Your car finance compensation was taxed. We’ll get it back.
Lenders take tax from the interest in every compensation payout: 22% on payments from April 2027. If you’re a basic-rate or non-taxpayer, HMRC will usually repay it. We handle the claim from start to finish.
- No rebate, no fee
- About a minute
- 120,000+ helped
Rebate calculator
What could you get back?
Two questions. No documents needed.
- No rebate, no feeNothing to pay upfront
- Your data stays privateNo documents until you sign up
- 120,000+ clientshelped by Rebate Gateway since 2020
- City of LondonUK-based case team
Example Motor Finance Ltd Final response — redress calculation
Ref. EX-000000 - Redress (overpaid commission)
- £2,860.00
- Interest on redress
- £1,240.60
- Gross compensation
- £4,100.60
- Income tax deducted (22%)
- −£272.93
- Amount paid to you
- £3,827.67
Why you’re owed money
Your lender keeps 22% of the interest.
Compensation usually includes interest for the time you were out of pocket. Lenders treat that interest like savings income and take tax off before paying you: 22% on payments from 6 April 2027, when the savings tax rate rises. Our guide explains how car finance compensation is taxed.
Most people never owed that tax, because the interest falls within their Personal Savings Allowance. Getting it back means the right tax year, the right allowances and a claim HMRC will accept. That’s the part we do for you.
How we get it back How to read your letterFour steps. We do three of them.
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You check
Tell us what you were paid and roughly what you earned, and see your likely rebate straight away.
About a minute -
We verify
Sign up, upload your letter securely and our case team checks it. No letter? We request it.
We do this -
We file your R40
One claim per tax year, e-signed by you and submitted to HMRC as your agent.
We do this -
You’re paid
HMRC repays, we deduct our fee and send the balance to your bank account.
We do this
Who can claim
You’re likely to qualify if all three apply.
Not sure? Our calculator tells you in about a minute.
- You’ve received, or are due, car finance compensation, through the FCA scheme, a complaint or the Financial Ombudsman.
- The compensation included interest, with tax taken off. Most payouts do.
- You earned under £50,270 in the tax year you were paid, or weren’t working.
No rebate, no fee
Nothing to pay upfront. Nothing out of your pocket.
Our fee comes out of the HMRC repayment, so you never pay us directly. If HMRC repays nothing, you pay nothing. And you can cancel free within 14 days.
How our fees workWho paid your compensation?
All 29 lendersLatest from the newsroom
All newsCar finance compensation scheme: latest update
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Common questions
All questionsIs car finance compensation taxable?
The refund part isn’t. The interest added to it is taxed as savings income, and lenders take tax (22% from 6 April 2027) off that interest before paying you. If the interest is covered by your Personal Savings Allowance or the starting rate for savings, that tax can be reclaimed from HMRC. Our guide is car finance compensation taxable? explains the rules, and the Personal Savings Allowance guide works through examples.
Will claiming affect my compensation?
No. The rebate is a separate claim to HMRC. Your lender isn’t involved and your compensation doesn’t change.
I haven’t been paid yet. Can I register now?
Yes. Reserve your rebate and we’ll tell you when your lender starts paying. We file for the right tax year once your compensation arrives.
I had more than one agreement
Every payout you received in the same tax year goes into one R40 claim, even if it came from different lenders.
Do I have to use a company like you?
No. You can claim directly from HMRC yourself. We work out what you’re owed, prepare and submit the claim as your agent, deal with any HMRC questions and send you the balance.
How long does HMRC take?
It varies through the year. HMRC publishes its current processing times on GOV.UK. We keep you updated at every stage. Our guide on how long an HMRC refund takes explains what can slow a claim down.