When buying a Genesis vehicle through Arnold Clark, many consumers may be unaware of the potential issues with their car finance agreements. Did you know that your finance agreement for a Genesis purchased from Arnold Clark might have been affected by regulatory changes?
Genesis Finance at Arnold Clark
If you bought a Genesis through Arnold Clark or another dealership on a Personal Contract Purchase (PCP) or Hire Purchase (HP) plan, it’s essential to understand how these agreements work. Typically, when purchasing a vehicle like a Genesis from Arnold Clark, the dealer arranges for financing through a finance company rather than providing the loan themselves. This arrangement often involves a Discretionary Commission Arrangement (DCA), where dealers can receive additional payments based on the type of agreement customers sign up for.
During the period from 6 April 2007 to 1 November 2024, many car finance agreements were affected by these arrangements. According to the Financial Conduct Authority (FCA), an estimated 14 million agreements worth £8.2 billion were impacted, with the average claim amounting to around £700 (FCA estimate).
Finding Your Lender
When you purchased your Genesis through Arnold Clark, it’s crucial to identify which lender provided the finance for your vehicle. Arnold Clark operates as a dealer and is not the actual lender; therefore, any complaints should be directed to the financial institution listed in your agreement documents. You can find this information by reviewing your finance contract or contacting Arnold Clark directly.
If you believe that your car finance agreement with a Genesis vehicle purchased from Arnold Clark may have been affected, you do not need to use a claims management company. The simplest and most cost-effective way is to complain directly to the lender. Many consumers are unaware that they can request a refund or compensation without any upfront costs.
To start the process, gather all relevant documentation such as your finance agreement, payment receipts, and any communication with Arnold Clark about your vehicle purchase. Then, write a formal complaint letter addressed to your lender outlining your concerns clearly and concisely. You can also contact them by phone or email if you prefer.
Remember, the FCA estimates that many consumers could be entitled to compensation ranging from £700 on average (FCA estimate). By handling the complaint directly with the lender, you avoid additional fees typically associated with claims management companies and ensure a smooth process.
Sources and references
- Financial Conduct Authority (FCA) estimates: 14 million agreements affected, £8.2 billion total, £700 average claim amount.
- Arnold Clark operates in Scotland / UK-wide.
- Genesis vehicles may no longer be available at Arnold Clark but were previously sold through the dealership group.