How to Make a Refund Claim Against Car Finance Companies
It’s important to know your rights and understand the process of making a claim for a refund against car finance companies if you feel that you have been treated unfairly. Whether the loan agreement was inevitable or beyond your control, there are steps that can be taken for successful resolution. This guide will cover how to make a refund claim against car finance companies including what kind of claims are eligible and tips for filing a complaint.
What Kind of Claims Are Eligible?
In order to make an effective claim, it is important to determine which types of complaints can be included in the filing process.
Here is an overview:
Surcharges or late payment fees applied without reasonable cause or after an agreed time period has expired;
Misleading statements made by the lender or their representative;
Unwarranted repossession or termination of contact due to nonpayment or breach;
Errors in calculation, application or collection of interest charged on loan agreements.
How To File A Complaint
It is always best to approach any potential problems directly with your lender first before taking legal action. Your bank may offer mediation services which could provide an amicable solution outside of court proceedings. However, should you require more formalised recourse, here are some tips for making a successful claim:
Familiarise yourself with applicable regulations and existing regulations prior to submitting any paperwork. For example, The Consumer Credit Act 1974 provides protection from lenders who are failing in their obligations including issuing refunds when necessary.
Gather evidence such as records of communication with the provider and copies of documents associated with your loan agreement such as terms & conditions and repayment tables. Any supporting documents should be kept together securely as they will help demonstrate why you have grounds to receive compensation if necessary.
