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Canterbury, a vibrant city located within Kent in the South East region with a population of 164,600 (ONS Census 2021), has been affected by motor finance mis-selling. According to our calculations based on ONS Census 2021 data and FCA estimates, an estimated 15,555 drivers in Canterbury may have been impacted by this issue.
How Motor Finance Mis-Selling Affected Canterbury
Motor finance mis-selling occurred across various dealerships in the city, including Caffyns Canterbury, Harwoods Canterbury, Lookers Canterbury, and Hendy Group Canterbury. These local dealership groups were instrumental in selling
Personal Contract Purchase (PCP) and
Hire Purchase (HP) agreements to their customers from 6 April 2007 to 1 November 2024.
Major lenders operating in the area during this period included
Black Horse (Lloyds Banking Group),
MotoNovo Finance,
Close Brothers Motor Finance,
Santander Consumer Finance, Barclays Partner Finance, and
[Alphera](https://mlj.org.uk/lenders/alphera-financial-services) Financial Services (BMW). These lenders provided finance products that were potentially mis-sold to consumers due to
[discretionary commission](https://mlj.org.uk/glossary/discretionary-commission-arrangement) arrangements.
The FCA Motor Finance Investigation
The Financial Conduct Authority (FCA) launched an investigation into motor finance agreements made between 6 April 2007 and 1 November 2024, revealing significant issues with the way some finance deals were sold. It was found that certain dealerships received discretionary commission payments based on customer choices, which could have influenced their recommendations to customers.
The FCA's investigation uncovered that 12.1 million eligible agreements (FCA, March 2026) may have been affected across the UK, involving a total of £7.5 billion (FCA estimate). On average, mis-sold agreements resulted in overcharges ranging from £300 to £829 per customer (FCA estimate).
How Canterbury Residents Can Check Their Finance Agreements
Canterbury residents who suspect they may have been affected by motor finance mis-selling should review their finance agreement documents carefully. Key points to look for include:
1.
Date Range: Ensure that your finance agreement was made between 6 April 2007 and 1 November 2024.
2.
Dealership Details: Verify the dealership where you took out the finance, such as Caffyns Canterbury or Lookers Canterbury.
3.
Finance Product: Check if the product is a PCP or HP agreement from major lenders like Black Horse (Lloyds Banking Group) or Close Brothers Motor Finance.
You should gather any documents related to your finance agreements and retain them for reference when you contact your lender.
If you believe that your motor finance agreement was mis-sold, you can complain directly to your lender for free. Major lenders operating in Canterbury include Black Horse (Lloyds Banking Group), MotoNovo Finance, Close Brothers Motor Finance, Santander Consumer Finance, Barclays Partner Finance, and Alphera Financial Services.
To initiate a complaint, contact the customer service department of your finance provider using the details provided on their website or any correspondence you received from them. Clearly outline why you believe there was mis-selling in your case and provide relevant documentation to support your claim.
You do not need a
claims management company to handle your complaint. If your lender's response is unsatisfactory, you can escalate your issue to the
[Financial Ombudsman](https://mlj.org.uk/guides/financial-ombudsman-service) Service (
FOS) free of charge for a further review.
Sources and References
- FCA estimates on affected agreements: 12.1 million (FCA estimate)
- Total amount involved in mis-selling: £7.5 billion (FCA estimate)
- Average overcharge per customer: £829 (FCA estimate)
- Population of Canterbury: 164,600 (ONS Census 2021)
Car Finance Compensation in Your Area
The FCA confirmed that 12.1 million motor finance agreements across the UK qualify for compensation. The FCA-estimated scheme average of £829 per eligible agreement per agreement, totalling £7.5 billion in redress. If you took out PCP or HP car finance between 6 April 2007 and 1 November 2024, your agreement may be eligible regardless of where you live in the UK.
The final deadline to complain is 31 August 2027. You can complain to your lender directly for free. You do not need a claims management company.