A rising number of British motorists are reassessing their previous car finance agreements due to concerns regarding discretionary commission arrangements (DCA) and potential unfair lending practices.
The Financial Conduct Authority (FCA) has brought attention to these practices and is investigating their potential implications. If you utilized car finance between April 6, 2007, and November 1, 2024, and your lender included a discretionary commission arrangement (DCA), an elevated rate or commission, or a contractual tie that was not adequately disclosed to you, you might have grounds for a claim.
You have the option to pursue your claim independently at no expense, as there are free avenues available, or you can opt for assistance from a legal professional if preferred. While solicitors cannot endorse their services over self-representation, some individuals find it beneficial to have expert support to streamline the process. Ultimately, the decision rests with you, and both routes are valid.
Complex Law, a legal firm based in Liverpool, indicates that they could assist consumers in determining if they overpaid and assess if a claim is feasible. Tom Blanchfield, the director of Complex Law, emphasized the firm’s dedication to helping consumers achieve fair outcomes and leveling the playing field against formidable institutions.
To be eligible for a reclaim, you must have financed a car in England between April 2007 and November 2024 (subject to final FCA regulations), obtained the finance through a dealership or broker (PCP, HP, etc.), rather than directly from a bank or finance company, and had an agreement that involved a discretionary commission arrangement (DCA) or undisclosed commission that unfairly inflated your loan costs.
Complex Law aims to simplify and expedite the car finance claims process, ensuring consumers comprehend their rights and, if warranted, pursue compensation. The firm, which has been operating in the UK for over 30 years, underwent leadership changes in 2023, focusing on consumer protection and modern service delivery. Since the transition, their team has grown from two to 17 members within a year, with plans for further expansion.
The firm underscores transparency, trust, and simplicity in its communication, offering jargon-free interactions, clear fees, and no hidden costs. Legal cases are managed by regulated experts from inception to conclusion. Complex Law holds Lexcel accreditation for practice management and Cyber Essentials Plus certification for cybersecurity. It boasts over 4,000 five-star Trustpilot reviews in the last six months, indicating positive client feedback.
For individuals contemplating a claim, consumer lawyers recommend reviewing agreements, assessing potential commissions, and consulting with a regulated professional for tailored advice. Complex Law stresses that it aims to provide a clear pathway for those seeking understanding without overpromising, with no upfront charges and transparent fee structures, including any cancellation fees.
Individuals can ascertain their eligibility in less than a minute by answering a few simple questions, subject to terms and conditions and personal circumstances. If a case appears viable, Complex Law can detail options, estimated timelines, and fees, with ongoing support throughout the process. Although the FCA suggests an average compensation of around £700 per agreement, actual outcomes vary widely, and some cases may not result in compensation.
Any potential refund or redress is case-specific and hinges on individual circumstances, the lender, agreement specifics, evidence availability, and claim time limits. Complex Law Ltd is regulated by the Solicitors Regulation Authority and provides avenues for complaints to the Financial Ombudsman Service or potential redress through the FCA’s consumer redress scheme.
Charges adhere to the Solicitors Regulation Authority’s Fee Cap, and termination of engagement with Complex Law before claim completion may incur a reasonable fee for work conducted. Additional charges, such as VAT, may apply, and full terms and conditions are available on the firm’s website.