The Suzuki V-Strom 1050 is a popular adventure motorcycle that 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 bike, known for its versatility in both road and off-road riding, was often financed through a variety of lenders including Black Horse, Close Brothers Motor Finance, MotoNovo Finance, and Moneybarn.
How the Suzuki V-Strom 1050 Was Typically Financed
The Suzuki V-Strom 1050 typically saw finance agreements ranging from £5,000 to £15,000, with terms often lasting between 36 to 48 months. Many riders opted for PCP plans due to their flexibility and the option to buy, return, or replace the bike at the end of the agreement. Common lenders like Black Horse, Close Brothers Motor Finance, MotoNovo Finance, and Moneybarn were frequently involved in financing these agreements.
In a typical PCP agreement for the Suzuki V-Strom 1050, customers would pay monthly instalments over the term of the loan while saving up a balloon payment due at the end of the contract. This final payment was often referred to as a "balloon" or residual value and determined whether the borrower could afford to keep the motorcycle.
The FCA Motor Finance Investigation
The Financial Conduct Authority (FCA) launched an investigation into motor finance agreements between 6 April 2007 and 1 November 2024, focusing on
discretionary commission arrangements. During this period, it was discovered that lenders were providing additional payments to car dealers for recommending certain financial products. The FCA found that these practices affected 12.1 million eligible agreements (FCA, March 2026), amounting to a total of £7.5 billion (FCA, March 2026) in finance (FCA estimate) across various models and brands, including the Suzuki V-Strom 1050.
The investigation highlighted significant issues related to transparency and customer understanding regarding their financing options. Dealers often favoured specific lenders due to these additional payments, which could result in customers being offered less competitive terms than they might have received elsewhere. On average, affected agreements were overcharged by £829 (FCA estimate), impacting a substantial number of motorcycle owners.
How to Check Your Agreement Look for dates that fall within the critical period of 6 April 2007 to 1 November 2024 and ensure your lender was one of those involved in discretionary commission arrangements.
Specifically, check if your agreement includes any reference to a "Discretionary Commission Arrangement" (DCA). This term indicates that your finance deal may have been part of the FCA investigation. If you find these details or suspect issues with your contract, it is important to investigate further and potentially contact your lender for clarification.
If you believe your Suzuki V-Strom 1050 finance agreement was affected by the FCA investigation, you can complain directly to your lender without needing a
claims management company. Common lenders such as Black Horse, Close Brothers Motor Finance, MotoNovo Finance, and Moneybarn all have dedicated teams to handle customer complaints.
When contacting your lender, provide them with detailed information about your agreement, including dates, payment amounts, and any specific concerns you have regarding the terms of your finance deal. Be clear in your communication and ask for a thorough review of your case based on the FCA's findings.
Remember that seeking help from a claims management company is not necessary. You can handle the complaint process yourself by following the steps outlined above.
Sources and References
- Financial Conduct Authority (FCA). "Motor Finance Investigation." [Date Accessed].
- Financial Ombudsman Service (FOS). "Complaints Handling Guidelines."
- FCA estimates on affected agreements, total finance amount, and average overcharge.
- ONS Census 2021.