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Advise on personal lease...why do I need business miles?

Hi there,

I was just after some advise on any people who may have gone down the personal contract hire route when getting a car. My situation is that I want to get a new car without the hassle of dealing with additional costs, depreciation, and then after 2 or 3 years I can hand it back.

So far, so good......until I get into the nitty gritty with any of these companies offering personal leases. Despite me stipulating that this is a personal lease, I am constantly hitting a stumbling block in that I have to prove that the vehicle will be used for regular business mileage. Whilst my company does reimburse me for any business mileage used, I am not travelling regularly off-site, however the companies I am dealing with say that it has to be regular business mileage.

I have a couple of questions around this, which I hope people could help me on:
1) Why, if I have selected a personal lease, is having business mileage, a necessity anyway?
2) Why does it have to be used for regular business miles, as opposed to just claiming back business miles in the event that I travel off-site?

If anyone can help advise me as to whether this is the norm, that would be great. I'm not sure if I'm being messed about by this company, or whether I am going to hit the same stumbling block everywhere I go.

Many thanks

Andy

Comments

  • DUTR
    DUTR Posts: 12,958
    Part of the Furniture 10,000 Posts Name Dropper
    Forumite
    Just tell them you will do 10K per year, so after the 3years, they expect the car to have done 30k or less, if more then it's about 6p/mile.
  • I've tried that but they are insisting on something from my company (a letter) advising that I use my car for regular business miles. My company aren't wiling to do this.....as I don't use it for regular business miles.
  • DUTR
    DUTR Posts: 12,958
    Part of the Furniture 10,000 Posts Name Dropper
    Forumite
    I've tried that but they are insisting on something from my company (a letter) advising that I use my car for regular business miles. My company aren't wiling to do this.....as I don't use it for regular business miles.

    Depends if the dealership offers PCP as opposed to lease, certainmarques like Merc may not be available or certain models at least. I trust this is for a car and not a van?
  • yeah, it's for a car. I was just confused as to why, when I select personal contract hire, and not business, I'm still restricted with having to stipulate business miles.
  • DUTR
    DUTR Posts: 12,958
    Part of the Furniture 10,000 Posts Name Dropper
    Forumite
    yeah, it's for a car. I was just confused as to why, when I select personal contract hire, and not business, I'm still restricted with having to stipulate business miles.

    What kind of car is it?
  • neilmcl
    neilmcl Posts: 19,460
    Part of the Furniture 10,000 Posts Name Dropper
    Forumite
    yeah, it's for a car. I was just confused as to why, when I select personal contract hire, and not business, I'm still restricted with having to stipulate business miles.
    Have you actually spoken to someone from the lease company about this?
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