Moneybarn is a leading lender specialist in the UK for vehicle finance. Moneybarn was involved in the mis-sold car finance scandal after they failed to communicate the consequences triggered by missing payments before the customer signed the agreement. As a result, Moneybarn claims began to rise.
Is there evidence of Moneybarn irresponsibly lending?
Yes, Moneybarn was given a fine of £2.77 million by the Financial Conduct Authority. Moneybarn failed to treat customers with transparency during times of financial difficulty with loan repayments. This happened between 1 April 2014 and 4 October 2017. They failed to communicate the risk involved if customers did not keep up with their payments.
As a result more than 1,400 customers defaulted on their loans after they were placed into unsustainable short-term repayment plans.
Did Moneybarn provide compensation?
Yes, MoneyBarn paid more than £30 million in compensation to nearly 6,000 customers affected by the mis-selling. Moneybarn did not require any of these customers to prove their financial loss.
Mark Steward, Executive Director of Enforcement and Market Oversight (FCA): ‘It also did not communicate clearly to customers, in financial difficulty, their options for exiting their loans and the associated financial implications, resulting in many incurring higher termination costs. These are serious breaches. ‘After discussions with the FCA, Moneybarn voluntarily paid more than £30 million in redress to customers potentially affected by its failings.
Was my Moneybarn loan mis-sold?
There are several ways listed below which may indicate Moneybarn mis- sold the loan due to your financial situation:
Your disposable income was taken up largely by the loan repayment
One of your debts funded another. After repaying a loan, did you often borrow again or consolidate multiple loans? Loans you may have obtained from a single lender were consistently growing. You can still make a claim, even if you only became aware of the chance to claim, within the last three years.
You can still start the process of making a claim even if you have forgotten the dealership who sold you finance, or if you can’t find the agreement. All you need is the company name you made the payments to. Your old bank statements should hold this information.
How can I make a Moneybarn claim?
Making a Moneybarn claim with My Car Finance is a simple 3-step process. With just a few details, you can begin an application today. Enter your registration into our automatic number recognition system to get started. Click the button below to begin and we will do the rest and make it hassle-free.
