Frequently Asked Questions​

A PCP (Personal Contract Purchase) claim usually arises when key details of the finance deal weren’t made clear. This might include situations where you weren’t told about a dealer or broker earning a commission, or where your interest rate was increased because of a discretionary arrangement.

After the Supreme Court judgment of 1 August 2025, most claims based on fixed-fee commissions are not expected to succeed. However, in some individual cases, it may still be possible to argue that the finance agreement created an unfair relationship between the customer and the lender.

The FCA has confirmed that its proposed redress scheme will concentrate on discretionary commission arrangements (DCAs), as these are where most successful complaints are expected.

The most common basis for a valid claim relates to Discretionary Commission Arrangements (DCAs). These were agreements where a dealer or broker could set or influence the interest rate you were charged, often without explaining that they would earn a commission from the lender. The FCA has confirmed that its proposed redress scheme will focus on these types of arrangements.

Other issues,  such as poor affordability checks, balloon payments, or sales pressure , may raise concerns but are generally not included in the FCA’s industry-wide redress scheme. Such complaints are less likely to succeed unless there is strong evidence of unfair treatment in your individual case.

Ultimately, whether you have a valid claim depends on the specific terms of your agreement and your circumstances. Our checks will help us track down your agreements, confirm the details, and see if your claim qualifies. Not every PCP or HP agreement will qualify, and there is no guarantee of compensation.

We operate transparently under the highest regulatory standards, with a No Win, No Fee service. 

If your claim is resolved through a redress scheme:
Our fees are capped by Solicitors Regulation Authority rules. We will deduct between 18% and 36% (inclusive of VAT) of the amount recovered. If you don’t recover anything under the scheme, you pay us nothing.

If your claim goes to court and succeeds:
We cap our deductions for our fees and expenses – they will never be more than 40% plus VAT of what you win.

If your does not succeed:
You don’t pay us for the work we’ve done. If the claim is issued to court, we arrange insurance to cover expenses and costs. If you lose, you don’t pay the insurance premium. You only pay the premium if you win.

Once your complaint has been submitted to your lender, they typically have 8 weeks to respond. However, under the pause imposed by the Financial Conduct Authority (FCA) while they investigate motor finance complaints, lenders are not required to respond to motor finance commission complaints until after 4 December 2025.

The FCA announced on 3 August 2025 that it will consult on an industry-wide scheme to compensate motor finance customers who were treated unfairly. The consultation will be published by early October and the FCA will finalise any scheme in time for people to start receiving compensation next year.

We take any concerns seriously. If you are unhappy with our service, we encourage you to discuss your concerns with the individual handling your case or contact our senior management. If you remain dissatisfied, you have the right to refer your complaint to the Legal Ombudsman. Details on our complaints procedure are available here: https://locksleylaw.co.uk/complaints-procedure/.

No. You do not need to use a solicitor or claims management company to make a motor finance complaint. You can complain directly to your lender, or escalate the matter to the Financial Ombudsman Service (FOS), completely free of charge.

Some clients, however, prefer to instruct us because we can review the agreements, gather the evidence, and present the complaint on their behalf. If you choose to work with Locksley Law Solicitors, we operate on a No Win, No Fee basis. Our legal fees are capped at 36% (including VAT) of any compensation that may be recovered.

The amount of compensation depends on your individual circumstances and the terms of your finance agreement. There is no guarantee of compensation, and many cases may not succeed.

Based on evidence published by the Financial Conduct Authority (FCA), most successful claims are expected to result in compensation of around £700 per agreement. Some claims may be higher or lower than this, depending on the specific facts of your case.