The Peugeot 308 was commonly sold on
Personal Contract Purchase (PCP) and
Hire Purchase (HP) finance agreements during the Financial Conduct Authority's (FCA) investigation period from 6 April 2007 to 1 November 2024. This model, a popular choice among car buyers for its blend of style and practicality, was often financed through various lenders such as
Black Horse, Barclays Partner Finance,
Close Brothers Motor Finance,
MotoNovo Finance, and
Santander Consumer Finance.
How the Peugeot 308 Was Typically Financed
The typical finance amount for a Peugeot 308 ranged from £15,000 to £30,000. PCP agreements commonly spanned terms of 36 to 48 months, during which time customers made regular monthly payments while accruing a balloon payment or Guaranteed Minimum Future Value (GMFV) at the end of the agreement. This GMFV represented an estimate of the car's value when the agreement ended and was often used as leverage for returning the vehicle or making a final lump sum payment to own it outright.
Hire Purchase agreements, on the other hand, allowed customers to pay off the full cost of the Peugeot 308 over a period of 12 to 60 months. Unlike PCP, HP agreements did not include any balloon payments; instead, they required borrowers to make regular monthly payments until the total amount borrowed was paid in full.
The FCA Motor Finance Investigation
The FCA investigation uncovered significant issues with
discretionary commission arrangements that were common practice across the car finance industry during the specified period. These practices allowed lenders and dealerships to offer financial incentives on PCP agreements, which could lead to higher interest rates for consumers without their knowledge or consent. According to the FCA's findings, 12.1 million eligible agreements (FCA, March 2026) by these issues (FCA estimate), resulting in an estimated total of £7.5 billion (FCA, March 2026) being overcharged across the industry, with the average mis-selling case amounting to approximately £829 (FCA estimate).
How to Check Your Agreement Look for specific phrases such as "discretionary commission arrangement" or "DCA." If these phrases are present in your agreement, the FCA scheme covers eligible agreementsosed.
keep an eye out for any unusually high interest rates or additional fees that might have been hidden within the agreement. The presence of a DCA can indicate that your finance deal was potentially mis-sold due to undisclosed commission arrangements between lenders and dealerships.
If you suspect that your Peugeot 308 finance agreement may be affected by discretionary commission issues, it is important to know that you have the right to complain directly to your lender without incurring any costs. Common lenders such as Black Horse, Barclays Partner Finance, Close Brothers Motor Finance, MotoNovo Finance, and Santander Consumer Finance all have customer service departments dedicated to addressing complaints.
You do not need a
claims management company to assist you with this process; the
Financial Ombudsman Service (
[FOS](https://mlj.org.uk/guides/financial-ombudsman-service)) provides a free service for resolving disputes between consumers and financial services providers. Simply gather your finance agreement documents and any relevant correspondence, then contact your lender's customer service department or their dedicated complaints handling team.
Sources and References
- FCA estimate of 12.1 million eligible agreements: Source
- FCA estimate of £7.5 billion (FCA, March 2026) total overcharge: Source
- FCA estimate of £829 average per eligible agreement mis-selling case: Source
Based on 141,912 MOT tests conducted in 2024 (source: DVSA anonymised test data), the Peugeot 308 has a pass rate of 74.9%. This is below the national average of 79.6%, meaning the 308 has a higher-than-average failure rate in MOT testing.
The 308 pass rate is slightly below the overall Peugeot average of 77.1%. The average mileage at MOT for this model is 85,645 miles.
- MOT pass rate: 74.9%
- MOT failure rate: 25.1%
- Tests analysed: 141,912 (2024 DVSA data)
- Average mileage at test: 85,645 miles
- Peugeot average pass rate: 77.1%
- National average pass rate: 79.6%
Data source: DVSA anonymised MOT test results 2024, published under the Open Government Licence v3.0.