Mis-sold motor vehicle finance claims in the UK refer to situations where consumers have been provided with inappropriate or unsuitable financing options for their vehicles, leading to customers paying more than they should have or facing unexpected financial difficulties. This can occur due to various reasons, such as inadequate affordability checks, misrepresentation of the financing terms, or the omission of crucial information during the sales process.

The issue of mis-sold motor vehicle finance gained attention in the UK in the late 2010s, when it was discovered that some car dealerships and finance providers had been engaging in deceptive practices, including pressuring consumers into agreements with high interest rates and hidden fees. This led to a series of investigations and legal challenges, resulting in the identification of widespread mis-selling and misconduct in the motor vehicle finance industry.

In response, the Financial Conduct Authority (FCA) implemented a set of guidelines for finance providers to follow when assessing affordability and ensuring that customers are not subject to unfair practices or overcharged. The FCA also established a mechanism for consumers to make complaints and seek redress if they believe they have been subject to mis-sold motor vehicle finance agreements.
Overall, mis-sold motor vehicle finance claims are a result of the intricate nature of vehicle financing and the potential for errors or misconduct by dealerships and finance providers. Consequently, it is essential for consumers to carefully review their finance agreements and seek professional advice if they suspect any irregularities or have concerns about the appropriateness of their financing arrangements.