As the number of new car sales continues to soar so the number of car finance complaints is increasing. September 2015 will mark the 42nd consecutive month of growth in the UK new car market. But with more than seven out of every 10 new cars bought on a PCP (Personal Contract Purchase), the number of people getting into financial difficulties is also set to rise.
The result is an increase in car finance complaints, the Financial Ombudsman Service (FOS) and Auto Trader claim. They are reporting an 18 per cent rise in complaints relating to Hire Purchase (HP) and PCPs, increasingly popular finance products, explained in this useful guide to car finance from the Money Advice Service. The arrival of the 65-plate registration this week will see 450,000 new cars leaving showrooms across the country. Around 328,000 of those will be bought on finance.