How to Appeal a Rejected Car Finance Claim

A rejected car finance claim can be frustrating to receive, especially after you have poured effort into filling it. It feels like another major blow after being misled. But doesn’t mean it ends there. There are numerous claims that have been reversed, with the right approach and stronger evidence. By understanding where things went wrong and the reason behind rejection, you can improve your chances of success. 

In this guide, we will navigate the appeal process, and improve your chances for a favorable conclusion. Don’t feel overwhelmed at any stage as there are trusted companies like Reclaim247 who offer unbiased counsel and help. 

Step 1: Understand Why the Claim Was Rejected

Before considering an appeal, you should be able to identify what caused your claim’s rejection in the first place. Rejection doesn’t necessarily invalidate your case, however, it means that on the other party, your claim isn’t strong enough to be deemed successful. It may need either clarification or additional evidence. 

Here are the common reasons for rejection:

Insufficient Evidence or Documentation

If you missed proof to substantiate your claims of mis-selling, or hidden charges, then your car finance claim may be rejected. The lack of supporting documents like your PCP finance agreement or communication records may also cause your documents to be deemed insufficient. There are possible instances of faking documents, for which it is essential to submit an original copy. 

Disputes over facts in the agreement

Since there are two parties in the dispute scenario, it’s possible you both have different interpretations of the contract terms, and your lender may deny any wrongdoing. Cases of PCP claim refunds can tarnish the dealer’s integrity, which is a possible reason they will contest your case. You should already expect this, and prepare an even stronger outline of your claim. Dismissal of the case may also happen if it’s proven that your lender has clearly outlined the terms in the clauses of your agreement. 

Procedural errors

Missing the deadline is another common reason for rejected claims. You should be able to file a claim within six years from the agreement or three years once you suspect mis-selling. If you miss this, then expect your claim to be rejected outright. Another possible procedural error is failing to complete the forms correctly. Every form in a PCP claim refund process is crucial, and you should be able to fill it out correctly. These are all crucial details in assessing whether your claim has grounds. 

What You Should Do:

• Review your rejection letter: Read through on why the lender denied your claim. The lender’s explanation on the denial of claim should be precise and straightforward. If not, then this can be your basis for the appeal. However if the reason for denial was highlighted, then start from there on, in assessing how you can counter them with an appeal.  
• Take notes of the case: Identify the causes of rejection, and see if you have your reasons to counter it.
• Clarify Ambiguities: If the rejection letter wasn't clear enough, then it's better to approach the lender to ask a clearer reason or make them explain why it isn't sufficient. Communicate the concern so you would know how to fix it. 

Step 2: Strengthen Your Evidence

Providing well-documented, substantiated evidence that strengthens your claim is essential to increasing the likelihood of a successful appeal. It’s not impossible to overturn the ruling, but this time, you have to be more prepared and be able to provide greater proof of your claim. The greater your evidence, the higher your chances of success.

Here are some practical tips to improve your chances of winning the appeal:

• Revisit your Car Finance Agreement: Look for inconsistencies that you might not have noticed the first time. Examine the contract for any undisclosed charges, high interest rate or balloon payments which caused you to pay more than you anticipated. 
• Gather additional evidence like email threads and other communications: Any correspondence with your dealer or lender, can serve as evidence of mis-selling. If there are promises and assurances that weren’t honoured, then you can use these as evidence too, as long as you’re able to give proof of such. Some misleading claims are also present in promotional materials, so you may want to take copies of that as well. 
• Create a clear timeline of events: To make it more comprehensive, it’s better to draw a timeline of events, which includes when the agreement was signed, and any discussions within. 
• Obtain records and documents that show mis-selling: You have to obtain copies of important documents that can show a mis-selling has occurred, in line with the PCP agreement you have. 
• Organise your evidence: While completing your evidence is the more important part, it’s also a good idea to organise your proof and group similar documents together to make it easier for the lender to review your claim. The more organised it looks, the more comprehensible it becomes to the person reviewing it.

It's vital to prepare your case thoroughly, so then you can show your lender or the financial ombudsman that you are credible. It’s important to establish this, to show your lender that you are addressing their concern. With this, you can expect an even better chance of a successful outcome. 

Step 3: Revise and Resubmit Your Complaint

Once you’ve strengthened your evidence, then proceed with refining it. Make it solid and conduct multiple reviews to improve your chances of approval. A well-prepared resubmission can effectively address the lender’s concerns and significantly improve your chances of success.

How to Revise and Resubmit Your Complaint

• Address the reasons for rejection Before submitting your complaint, ensure that the revised one answers specifically to the issues raised in the rejection letter.
• Use clear and concise language. You do not need to be emotional in the appeal. You just have to be logical, and straightforward on what you want to happen. However you must still practice professionalism when addressing your concern, even if you are the victim. Be clear on why you believe you were mis-sold and reference any conversations to support your claim. 
• Include all supporting documents. If the primary evidence or proof isn’t enough, then provide secondary evidence to support, or if possible, gather additional evidence that will support your claim. 
• Meet the lender’s resubmission deadlines. The rejection letter will include a specific date of when you can make an appeal,and you should be courteous in meeting this. 
• Ensure your documentation is organised and easy to navigate for the reviewer. Submit your revised complaint well before the deadline to avoid any last-minute issues.

