Chrysler car finance claims have affected a significant number of consumers who purchased their vehicles through Pendragon, one of the UK’s largest dealership groups. Since 6 April 2007 and up to 1 November 2024, it is estimated that around 14 million agreements for car finance were potentially mis-sold, amounting to a total of £8.2 billion in outstanding balances, with an average claim value of £700 (FCA estimate).
Chrysler Finance at Pendragon
When purchasing a Chrysler through Pendragon or similar dealer groups, the process typically involves entering into either a
Personal Contract Purchase (PCP) or
Hire Purchase (HP) agreement. These types of car finance agreements are designed to make vehicle ownership more accessible by spreading payments over time and often requiring smaller monthly instalments compared to outright purchase. However, during this period, many dealerships, including Pendragon, operated under a
discretionary commission arrangement (DCA), where the dealer received a higher commission on sales if the customer took out finance through their recommended lender.
Finding Your Lender
While Pendragon may not currently stock Chrysler vehicles, it’s crucial for those who purchased a Chrysler from them during the affected period to identify which lender provided the car finance. To do this, you should review your finance agreement documents carefully. These documents will contain the name and contact details of the lending institution that facilitated the financing arrangement when you bought your vehicle through Pendragon.
If you suspect that you may have been mis-sold a car finance agreement for your Chrysler purchased at Pendragon, it’s important to understand where to direct your complaint. The dealer is not the lender; therefore, any complaints should be directed to the lending institution named in your finance documents. You can
complain directly to your lender without needing to use a
claims management company. This process is free and straightforward. Remember that you do not need a claims management company to handle your car finance claim.
Sources and References
- Financial Conduct Authority (FCA) estimates for mis-sold car finance agreements: 14 million agreements, £8.2 billion total, £700 average claim value.
- Information on discretionary commission arrangements provided by industry reports and regulatory bodies.
- Pendragon’s nationwide operations confirmed through their corporate website and financial filings.