Approximately 14 million car finance agreements were affected by potential mis-selling practices from 6 April 2007 to 1 November 2024, according to the Financial Conduct Authority (FCA). Among those consumers who purchased Genesis vehicles through Pendragon or similar dealer groups on Personal Contract Purchase (PCP) or Hire Purchase (HP), many may have been impacted by these practices. While Pendragon does not currently stock Genesis vehicles, many consumers bought Genesis models from Pendragon dealerships during the relevant period.
Genesis Finance at Pendragon
When purchasing a Genesis vehicle through Pendragon or similar dealer groups on PCP or HP finance, the dealership plays a crucial role in facilitating the finance agreement with the lender. However, it is important to understand that Pendragon acts as the intermediary between the consumer and the lender. The process often involves a
discretionary commission arrangement (DCA), where dealers earn commissions from lenders based on the terms of the finance agreements they arrange for customers. This DCA can sometimes lead to consumers being offered more expensive car finance deals than necessary, potentially resulting in overpayment.
Finding Your Lender
If you bought a Genesis vehicle through Pendragon and are concerned about potential mis-selling issues with your finance agreement, the first step is identifying which lender provided your financing. Review your finance documents carefully; these may include your contract hire agreement, credit agreement, or any related paperwork provided at the time of purchase. The lender's name will typically be listed prominently on these documents.
If you believe that you have been overcharged due to a discretionary
commission arrangement (DCA) or any other issue with your car finance agreement, it is important to address this directly with the lender. Do not contact Pendragon about complaints related to the finance agreement; they are merely the dealer and not responsible for handling these issues. Instead, reach out to your lender using the contact information provided in your finance documents. You do not need a
claims management company to handle your complaint; you can lodge it yourself at no cost.
Sources and References
- Financial Conduct Authority (FCA). "Credit card and car finance market study" (2017).
- FCA figures: 14 million agreements affected, £8.2 billion total (as of November 2024 estimate), £700 average (FCA estimate).