Updated: 29 August 2025

Originally Published: 17 March 2025

UK drivers who purchased their vehicles with MotoNovo Finance have been looking back at their contracts to see whether they are eligible for a car finance refund. 

If you believe you are a victim of mis-selling, this guide can give you insights through a clear step-by-step process. Keep reading to learn exactly how to proceed with your MotoNovo car finance claim. 

Confirm Eligibility

Can I claim against MotoNovo Finance?

Individual finance agreement holders and those in joint arrangements are eligible to file a claim if they believe the terms were misleading. 

This is why you should evaluate your contract. Determine if you qualify for a claim. Examine your contract thoroughly to ensure that its terms are clear and fair. 

Also, verify that every critical detail is openly disclosed and that you were not misled about the product or service.

In August 2025, the Supreme Court ruled that the presence of commission does not automatically make car finance contracts illegal [1]. However, where MotoNovo brokers or partner dealerships charged hidden discretionary commission, or increased interest to cover the cost of commission, this could potentially form the basis of an “unfair relationship” in consumer credit law. 

Therefore, many complaints against MotoNovo Finance are likely to be valid, and remain open, although each will depend on its own facts and whether hidden or unfair commissions were applied.

It is expected that the Financial Conduct Authority (FCA) will open a formal consultation in October 2025 [2] to confirm details of an industry-wide redress scheme. A consultation period of around six weeks is likely to be given, meaning it is not expected that final rules will come into place until early 2026. 

If introduced, it is likely that the scheme would be applicable to all MotoNovo mis-sold car finance agreements sold between 2007 and 2021. If applicable, the scheme would provide a route to redress for affected customers.

Signs of Mis-selling: A Checklist

• Inconsistencies in contract terms
• Explanations of fees, charges, and conditions are vague.
• Commission fees appear concealed or unjustified.
• Aggressive sales techniques push optional extras. 

Gather Documentation

If you suspect your financing agreement was negotiated under dubious conditions, you should compile every essential document.

First, collect every copy of your loan or contract as it outlines every term. Moreover, gather any communications from the dealer that reference the details of your finance offer, such as emails or letters. 

This also includes promotional materials that presented the product in a misleading way, as well as proof of payment. Reach out to Motoovo Finance directly if you need any document or missing details. 

What Documents Do You Need?

• Original contract copy
• Dealer communications, including letters, emails, or texts
• Promotional materials that may have been misleading
• Evidence of all payments made

File a Complaint with MotoNoVo Finance

With your documents assembled, it is time to file a formal complaint. Contact MotoNovo Finance [3] to submit your appeal. Clearly outline your case with your full name, the policy number, the agreement date, the vehicle registration details, and the address listed at that time. 

Your complaint should be sent directly to MotoNovo Finance through the appropriate contact channels provided by your lender or broker. They are expected to acknowledge your submission within a reasonable period.

In most cases, a reply is issued within 8 weeks. In some instances, responses might be as early as 15 or 35 days, depending on the nature of the complaint. While the FCA started to look at historic car finance contracts with MotoNovo and other lenders early in 2024, they temporarily suspended complaints handling [4] to have time to devise a 'fair and consistent' way of dealing with consumer complaints.

Escalate the Claim if Necessary

After reviewing your MotoNovo Finance claim, the provider reviews your claim and sends you a final response. They will explain what they have found during their investigation and if any errors were made in the sales process they will propose a remedy (or solution). 

If you find the reply unsatisfactory or if no answer comes, escalate the matter by contacting the Financial Ombudsman Service (FOS). However, you must act within six months to bring your case before the FOS might no longer accommodate it. 

To initiate your complaint with the FOS, begin by using their free online evaluation tool. This tool probes your claim and contract details to verify that your case falls within their jurisdiction. It outlines the necessary information you must include while confirming that your issue involves a provider of financial products or services. 

