Martin Lewis warns millions of drivers they could be due payout

Martin Lewis warns vehicle owners could be owed thousands of poundsSource: The Martin Lewis Show, ITV

Transcript

00:00 Did you buy a car, van, camper van or motorbike on finance before the 28th of January 2021?

00:08 If so, you may be one of millions likely due thousands of pounds back.

00:14 This brand new mis-selling scandal is all about hidden commission,

00:19 and it's likely, in my view, to be the UK's second biggest reclaim after PPI.

00:25 Some estimate firms may be liable to repay up to £13 billion.

00:32 So let's start with the big picture. What is this all about?

00:34 This is car finance reclaiming.

00:36 We've said it before, car, van, camper van, motorbike on finance before the 28th of January 2021.

00:42 So that is the date of your finance agreement, not the date that you got the car.

00:46 Now, amongst those people, about 40% had discretionary commission arrangements.

00:52 That is the problem here. So if you're saying yes to what I'm going through,

00:57 it'll then be 40% of you who were probably due to get money back.

01:00 And this is what the problem was.

01:02 These finance firms let brokers and car dealers make up the interest rates

01:08 so they could charge more interest so that they got bunged more commission,

01:13 and they didn't tell you that, which means you could not negotiate.

01:16 You didn't know it wasn't a fixed interest and you could bring it down,

01:19 which means millions of you overpaid, crucially, without knowing.

01:26 So you will not know if this was you.

01:29 My view is you should be logging a complaint now if you're in the category of people

01:35 who thinks this may have happened to you.

01:38 And you're saying to do this now. Why not wait until the FCA finish the report

01:42 and then you know what's what?

01:43 Because I've studied this a lot. We know a lot, and there's a lot we don't know

01:48 because the regulator has not decided it yet.

01:50 One of those things is whether you may be timed out when you put your complaint in.

01:55 So the earlier you put your complaint in, the less chance you will be timed out

02:00 and not able to complain.