Car Finance Complaints Surge By Over 60%

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Massive rise in auto finance deals are making a large number of purchasers complain about their contracts.

The Financial Ombudsman said vehicle finance ascended by 64% in 2016 with worries over both hire purchase agreements and personal contract purchases (PCP) deals.

The Ombudsman’s yearly audit discovered drivers were being caught out by huge installments to possess a car toward the end of their contract.

Excess mileage charges were additionally a reason behind the complaint, with one buyer hit with a £600 charge for surpassing her 7,000-a-year limit.

The Ombudsman supported her and deferred the charge.

The watchdog said it was worried about the absence of transparency in the market and individuals being pushed into deals they are unable to pay.

Motor insurance cases likewise soared up 38% representing almost 33% of all insurance complaints.

Logbook credits, where drivers utilize their logbook as guarantee for a loan, was another sector that saw a surge in complaints which went up by 75%

Although the number of people complaining about their financier rose from just 59 to 103 between 2015 and 2016.