Commission Disclosure Policy for Customers
We are authorised and regulated by the Financial Conduct Authority for credit broking activities (Firm Reference Number 1013025). We’re not a funder or a lender. We don’t provide independent financial advice but offer the service of providing information about the various finance products which are available to you to fund your vehicle from our carefully selected panel of funders. We’ll source the vehicle on your behalf which will be the subject of your finance agreement from our preferred selection of main dealers. We’ll also let you know about ancillary products which may be of interest to you from our other suppliers, including a service, maintenance and tyres package, short term rental and for business users, tools to assist you to run your fleet effectively.
Our income
If you decide to use our services and enter into an agreement with a funder and/or with one of our ancillary product providers, we will receive a commission for introducing you to them. Commission is our main source of income and enables us to run our business and provide our services to you.
How much do we receive?
We want to ensure that you have fair value for the service that we provide. Our commission is based on the amount of work that we do to and the support that we give you throughout the term of your agreement to ensure that you receive the outcome that you want. Commission that we receive from our funders is either capped at a percentage of the taxable list price of the vehicle, within a band or is a fixed amount. The higher the amount that we receive in commission, the more you will pay to hire or finance your vehicle.
We may also receive a payment from the main dealers that we use to supply vehicles and an amount of commission from our ancillary product suppliers, dependent on the product that you choose. Our partners may pay us a bonus based on how much business we give them, the quality of the business that we introduce to them and how we perform against their standards.
You may have the right to ask us the amount of commission that we will receive from your transaction.
What are we required to disclose and why?
The Financial Conduct Authority requires us to ensure that retail customers are aware of the existence of commission before you enter into an agreement. This is because;
• Commission could act as an undue incentive when recommending a particular product to you
• Commission could affect our impartiality and potentially give rise to a conflict of interest when offering suitable products to you
• Knowing that we receive commission could have a material impact on your decision
If you ask us, we are required to let you know the amount or likely amount of any commission, fee or other remuneration payable to us by the lender and/or any other of our suppliers.
Who can request us to disclose our commission?
If you are a consumer, sole trader or small partnership and use our services to enter into an agreement which is regulated by the Consumer Credit Act, you have a legal right to ask us to disclose the amount of commission that we will receive.
When can you request this?
You can ask us to disclose the amount of commission that we will receive at any time from our initial discussions through to the point when your agreement is set live. After this point we have no obligation to disclose what we have earned from transacting the deal. We’ll remind you in writing of the existence of commission and your right to ask us to disclose before you sign our order form. This can be found in ‘Declaration’ immediately before the signature box.
How can you request commission disclosure?
If you’d like to know what we’ll earn from providing our services to you, you can submit a commission disclosure request by;
Calling: 01298 383030
Emailing: hello@harmoto.co.uk
Writing to: Harmoto Vehicle Leasing Limited, Unit 20 Tongue Lane Industrial Estate, Dew Pond Lane, Buxton, Derbyshire, SK17 7LF
We’ll respond to you within 5 working days