Home › Vehicles › Cars › Harley Davidson › Harley Davidson › Harley-Davidson Sportster S Finance | Mis-Sold?

Harley-Davidson Sportster S Finance | Mis-Sold?

Last updated: 27 February 2026

The Harley-Davidson Sportster S is a versatile and powerful motorbike that has been popular among enthusiasts since its introduction. During the period from 6 April 2007 to 1 November 2024, it was commonly sold on Personal Contract Purchase (PCP) and Hire Purchase (HP) finance agreements. However, these financing arrangements have come under scrutiny due to the Financial Conduct Authority's (FCA) investigation into motor finance mis-selling practices.

How the Harley-Davidson Sportster S Was Typically Financed

The Harley-Davidson Sportster S was often financed through PCP and HP agreements that ranged from £5,000 to £15,000. Common lenders providing financing for this model include Black Horse, Close Brothers Motor Finance, MotoNovo Finance, and Moneybarn. PCP terms typically lasted 36 to 48 months with a balloon payment at the end of the agreement.

PCP agreements allowed buyers to make lower monthly payments during the term of the contract, with a large final lump sum required to own the bike outright or return it to the lender. This structure made the Sportster S more accessible for motorcycle enthusiasts but also introduced complexities that could lead to mis-selling issues if not explained clearly.

The FCA Motor Finance Investigation

The Financial Conduct Authority (FCA) launched an investigation into motor finance agreements, focusing on discretionary commission arrangements between lenders and dealerships. These arrangements were found to incentivize dealers to push customers towards more expensive financing options that may have been unsuitable for their financial situation. According to the FCA's findings, 12.1 million eligible agreements (FCA, March 2026) during the period under review (FCA estimate), with a total value of £7.5 billion (FCA, March 2026) and an average mis-selling amount of £829 per agreement (FCA estimate).

The investigation uncovered that dealers might have received additional commission for steering customers towards PCP or HP deals, rather than advising them on more affordable options like cash purchases or lower-cost financing alternatives.

How to Check Your Agreement Look for terms such as "Discretionary Commission Arrangements" (DCA) or similar language indicating that your dealer may have received extra incentives based on the type of financing you chose.

You should also check if your lender was one of those commonly used for Harley-Davidson models, including Black Horse, Close Brothers Motor Finance, MotoNovo Finance, and Moneybarn. If any of these conditions apply to your agreement, there is a possibility that it could be affected by the FCA investigation.

How to Complain Directly to Your Lender for Free

If you believe that your Harley-Davidson Sportster S finance agreement was mis-sold, you can complain directly to your lender without needing to use a claims management company. The lenders mentioned earlier-Black Horse, Close Brothers Motor Finance, MotoNovo Finance, and Moneybarn-are obligated under the FCA investigation to address complaints from affected customers.

To start the complaint process, gather all relevant documents related to your finance agreement and any correspondence with your lender or dealership. Then, contact your lender directly through their customer service number or online portal. Provide a detailed account of why you believe your agreement was mis-sold and include any supporting evidence.

It is essential to follow up regularly on the progress of your complaint and keep records of all communications. If your initial complaint does not resolve the issue, you can escalate it to the Financial Ombudsman Service (FOS) for further review, which remains free of charge.

Sources and References

FCA investigation into motor finance agreements (FCA estimate)
Financial Conduct Authority statistics on affected agreements (£7.5 billion (FCA, March 2026) total, £829 average per eligible agreement per agreement) (FCA estimate)
Common lenders for Harley-Davidson motorcycles: Black Horse, Close Brothers Motor Finance, MotoNovo Finance, Moneybarn
Relevant dates for the FCA investigation period: 6 April 2007 to 1 November 2024

Frequently Asked Questions

What are some common issues associated with motor finance for Harley-Davidson Sportster S motorcycles?

Common issues include mis-selling practices such as inadequate explanations of interest rates and terms, failure to disclose total cost of borrowing, and lack of transparency about early repayment penalties. Consumers may also face aggressive sales tactics that pressure them into agreements they cannot afford.

How can I identify if my Harley-Davidson Sportster S motor finance agreement was mis-sold?

Signs of mis-selling include being pushed into a high-cost credit agreement, not fully understanding the terms and conditions at the time of purchase, and facing unexpected fees or charges that were not clearly explained during the sales process.

What steps should I take if I suspect my Harley-Davidson Sportster S motor finance was mis-sold?

Firstly, review your agreement documentation carefully. You can complain directly to your lender for free and request a reassessment of the terms under which you entered into the contract. It's important to gather any relevant communications or evidence that supports your case.

How does motor finance mis-selling affect Harley-Davidson Sportster S owners?

Mis-sold motor finance can lead to financial hardship for owners, including overpayment of interest and fees. This can result in difficulty making monthly payments and negative impacts on credit scores. Owners may also face legal challenges in resolving these issues without the need for a claims management company.

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.