Citroen car finance claims have affected a significant number of consumers who purchased their vehicles through Arnold Clark, one of the UK's largest car retailers. Since 6 April 2007 to 1 November 2024, an estimated 14 million agreements have been impacted by unfair or potentially unfair practices in the car finance industry, amounting to a total of £8.2 billion (FCA estimate). The average consumer could be entitled to around £700 (FCA estimate) in compensation if their agreement falls within this period.
Citroen Finance at Arnold Clark
When purchasing a Citroen through Arnold Clark, many consumers opt for
Personal Contract Purchase (PCP) or
Hire Purchase (HP) agreements. These financing options are often structured with
discretionary commission arrangements (DCAs), which may have resulted in higher costs for customers than necessary. The DCA allows the dealer to receive additional income from the lender for recommending a particular finance plan, but it doesn’t necessarily mean that this is the most cost-effective option for the consumer.
Finding Your Lender
It’s crucial to determine the exact name of your lender when purchasing a Citroen through Arnold Clark. While Arnold Clark facilitates the car purchase and often arranges the financing, they are not the actual lenders; the finance agreement will be provided by a separate entity such as
Lombard or Barclays. You should carefully review your finance documents to identify which lender is responsible for managing your agreement.
If you believe that your Citroen car finance arrangement may have been affected by unfair practices, the first step is to contact your lender directly. Arnold Clark is not involved in handling complaints about these agreements; they are merely the point of sale and do not manage the financing process once the contract is signed. You can
complain directly to your lender for free without needing a
claims management company. Your lender will be responsible for addressing any issues related to unfair or potentially unfair practices, such as discretionary commission arrangements.
Sources and references
- Financial Conduct Authority (FCA) estimates on affected car finance agreements: 14 million agreements (£8.2 billion total, £700 average per claim)
- Arnold Clark's dealership network in the UK and Scotland