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How many residents in Havering have been affected by motor finance mis-selling? The estimated number of drivers impacted stands at 24,759 (calculated using ONS Census 2021 population data and FCA estimates), out of a total population of 262,000 (ONS Census 2021). This raises serious questions about the fairness and transparency in motor finance arrangements within the borough.
How Motor Finance Mis-selling Affected Havering
Dealerships such as Sytner Havering, Park Lane Havering, HR Owen Havering, and Lookers Havering have been known to sell
Personal Contract Purchase (PCP) and
Hire Purchase (HP) finance agreements. These dealerships are part of larger dealership groups that often partner with major lenders like
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).
During the period from 6 April 2007 to 1 November 2024, these dealerships may have entered into
[discretionary commission](https://mlj.org.uk/glossary/discretionary-commission-arrangement) arrangements with lenders, which could have led to unfair financial practices. This affected an estimated 12.1 million eligible agreements (FCA, March 2026) across the UK (FCA estimate), amounting to a total of £7.5 billion in finance charges (FCA estimate). The average driver was overcharged by approximately £829 (FCA estimate).
The FCA Motor Finance Investigation
The Financial Conduct Authority (FCA) launched an investigation into motor finance agreements, focusing on the discretionary commission arrangements between lenders and dealerships. These arrangements allowed dealers to receive additional payments if they persuaded customers to take out more expensive financing options. The investigation uncovered widespread mis-selling practices that impacted millions of motorists across the country.
How Havering Residents Can Check Their Finance Agreements
If you suspect that your motor finance agreement may have been affected by these unfair practices, it is essential to review your contract carefully. Look for any signs of excessive commissions or incentives that might suggest a conflict of interest between the dealership and lender. Focus on agreements made between 6 April 2007 and 1 November 2024.
To check your finance agreement, gather all relevant documents such as:
- The original loan agreement
- Receipts for payments made to date
- Any correspondence from the lender or dealership
Review these documents to see if there are any discrepancies in terms of interest rates, additional fees, or unexpected charges that might indicate mis-selling.
If you find evidence suggesting your finance agreement was mis-sold, it is important to complain directly to your lender. You can do this without the need for a
claims management company. Major lenders operating in Havering include Black Horse (Lloyds Banking Group), MotoNovo Finance, Close Brothers Motor Finance, Santander Consumer Finance, Barclays Partner Finance, and Alphera Financial Services (BMW).
When you contact your lender to complain, provide them with all relevant documentation and clearly outline the issues you have identified. Remember that complaining directly to your lender is free and does not require any upfront payment.
If your complaint is unresolved or unsatisfactory, you can escalate it to the
Financial Ombudsman Service (
FOS) for a free review. The FOS provides an independent service to help resolve disputes between consumers and financial services providers.
Sources and References
- Office for National Statistics (ONS), Census 2021
- Financial Conduct Authority (FCA), 2024
- Financial Ombudsman Service (FOS)
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.