Car Lease Please Help

fez00

Hello i would like some advice if possible i have a car on lease for 2 yrs with 30000 mileage
Ive had the car since dec 20th 2008 up to date i have done 18000 miles
so realistic i still have another year and all i can do is 10000 which i will most probably go over by april 2010
Their is no way i could afford to pay the excess mileage which they charge 70p per mile
I was wondering what are my options

TonyMMM

Speak to the lease company about changing the terms of the lease to allow the increased mileage - your payments will go up , but it will be much cheaper than paying as excess mileage at the end.

motorguy

fez00 wrote: »

Hello i would like some advice if possible i have a car on lease for 2 yrs with 30000 mileage
Ive had the car since dec 20th 2008 up to date i have done 18000 miles
so realistic i still have another year and all i can do is 10000 which i will most probably go over by april 2010
Their is no way i could afford to pay the excess mileage which they charge 70p per mile
I was wondering what are my options

Are you sure its 70p per mile?? That really sounds excessive? :eek:

Its normally around 10-12p per mile?

AdrianHi

Depends on the car, but smaller cars can be down to 7p per mile or less extra....
70p sounds insane and not representative of the cost to the lease company of the higher miles at all.

fez00

yes you are correct ive had a look at my agreement its 9p plus vat for every mile
what happens if i cancel the agreement and want to hand it back inn

Hintza

Read your terms and conditions but you will probably be charged something like 6 months + excess mileage to terminate early. So I doubt it will be cost effective.

All you have to do is put aside an extra £100/month to cover your estimated £1,400 excess mileage over the next 14 months. Doesn't sound too onerous to me.

VAT will be 17.5% again in January. So you might save a bit if you pay wedge before then?

plane_boy2000

Ring em up. Most will allow you to renegotiate your mileage and adjust your payments acordingly so you dont get stung at the end.

Feel quite happy that my excess is 4.8p now!

motorguy

Hintza wrote: »

Read your terms and conditions but you will probably be charged something like 6 months + excess mileage to terminate early. So I doubt it will be cost effective.

All you have to do is put aside an extra £100/month to cover your estimated £1,400 excess mileage over the next 14 months. Doesn't sound too onerous to me.

VAT will be 17.5% again in January. So you might save a bit if you pay wedge before then?

+1

Setting aside the extra money each month with soften the outlay.

fez00

thanks for your help people