A Leicester dad was forced to delay his retirement after he claimed he was mis-sold car finance. Raymond Scothern said his “heart sank” after he received his first monthly repayment for a Ford Focus.

Raymond’s ordeal began in 2019, when he purchased the vehicle for £6,539.91 from a Leicester garage forecourt, unknowingly signing a 60-month contract with £7,000 of interest. Mr Scothern bought the car using finance and said that staff “mentioned there would be interest”, but “nothing about the high interest”.

The father-of-seven from Beaumont Leys claimed that six weeks after buying the car, the first repayment came through to him, and that he was shocked to see that the interest was about two-and-a-half times the vehicle payment. Hoping to retire within the next two years and visit family in Australia, Raymond said he “should have been on guard” as reality sunk in that neither of these would be possible.

Raymond, who worked in the motor trade at the time, said: “At the time I was working long hours, starting work at around 4.30am, so I needed a car to get me to and from work. I saw the Ford Focus, had a chat to the staff about it and explained I wanted to buy the car using finance.

“They said nothing about the high interest, they just mentioned that there would be interest. I didn’t know until the first payment how high the interest was. My heart sank, knowing we would have to work the next four to five years to pay it off. I pushed back retirement to pay for the car. It felt really horrible.”

With the increasing cost-of-living and bills from the car finance continuing, the 69-year-old said his wife’s mental health began to suffer and as a result had to stop working late in 2023. Amid these struggles, Raymond said he contacted the vehicle financer about the payments but they would either offer to come and take the car back or offer a month break from the repayments.

In June this year, five years on from the initial purchase, Raymond and his wife sold the Ford Focus and used the money to finish paying off the car’s finance. Raymond said: “I had to get rid of it, because the clutch went, and it was going to cost £800 to get it repaired.

“With that money we paid the rest of the payments off and straightened a lot of bills up. That eased the pressure and was a big weight off our shoulders.”

Since selling the Focus, Mr Scothern has been able to purchase an older vehicle through an old friend in the motor trade. He added: “I know people in the motor trade, but I just fell in that trap. It makes me mad; I should have been on guard. People who are mis-selling motor finance are putting people in further debt, it’s not right.”

Now, following a Court of Appeal judgement on Friday, October 25, which declared it unlawful for lenders to pay commissions to car dealers without the borrower’s knowledge, Mr Scothern could receive compensation. His case is being managed by Manchester-based firm Barings Law.

Its managing director, Craig Cooper, explained that failing to provide full and accurate information about the terms, conditions, or costs associated with car finance is a clear case of mis-selling. He said: “This latest ruling represents a significant step towards justice for motorists who have been misled in their financing agreements.

“It sends a clear message that mis-selling will not be tolerated. Anyone can be affected and mis-sold finance, through a range of methods, including not disclosing crucial terms regarding the agreement, or using high-pressure sales tactics.”