Motor Finance Claims Lincolnshire - FCA Investigation

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Motor Finance Claims Lincolnshire - FCA Investigation

Last updated: 27 February 2026

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Lincolnshire, home to approximately 769,000 residents (ONS Census 2021), has seen many affected drivers due to motor finance mis-selling between 6 April 2007 and 1 November 2024 (calculated using ONS Census 2021 population data and FCA estimates). This article explores the impact of this issue on Lincolnshire residents and what they can do to address potential financial harm.

How Motor Finance Mis-selling Affected Lincolnshire

Dealerships in Lincolnshire, such as Inchcape Lincolnshire, Pendragon Lincolnshire, Marshall Motor Group Lincolnshire, and Sytner Lincolnshire, were among those involved in the sale of Personal Contract Purchase (PCP) and Hire Purchase (HP) finance agreements during the period under investigation. These dealerships often partnered with major lenders to offer financing options that could be potentially misleading or unfair. The major lenders operating in Lincolnshire include 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 were part of a broader industry practice where sales incentives might have encouraged dealers to push customers towards more expensive finance deals.

The FCA Motor Finance Investigation

The Financial Conduct Authority (FCA) launched an investigation into discretionary commission arrangements used by motor finance providers between 6 April 2007 and 1 November 2024. This period saw 12.1 million eligible agreements (FCA, March 2026), with a total value of £7.5 billion (FCA estimate). On average, each affected customer may have paid around £829 more than they should have (FCA estimate). The investigation uncovered issues related to the way dealerships and lenders structured their commission arrangements, which sometimes incentivised sales staff to recommend finance deals that were not in customers' best interests. This could lead to higher interest rates or additional fees, resulting in unnecessary financial burdens on consumers.

How Lincolnshire Residents Can Check Their Finance Agreements

To determine if you have been affected by motor finance mis-selling, review your finance agreements carefully for any discrepancies or unfair terms. Focus on the dates between 6 April 2007 and 1 November 2024, as these are critical to the FCA investigation period. Gather all relevant documentation, including contracts, invoices, and correspondence with lenders. Look for signs of aggressive sales tactics, such as being pressured into signing up for a particular finance deal without proper explanation or comparison to other options available. If you notice any irregularities or suspect that your agreement was not conducted fairly, it is important to take action promptly.

How to Complain Directly to Your Lender for Free

You can complain directly to your lender for free if you believe you have been affected by motor finance mis-selling. Major lenders operating in Lincolnshire include Black Horse (Lloyds Banking Group), MotoNovo Finance, Close Brothers Motor Finance, Santander Consumer Finance, Barclays Partner Finance, and Alphera Financial Services (BMW). Contacting the lender directly is your first step towards resolving any issues related to unfair practices. You do not need a claims management company; these companies often charge high fees and may not provide better outcomes than handling complaints yourself. If you are unsatisfied with your lender's response or if they fail to address your concerns adequately, you can escalate the matter to the Financial Ombudsman Service (FOS) for free. The FOS is an independent body that can review your complaint and make a final decision based on fairness.

Sources and References

Financial Conduct Authority (FCA)
Office for National Statistics Census 2021
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.

Frequently Asked Questions

How many drivers in Lincolnshire are estimated to have been affected by motor finance mis-selling?

Based on calculations using ONS Census 2021 population data and FCA estimates, approximately 72,670 drivers in Lincolnshire may have been impacted by motor finance mis-selling.

What should I do if I suspect my vehicle financing was mis-sold to me in Lincolnshire?

If you believe your motor finance agreement might have been mis-sold, it is advisable to review the terms of your contract and seek guidance from an independent financial advisor. You can also complain directly to your lender for free without engaging a claims management company.

How common is motor finance mis-selling in Lincolnshire?

Motor finance mis-selling has been identified as a significant issue across the UK, including Lincolnshire. The Financial Conduct Authority (FCA) estimates that 12.1 million eligible agreements (FCA, March 2026) have potentially been affected by this practice (FCA estimate).

What financial impact does motor finance mis-selling have on drivers in Lincolnshire?

The total value of mis-sold motor finance agreements could amount to around £7.5 billion (FCA, March 2026) across the UK, including Lincolnshire (FCA estimate). On average, each affected driver might be owed approximately £829 (FCA estimate), reflecting significant financial implications.

Important: MLJ.org.uk is an independent information resource. We are not a claims management company, solicitor, law firm, or financial adviser. We do not process claims, take fees, or provide advice. Where the law gives you a right to complain or claim directly (to a lender, council, FOS, court, or regulator), you can do so without paying a third party. MLJ.org.uk is operated by Copious Ltd, registered in England and Wales, company number 11437826.