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Experts fear that if huge numbers default on loans, it will cause a domino effect that could cripple the City.
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If the driver falls behind on payments, the finance company can repossess the car and apply for a County Court Judgment (CCJ).
An order can be made so the money is automatically taken from the owner’s wages.
If they fail to keep up payments, they face having the cars repossessed and court orders forcing them to pay the outstanding loan.
The findings by undercover Daily Mail reporters come amid fears that irresponsible lending by car dealers is risking another financial crash.
Kevin Barker, 71, found himself £3,500 in debt when he suffered a heart attack six months into a PCP deal.
He said a ‘pushy’ Toyota salesman ‘pressured’ him into taking out a 36-month agreement in November 2014 and he was not told of the repercussions if he fell ill or lost his job.
Some pay-monthly deals result in the driver eventually paying less for the car than if they had bought it for cash on the day.
Dealers do this because the vast majority of drivers on PCP deals don’t pay off the car in full.
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Ruthless salesmen are offering customers Audis, Vauxhalls, Suzukis and Fords worth up to £20,000 for no deposit – even if they admit they are unemployed, on low wages or have a poor credit rating.Tags: Adult Dating, affair dating, sex dating