How Much Can You Claim for Mis-Sold Car Finance?
Understanding the Average Claim Value
Since the October 2024 Court of Appeal ruling, millions of UK car finance customers have become eligible to reclaim hidden commissions and overpaid interest. But how much are people actually getting back?
Based on major UK law firm estimates, the average payout per claim is £1,508.25. However, the actual amount varies based on key factors, including:
The lender and finance agreement
The level of undisclosed commission
Whether interest and fees are also refunded
This article explains what determines claim values and why your compensation could be higher or lower than the average.
How Is the £1,508.25 Estimate Calculated?
The £1,508.25 figure is an estimate derived from:
✅ Settlements from law firms handling car finance claims
✅ Industry-wide trends in lender payouts
✅ Typical undisclosed commission amounts in finance agreements
While this number provides a useful benchmark, it is not a guarantee—each claim is unique.
What Factors Affect Your Claim Amount?
Your compensation will depend on:
1. The Commission Paid to the Dealer or Broker
Many car dealers earned commissions as high as 15% of the car’s value.
If this commission was undisclosed, it must be refunded.
2. Whether Interest and Fees Are Included
Some claimants only get back the commission, while others recover interest and fees as well.
If your loan was especially unfair, you may be entitled to a full refund of all interest paid.
3. The Type of Finance Agreement
Personal Contract Purchase (PCP) and Hire Purchase (HP) agreements tend to involve higher commissions, leading to larger refunds.
Can You Get More Than £1,508.25?
Yes! While £1,508.25 is the average, some claimants have received over £5,000—especially if they had multiple finance agreements or paid high-interest rates.
👉 If you’ve had more than one car finance agreement, you could claim for each one.
Why You Should Act Now
⏳ 95%** of car finance agreements before Oct 2024 included hidden commissions
💰 Average claims are £1,500+—some much higher!
⚖ The FCA is investigating, and lenders may try to limit payouts later