The FOS handles a wide array of financial offerings, such as banking services, credit cards, loans, insurance policies, pension schemes, savings accounts, and investment products. Moreover, the system confirms whether the business operates from within the UK, as the FOS addresses cases involving UK-based retail financial services. 

Complete the Online Complaint Form

Before you begin with the form, compile all your essential documents and relevant details. Then, complete the online complaint form in one continuous session because there is no option to save progress. 

The form asks for your personal data, such as your name, address, and preferred contact method. It also requires details about the business, including its name and address. 

Provide a clear description of your complaint, explain what occurred and how it affected you, then upload any supporting documents that back your claim. 

It is important to double-check and confirm every detail in the declaration section. If you face personal challenges, such as a serious illness, you should ensure the FOS knows about it when you submit your case. 

This careful method allows you to perform every step of the complaint process. After you submit your form, the FOS reviews your case thoroughly and pinpoints the main issues. 

They then instruct the business to address any unfair practices, and in some cases, you may even receive compensation for any distress or inconvenience you have experienced. 

The average redress that consumers will receive for a mis-sold MotoNovo Finance claims will vary depending on the length of the agreement and the terms. The FCA has given a figure in the past that the average discretionary commission claim will be about £950 per agreement [5]. 

The level of redress that is awarded will be different in every case depending on the circumstances of the agreement. Some customers may only be entitled to a small amount, others could be awarded several thousand pounds in compensation.

Consider Legal or Claims Management Assistance

When you decide to raise your complaint, you will notice that the service is both free and straightforward, so there is no obligation for you to secure a representative. Perhaps you can lean on a trusted family member or friend if that feels more natural. 

On the other hand, some individuals opt to seek guidance from an independent legal expert or a claims management company (CMC) to confirm they have the correct information. 

Contemplating litigation? Securing impartial legal advice is the best way to go. A reliable CMC or finance claims expert can connect you with an attorney if needed, but verify that they hold the proper authorisation to handle claims.

Bear in mind that while FOS processes claims at no cost, professional services might levy fees. 

Conclusion

It is possible to recover your money but you have to do the right thing and correct process to do that. This can also help in increasing consumer rights and promoting fairer industry practices. 

Recover compensation for your mis-sold contract with the help of a trusted CMC that can handle the complexities of a claims process. 

FAQs 

Can I make a claim against MotoNovo Finance?

Yes, you might be able to make a claim against MotoNovo Finance if you think you were mis-sold a PCP car finance agreement or hire purchase agreement.

How much could I get from a MotoNovo Finance claim?

The FCA has provided guidance suggesting an average payout of around £950 per agreement, though some MotoNovo Finance claims may be worth several thousand pounds.

Can I make a claim on MotoNovo Finance if my PCP has ended?

Yes, you can still make a claim against MotoNovo Finance even if your PCP agreement has ended, provided you believe the finance was mis-sold.

What if MotoNovo Finance rejects my complaint? 

If MotoNovo Finance rejects your complaint, you can take your complaint to the Financial Ombudsman Service, who will review your complaint independently.

Do I need to use a professional for a MotoNovo Finance claim?

You can make a claim yourself, but many people decide to use a regulated claims management company to help.

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1. In August 2025, the Supreme Court ruled that the presence of commission does not automatically make car finance contracts illegal - https://supremecourt.uk/uploads/uksc_2024_0157_0158_0159_judgment_2bb00f4f49.pdf
2. the Financial Conduct Authority (FCA) will open a formal consultation in October 2025 - https://www.fca.org.uk/news/press-releases/fca-consult-motor-finance-compensation-scheme
3. MotoNovo Finance - https://customer.motonovofinance.com/motor-finance-commission-complaints
4. the FCA temporarily suspended complaints handling - https://www.fca.org.uk/news/statements/firms-given-until-december-2025-respond-motor-finance-commission-complaints
5. the average discretionary commission claim will be about £950 per agreement - https://www.theguardian.com/business/2025/aug/04/who-will-get-car-loan-payout-how-much-regulator