The Moto Guzzi V7 Stone, a classic Italian motorcycle known for its distinctive styling and powerful performance, was commonly sold on Personal Contract Purchase (PCP) and Hire Purchase (HP) finance agreements during the period covered by the Financial Conduct Authority’s (FCA) investigation into motor finance mis-selling (6 April 2007 to 1 November 2024). Were you among those who financed your Moto Guzzi V7 Stone through a PCP or HP agreement? If so, you should understand how these agreements were structured and the potential issues that could affect them.
How the Moto Guzzi V7 Stone was Typically Financed
Motorcycle enthusiasts often opt for finance options like Personal Contract Purchase (PCP) or Hire Purchase (HP) when buying a new bike such as the Moto Guzzi V7 Stone. These agreements typically range from £5,000 to £15,000 and have terms of 36 to 48 months. Common lenders for Moto Guzzi motorcycles include Black Horse, Close Brothers Motor Finance, MotoNovo Finance, and Moneybarn.
In a PCP agreement, you make monthly payments over the term of the contract while building equity in the bike. At the end of the agreement, there is usually a final payment (the balloon payment) that must be made to own the vehicle outright or it can be returned to the lender if this option was selected at the start of the agreement. In contrast, an HP agreement requires you to make fixed monthly payments throughout the term of the contract until the bike is fully paid for and yours to keep.
The FCA Motor Finance Investigation
The Financial Conduct Authority (FCA) launched a full investigation into motor finance arrangements from 6 April 2007 to 1 November 2024. This probe uncovered significant issues with discretionary commission arrangements, which are payments made by lenders to dealers that could incentivise them to push certain financing products regardless of the customer's best interests.
The FCA found that 12.1 million eligible agreements (FCA, March 2026), involving a total of £7.5 billion (FCA, March 2026) in finance (FCA estimate). On average, each mis-sold agreement was estimated to cost consumers around £829 (FCA estimate).
- Date Range: Ensure that your finance agreement was signed between 6 April 2007 and 1 November 2024.
- Finance Type: Check if it is a PCP or HP agreement. Discretionary commission issues primarily affected these types of agreements.
- DCA Markings: Look for any mentions of "Discretionary Commission Arrangements" (DCAs) in your documentation.
If you find that your finance agreement matches the criteria above, there’s a possibility it may have been mis-sold under the FCA investigation guidelines.
You do not need a claims management company to handle your complaint. Many common lenders for Moto Guzzi motorcycles include Black Horse, Close Brothers Motor Finance, MotoNovo Finance, and Moneybarn. These institutions have their own internal processes for handling complaints.
When you contact your lender directly:
- Provide Documentation: Gather all relevant documents related to your finance agreement.
- Explain the Issue: Clearly articulate why you believe your agreement was mis-sold based on the FCA findings.
- Request a Review: Ask for a thorough review of your case and compensation if applicable.
You can complain directly to your lender for free without the need for any external claims management company. This approach ensures that you handle the process yourself while receiving fair treatment according to regulatory guidelines.
Sources and References
- Financial Conduct Authority (FCA). "Motor Finance: FCA investigation into discretionary commission arrangements." [accessed 2024]
- Office of National Statistics Census Data (ONS Census 2021)
- Financial Ombudsman Service (FOS)