How to Identify if Your Motor Finance Agreement Includes a Discretionary Commission Arrangement

Understanding whether your motor finance agreement involves a Discretionary Commission Arrangement (DCA) is crucial, given the FCA's ongoing investigation. Here are steps to help you determine if your agreement includes a DCA:

Steps to help you identify if your Motor Finance Agreement includes a DCA arrangement.

1.Review Your Finance Agreement Documentation:

• Terms and Conditions: Carefully read the terms and conditions of your finance agreement. Look for any mentions of commissions, dealer incentives, or similar terminology.
• Dealer Information: Check if the agreement includes any statements about the dealer receiving a commission from the lender. This could be an indication of a DCA.

2.Check the Finance Agreement Summary:

• APR and Fees: Compare the Annual Percentage Rate (APR) and fees outlined in your agreement with the average rates available at the time of signing. A higher-than-average APR might suggest the presence of a commission.
• Breakdown of Costs: Some agreements provide a breakdown of costs, including any dealer fees or commissions. Look for any such breakdowns in your documentation.

3.Consult with Resolved Claims Limited:

• Professional Review: We have the expertise to identify terms and conditions indicative of a DCA.

Resolved Claims Limited is a long-established, FCA Regulated, No Win, No Fee Claims Management Company that specialise in assisting consumers recover compensation without requiring an upfront payment. Call us on 0800 368 5110 or e-mail us at info@resolvedclaims.co.uk or complete our Online Contact Form and we will get in touch to discuss the details of your claim.

Red Flags Indicative of a Discretionary Commission Arrangement

Some specific red flags to look out for in your motor finance agreement:

Lack of Transparency

If the dealer or lender was not transparent about how the interest rate was set or how the dealer was compensated.

Variable Interest Rates

If your finance agreement has a variable interest rate that seems unusually high or is subject to sudden changes.

Complex Fee Structures

Agreements with complicated fee structures that are difficult to understand or justify.

Next Steps if You Identify a DCA

Call Resolved Claims Limited on 0800 368 5110 or e-mail us at info@resolvedclaims.co.uk or complete our Online Contact Form and we will get in touch to discuss the details of your claim.

Stay Updated with Resolved Claims Limited

Identifying whether your motor finance agreement includes a discretionary commission arrangement can be complex, by following these steps and staying informed, you can better understand your position and potential recourse.

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Contact us:

• Phone: 0800 368 5110
• Email: info@resolvedclaims.co.uk
• Website: www.resolvedclaims.co.uk