Car finance firms could face millions of claims 'on par with PPI scandal'

manchestereveningnews.co.uk:

Car finance firms could be seeing an issue "on par" with the PPI scandal, according to one consumer compensation expert. It has been predicted that millions of drivers who might have paid too much for their car finance could be eligible to make claims over mis-sold car finance, depending on the result of an investigation.

The UK's financial regulator is currently looking into whether people could receive compensation for being overcharged on their car loans The regulator is looking at hidden and unfair commission plans on loans that people took out between 2007 and 2021.

Simon Evans, the head of the Consumer Redress Association, which helps claim management companies, said that people probably bought more than one car during that time. Read more: Exact dates Universal Credit, PIP, Child Benefit and more will rise as DWP and HMRC to increase benefits this month As a result, this could double the amount of claims made.

This news comes after consumer guru Martin Lewis previously said that 1.1 million people had issued complaints using a free tool on the MoneySavingExpert.com website.