The Kia Proceed was commonly sold on
Personal Contract Purchase (PCP) and
Hire Purchase (HP) finance agreements during the Financial Conduct Authority's (FCA) investigation period, which lasted from 6 April 2007 to 1 November 2024. This period saw a significant number of car sales where dealerships often used aggressive marketing tactics to push these types of financing options on unsuspecting customers.
How the Kia Proceed was Typically Financed
The Kia Proceed was frequently financed through PCP agreements, which typically spanned between £15,000 and £30,000 over a term ranging from 36 to 48 months. Common lenders providing finance for the Kia Proceed included
Black Horse, Barclays Partner Finance,
Close Brothers Motor Finance,
MotoNovo Finance, and
Santander Consumer Finance.
PCP agreements usually involve balloon payments at the end of the contract period. These final payments are designed to cover any remaining residual value of the vehicle if you decide to buy it outright or return it at that time. This structure often leads consumers into financial difficulties when they underestimate their ability to clear these lump sums, leading them to face significant losses.
The FCA Motor Finance Investigation
The FCA launched an investigation into motor finance agreements during its period of interest due to widespread concerns about the practice known as
Discretionary Commission Arrangements (DCAs). Dealers were reportedly incentivised with lucrative commissions for steering customers towards more expensive financing options rather than offering them fair and transparent deals. As a result, millions of consumers unknowingly entered into agreements that did not suit their financial circumstances.
According to the FCA's investigation findings, 12.1 million eligible agreements across various models, including the Kia Proceed, were potentially affected by these practices (FCA estimate). The total value of these agreements amounted to approximately £7.5 billion (FCA, March 2026), with an average mis-selling cost per agreement estimated at £829 (FCA estimate).
How to Check Your Agreement Look out for any mention of "Discretionary Commission Arrangements" or "DCA". check if the agreement was signed between 6 April 2007 and 1 November 2024.
If you find that your finance deal includes these elements, it is likely that your agreement has been affected by unfair practices. You should gather all relevant documentation related to your car purchase and financing before proceeding with any complaint process.
You can complain directly to your lender without the need for a
claims management company. If you are one of the many Kia Proceed owners who financed their vehicle through common lenders such as Black Horse, Barclays Partner Finance, Close Brothers Motor Finance, MotoNovo Finance, or Santander Consumer Finance, reaching out to them is an effective first step.
When preparing your complaint, ensure that you provide detailed evidence supporting why you believe you were mis-sold the finance agreement. This might include proof of your financial situation at the time and any communication with dealership staff that suggests they pressured you into a specific financing option. Remember, you should present clear and full documentation when lodging your complaint.
You do not need a claims management company; instead, contact your lender directly via their customer service line or through an online form on their website. They are required by law to address your concerns in accordance with the FCA guidelines.
Sources and References
- Financial Conduct Authority (FCA), 2024
- Office for National Statistics Census (ONS Census), 2021
Based on 1,483 MOT tests conducted in 2024 (source: DVSA anonymised test data), the Kia Proceed has a pass rate of 69.9%. This is below the national average of 79.6%, meaning the Proceed has a higher-than-average failure rate in MOT testing.
The Proceed pass rate is slightly below the overall Kia average of 81.4%. The average mileage at MOT for this model is 94,328 miles.
- MOT pass rate: 69.9%
- MOT failure rate: 30.1%
- Tests analysed: 1,483 (2024 DVSA data)
- Average mileage at test: 94,328 miles
- Kia average pass rate: 81.4%
- National average pass rate: 79.6%
Data source: DVSA anonymised MOT test results 2024, published under the Open Government Licence v3.0.