The Background: Barclays, Clydesdale, and Discretionary Commissions

Clydesdale Partner Finance, part of the wider Barclays Partner Finance, offered PCP (Personal Contract Purchase) and HP (Hire Purchase) car finance plans through dealerships across the UK. During this process, some dealers had the ability to adjust your interest rate to earn higher commissions—a system known as discretionary commission arrangements (or DCAs as you’ll see mostly mentioned).

While not all customers were affected, many were not told that their dealership could increase the cost of their finance agreement for commission purposes. In 2021, the FCA banned the use of DCAs following concerns that they may have led to unfair outcomes for borrowers.

What Are Discretionary Commissions?

Discretionary commissions allowed car dealers and brokers to set interest rates on car finance agreements in a way that boosted their own earnings. In short:

âš« The higher your interest rate, the more commission the dealer made.

âš« These commissions were often not disclosed.

⚫ Many customers weren’t offered better deals—even though they may have been available.

Could You Be Eligible for Compensation?

You may be eligible for a car finance refund if:

âš« You took out a car finance agreement through Clydesdale Partner Finance (or Barclays Partner Finance) at any point in the last 15 years.

⚫ You weren’t made aware that commission payments were influencing your interest rate.

âš« Your monthly payments were higher than expected, or you believe your deal was not fully explained.

âš« You were pressured into signing or not offered alternative finance options.

Cars, vans, motorbikes, and camper vans can all be claimed for. And even if the finance has been repaid, or the vehicle’s been sold, you can still make a claim.

What Could Your Car Finance Refund Include?

Every case is different, but a successful claim may cover:

âš« Overpaid interest due to inflated discretionary commission rates.

âš« Hidden commissions that were not disclosed.

âš« Additional compensation for financial distress, poor credit outcomes, or stress caused by unaffordable repayments.

Example Refund Ranges:

⚫ £500–£2,000 – Smaller claims with limited overcharging.

⚫ £2,000–£5,000 – Moderate claims involving multiple years of overpayment.

⚫ £5,000+ – Long-term agreements or high-value car finance deals with significant interest inflation.

Mis-sold Car Finance Claim Options

📝 Option 1: Claim Directly with Clydesdale Partner Finance

You have the right to file a complaint directly with your lender. In this case you’ll keep 100% of the money you may be owed. To do this:

âš« Contact Clydesdale Partner Finance (via Barclays Partner Finance) with a written complaint outlining your concerns about discretionary commission mis-selling.

âš« Include details about your finance agreement and why you believe the terms were unfair or undisclosed.

âš« If unresolved after 8 weeks or rejected, you can escalate your case to the Financial Ombudsman Service (FOS) for independent review.

💡 While this route is free, you will need to handle all the paperwork, correspondence, and evidence gathering yourself. There are also free resources available online to help, such as on Martin Lewis’ Money Saving Expert website.

📝 Option 2: Claim with Restitute

We take the hassle out of claiming by managing the entire process for you. Here’s what you get:

âš« Free historic car finance check – No paperwork required to start. Just complete our quick and easy sign up process and we’ll find all your car finance agreements going back to 2007.

⚫ Expert case assessment – We identify all possible areas of mis-selling.

⚫ End-to-end claim management – Including escalation to the Financial Ombudsman if needed.

⚫ No win, no fee – You only pay if your claim is successful.

Why Act Now

The FCA is still reviewing how discretionary commissions were used across the industry and may introduce a wider repayment scheme. But claims take time to process, and acting now may ensure you’re first in line if compensation becomes available.

Thousands of drivers may have overpaid—and never knew it. So whether you choose to go it alone or want support from our expert team, Restitute has your back. Now go get back what’s yours!