MotoNovo is a prominent UK-based financial service provider that specialises in offering car financing options to its customers. The main goal of the company is to provide easy, accessible, and flexible car financing options to make the ownership process easy for all. It offers a range of car finance options, including Personal Contract Purchase (PCP) and Hire Purchase (HP) finance. The company works with multiple car dealerships in the UK to cater to various budgets and credit profiles.
MotoNovo is known for its customer-oriented approach and works to provide transparent and straightforward car finance solutions. It offers online account management services, where customers can easily pay off their monthly instalments and check their current balance. MotoNovo aims to provide the best financial services to its car owners. The company has also been involved in resolving issues related to PCP and HP claims in the UK.
What is MotoNovo Car Finance?
The company is known for providing PCP and HP car finance to the locals. These are the two famous car deals prevalent in the UK’s automotive industry. In PCP car finance, the customer only pays an initial amount, which is not that much compared to the final balloon payment at the end of the term. Then, the customer pays a monthly amount suitable and adjusted for his needs. These monthly instalments are distributed over a specific time span, which is usually a two to three years time period. Later, the PCP holder is presented with three different options:
- Retain
- Return
- Exchange
If you bought a Ford with PCP finance from MotoNovo, you will be given three options at the end of the PCP contract. It states that you can either retain the car after paying the optional balloon payment. This is a final lump sum, which is also referred to as a Guaranteed Minimum Future Value (GMFV). If you pay this amount, you will become the owner of the car.
Secondly, if you return the vehicle, you pay no extra amount. However, if you want to get a new Ford model, you can sign a new PCP deal to exchange your car. In case, you think you are mis-sold on your PCP deal, you can make a Ford PCP claim. If you purchased it from MotoNovo you will get a MotoNovo PCP refund.
Meanwhile, in HP car finance, the customer pays an initial deposit and only makes fixed monthly payments. There is no final payment. The HP car finance does not offer three end-of-term options. Instead, the buyer becomes the owner once all payments are paid off.
How is a PCP Car Finance Mis-Sold?
Mis-sold car finance PCP is a trending topic in the UK. Some investigations by the Financial Conduct Authority (FCA) have revealed a series of mis-sold PCP complaints by customers from different lenders, including MotoNovo.
According to a recent study, people who bought cars on PCP or HP finance between 2007 and 2021 were overcharged on interest rates. Before 2021, lenders or brokers charged a hidden fee or commission on PCP deals without informing the customers. This increased the price of the contract and resulted in financial stress for the buyers. However, the lenders profited from Discretionary Commission Arrangements (DCAs), which were later banned in 2021. So, now, people who purchased cars on PCP deals can apply for PCP agreement claims.
There are some other reasons for mis-selling as well, which include,
- The lender or the broker failed to explain the terms and conditions of the PCP contract.
- The broker did not inform the customer about mileage restrictions and the car’s condition.
- The lender did not run a complete background check on the customer.
- The customer was not offered the best financial product suitable for his needs.
- The customer was forced or pressured by the sales team to sign the contract immediately.
- The lender did not provide a complete breakdown of the total cost of the PCP contract.
- They charged excessively high interest rates on the PCP and HP deals.
These are some reasons a customer may apply for a MotoNovo PCP refund.
How to Make a PCP Refund Claim?
If you are looking for PCP and HP claim experts to handle your claim process, you can contact our team at Goodwin Rodgers. We have a dedicated team of experts handling all sorts of claims and compensation for your mis-sold deals. We are trained and licensed legal practitioners in the UK. Furthermore, we charge no fees to identify your mis-selling issue. Our claim process is simple and easy.
You can visit our website and enter your details to get a free claim check. Our team will contact you and further proceed with the matter for you. You do not need to worry about anything. We will do all the legwork for you legally and professionally. The claim process takes time, so be patient and hopeful to get your money back.