Additional Tips

• Request Acknowledgment: After resubmitting, ask the lender to confirm receipt of your complaint.
• Keep Copies: Retain copies of all submitted documents and correspondence for your records.

A clear, evidence-backed, and timely resubmission shows diligence and increases the likelihood of your claim being reconsidered.

Step 4: Escalate to the Financial Ombudsman Service

Some car finance claims remain unresolved after resubmission, and with this, the next step is to escalate the matter to the Financial Ombudsman Service (FOS). The FOS provides an independent, impartial review of mis-selling complaints, and can make binding decisions on the case.

How the Financial Ombudsman Service Works 

The FOS is a government-backed organisation that bridges consumers and financial businesses in solving disputes that commonly arise between financial agreements. Whatever unsolved case you have, you can opt to resolve disputes with the Financial Ombudsman Service. The FOS is not pro-consumers, nor are they pro-business. Instead, they are the neutral party who is responsible for reviewing both sides of the case and offering a fair resolution based on the evidence provided.

The Escalation Process

Escalating to the FOS will make your claim even more lengthy, but this time, you’re more confident. Here’s the process involved so you know what to expect.

• Determining eligibility: Has your complaint been with your lender for at least eight weeks and you still haven’t received any response? If yes, then it’s time to escalate. You can also escalate to the FOS if your lender disregarded your claim, or instead suggested an unfair resolution. 
• Submit your complaint to the FOS: Submitting your complaint is now easier, as you can visit the FOS website and contact them directly to begin processing your claim. You just need to fill out a complaint form and indicate all the needed information about your case.
• Submit your evidence to the FOS. Also give the FOS the same evidence which you gave your lender, and all correspondence and documents that prove you were mis-sold. 

The evidence includes:

• Original Finance Agreement - This includes the complete contract, which highlights any issues and hidden fees charged to you unknowingly.
• Communication Records - Compile all letters, notes, emails and phone calls that show misrepresentation and misleading sales tactics.
• Rejection Letter - Since you were previously rejected, then it’s important that you submit a copy of your rejection letter as well, to show why you are pursuing escalation with the FOS. 

How to Prepare Your Case

Preparing your case for escalation to the FOS is crucial as you don’t want any mistake to lengthen the process. Here’s how:

1. Summarise your Claim. The FOS should know all the important details of your claim so you should be able to provide a clear and concise summary which includes how you were mis-sold and what resolution or compensation you are seeking. 
2. Explain the impact. You should be able to describe how you were financially impacted by the mis-selling, highlighting the difficulties it brought you. 
3. Organise your Documents. Keep all your documents in order, both to keep it formal with the FOS, and also to ensure they easily understand your case. 

Timelines and Possible Outcomes

• Timeline:
• Generally, the FOS gives a standard of 90 days to resolve complaints, but depending on the complexity and the availability of all documents, some cases take time. The good thing here is that you will receive regular updates on the status of your case.
• Possible Outcomes:
• Successful Resolution: Should the FOS find out that your case was mis-sold, then they will immediately order your lender to pay compensation, or refund you any overpaid amounts and make remedies. 
• Unsuccessful Outcome: In the unfortunate case that the FOS rules against you, you will be notified of the decision and it will be closed.

Raising your concern to the FOS is a valuable option for claims that remain unresolved, after it was submitted to the lender. The group offers an independent review of your case, and it could result to a favorable outcome this time. Just ensure that you submit comprehensive and well-organised evidence to ensure higher likelihood of positive resolution. 

Step 5: Key Considerations During the Appeal Process

Any appeal feels challenging. After all, you have no idea whether it will work, but we’ve seen hundreds of car finance claims succeed because the complainants paid persistence and attention. Many claims too which were already rejected have been later accepted and approved after presenting additional evidence. Don’t just give up on the process. 

Some key considerations to keep in mind are these:

• Be proactive on your case: Being proactive can also help you in an appeal process, as the more you pay attention, the more you’ll get informed on the status of your claim. Also keep in mind that there are many similar cases, which means that responding promptly is also necessary. Some follow-ups are very simple and easy to answer, but if you miss them, chances are your case will progress slower than anticipated.
• Seek guidance from professionals: Since it’s not your expertise, you’ll still feel overwhelmed and uncertain and the best way to navigate this is to reach out on claim companies like Reclaim 247. Companies like this offer expert advice which can help you understand the unclear aspects of the appeal, and even guide you in the process. 

Conclusion

It's important to remember that a rejected car finance claim does not automatically mean your claim is invalid. With proper preparation and information on understanding car finance claim eligibility and the appeal process, many individuals successfully overturn initial rejections.

The process may take time and require patience and diligence. However, by carefully reviewing the rejection reasons, gathering strong evidence, and following the steps outlined in this guide, you can increase your chances of a successful outcome.

If you feel overwhelmed or unsure about how to proceed, consider seeking impartial advice from companies like Reclaim247. They are knowledgeable and can provide immense guidance and support all throughout the appeal.