerships, and it seems too much was paid without customers being aware.
There are a bunch of the usual claims companies chasing these ambulances who will I imagine take their usual 35-40% fees off any amounts claimed successfully. However I just went on the Black Horse Finance website, as I've bought a number of cars using finance from them prior to 2021 (the cutoff date). They have a web page specifically for making your own information requests, which I've done. I presume when they dredge the details up, they will then make a settlement offer. So we shall see if that happens and whether it is a useful amount.
It may be worth other people going direct rather than via claims companies - I saved and received a lot doing that with PPI claims years ago.
 
Money saving expert have a form to fill in as well. Theirs is useful if you have more than one with different lenders.

I did it for both mine and neither had discretionary commission.
 
I admit I'm not expecting anything, but for about 15 minutes effort on the Black Horse website this afternoon, entering details of four financed purchases, I thought it worth a bash.
 
srichards said:
Money saving expert have a form to fill in as well. Theirs is useful if you have more than one with different lenders.

I did it for both mine and neither had discretionary commission.
Click to expand...
We’ve gone through MSE too, there’s a template letter on there that you just fill in. They even give you a list of the most popular loan company addresses to send it to. All very simple and no commission to pay. We’ve already had an acknowledgement from the car company that the claim is valid, so it looks like we might actually get something out of it.
 
lindsay said:
I admit I'm not expecting anything, but for about 15 minutes effort on the Black Horse website this afternoon, entering details of four financed purchases, I thought it worth a bash.
Click to expand...
I think Black Horse finance are one of the companies that did use bumped-up commission rates, well according to the tv ads anyway, so you might well find yourself with some money due.

Our response from VAG was that we do have a valid claim on paper but nothing will be confirmed until the finance ombudsman comes to a decision on method and/or amount of compensation, if any. That’s not happening until September. I’m not holding my breath that it will be sorted out by then, as these things rarely run to timetable.
 
It's amusing in the sense that many years ago I had a contract running a dev team for Barclays Mercantile Finance, providing motor loans to dealerships, in the course of which I identified a certain field on the loan application screens that showed the commission to be paid to the dealer for organising the loan. That gave him a clear steer on his flexibility on proice for the vehicle.
 
I worked in one car sales where Black Horse provided minimum interest rates charges according to age of vehicle being financed, we used these rates, I was selling cars not money, and if I could make monthly cost cheaper than the competition we got the sale, no kick back from BH but bonus’s from manufacturer was good.
 
Weird we bought a new ( used) car last week and was advised by the dealer to go down the route of a bank loan rather than take out expensive finance . The saving was indeed quiet substantial
 
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