Moneybarn Car Finance Claim — PCP & HP Compensation 2026
Scheme status (updated 5 August 2026): parts of the FCA motor finance redress scheme are temporarily suspended while the Upper Tribunal considers legal challenges. Lenders do not currently have to calculate or pay compensation under the scheme, the original decision and payment dates no longer apply, and no payment under the scheme is guaranteed. If the scheme proceeds, first payments are expected in 2027 at the earliest. Any dates mentioned below were set before the suspension.
If you financed a vehicle through Moneybarn between April 2007 and November 2024, you may be entitled to compensation under the FCA confirmed motor finance redress scheme (PS26/3, 30 March 2026). Moneybarn is one of the UK largest specialist non-prime motor finance lenders, operating through a network of dealers and brokers. Its position in the non-prime market makes its agreements a significant focus area under the FCA scheme.
In this guide
- Who Is Moneybarn?
- Is Moneybarn Covered by the FCA Scheme?
- Why Moneybarn Claims Are Particularly Important
- Three Grounds for a Moneybarn Claim
- How Much Could You Receive?
- Scheme Timetable
- How to Complain to Moneybarn
- Related Lender Pages
- Frequently Asked Questions
- Our Partner's Fees Explained
- Think You May Have a Motor Finance Claim?
Who Is Moneybarn?
Moneybarn No.1 Ltd is a specialist motor finance lender serving customers with adverse credit, low income or limited credit histories who cannot access mainstream lending. It is a subsidiary of Provident Financial Group, one of the UK largest consumer finance groups. Moneybarn provides HP and PCP agreements through a broad network of independent dealers, car supermarkets and brokers across the UK, making it one of the most widely distributed specialist lenders in the country.
Moneybarn has faced significant FCA scrutiny before — it was fined £2.77 million by the FCA in 2021 for failures in its treatment of customers in financial difficulty. The company is FCA-authorised and its agreements in the eligible period are within PS26/3.
Is Moneybarn Covered by the FCA Scheme?
Yes. All FCA-regulated HP and PCP agreements arranged by Moneybarn between 6 April 2007 and 1 November 2024 fall within PS26/3. The complaint deadline is 31 August 2027.
Why Moneybarn Claims Are Particularly Important
Non-prime lenders charge significantly higher interest rates than mainstream lenders. This means that commission-driven inflation of rates — even by a small percentage — has a much larger absolute impact on the total cost of the agreement. Moneybarn customers were typically paying APRs of 20% to 40% or above; even small DCA-driven rate increases at these levels produced substantial overpayments. Under the hybrid remedy, this often translates to above-average compensation.
Three Grounds for a Moneybarn Claim
1. Discretionary Commission Arrangements
Moneybarn operated through broker and dealer networks where DCAs were standard practice prior to the FCA ban on 28 January 2021. Brokers and dealers could set your interest rate within a Moneybarn-defined range and earn more commission the higher the rate. For non-prime customers with few alternatives, rates were routinely set near the maximum. Where this was not disclosed, you are eligible for compensation.
2. Broker Commission Non-Disclosure
Where a broker introduced your application to Moneybarn and earned a commission on the placement, that broker had an FCA obligation to disclose this. In the non-prime market, broker commission non-disclosure was widespread. If your agreement was introduced by a broker who did not disclose their commission, you have grounds for a claim against both the broker and Moneybarn.
3. Unfairly High Fixed Commission
Post-January 2021 Moneybarn agreements may still qualify if the fixed commission met the FCA threshold of 39% of total cost of credit and 10% of loan amount. Given Moneybarn higher loan costs in the non-prime market, this threshold is frequently met.
How Much Could You Receive?
The FCA national average is £829, but Moneybarn agreements often produce above-average payouts due to higher original interest rates. Your compensation uses the hybrid remedy: averaging your estimated interest overpayment (17% APR reduction for post-April 2014 agreements, 21% for pre-April 2014) and the commission paid, plus compensatory interest at Bank of England base rate plus 1% per year.
Scheme Timetable
Post-April 2014 agreements: Complain before 30 June 2026 → Moneybarn must respond by 30 September 2026 → payment by November 2026
Pre-April 2014 agreements: Complain before 31 August 2026 → decision by 30 November 2026 → payment by January 2027
Final complaint deadline: 31 August 2027
How to Complain to Moneybarn
Submit your complaint to Moneybarn No.1 Ltd, Athena House, Athena Drive, Tachbrook Park, Warwick CV34 6RT. You can also contact them via the Moneybarn website. Reference PS26/3. Include your full name, date of birth, address at the time of the agreement, vehicle registration and a statement about undisclosed commission arrangements.
Related Lender Pages
Advantage Finance Car Finance Claims
Mobile Money Car Finance Claims
Go Car Credit Car Finance Claims
Close Brothers Car Finance Claims
Frequently Asked Questions
Moneybarn previously fined by the FCA — does that strengthen my claim?
The 2021 FCA fine related to Moneybarn treatment of customers in financial difficulty, not specifically to commission arrangements. It does not directly strengthen a PS26/3 commission claim, but it does illustrate the FCA ongoing scrutiny of Moneybarn conduct — which is relevant context for your complaint.
A broker introduced me to Moneybarn. Do I claim against the broker or Moneybarn?
You can claim against both. The named lender on your agreement (Moneybarn) is the primary respondent under the scheme. If the broker failed to disclose their commission separately, you may also have a claim against the broker. Submit a complaint to Moneybarn first as they are the scheme participant.
My Moneybarn payments were very high. Is that grounds for a claim in itself?
High payments alone are not sufficient grounds under the FCA scheme — the claim must relate to undisclosed commission arrangements that inflated your rate. However, non-prime agreements with very high APRs are exactly the category where DCA-driven rate inflation was most prevalent, so it is very worth checking whether a commission arrangement applied.
Think You May Have a Motor Finance Claim?
The FCA estimates average compensation of around £830 per eligible agreement, but eligibility and payment amounts vary. Some customers may receive nothing. Complaints about agreements started from 1 April 2014 should be submitted by 30 June 2026 to be considered under the earlier timetable. Different dates apply to older agreements. The scheme is currently subject to legal challenge, so dates and payment timings may change.
