PCP Voluntary Termination & Excess mileage

blackste

I guess the difference is that if you buy a car on pcp with an agreed mileage ofsay 6000, you pay a much lower price than if you buy it based on 20000. If you buy it and pay for 6000, and do 7000, thats a bit of a miscalculation. If you pay for 6000, and do 20000, thats clearly taking the !!!!.

In terms of the CCA1974, no you dont have to pay for any excess mileage, but if you have clearly taken the !!!!, i would expect to be persued for some of it.

Not paying these charges is about how hard you are willing to fight, and how well you are able to do it.

I VTd a car a few weeks ago with a few thousand over "average mileage", and a bit of a scuff on one wheel. The rest of the car was immaculate, and wasnt pursued for any further costs. It varies widely from company to company.

blackste

facade wrote: »

My thoughts exactly, excess mileage would be over and above "fair wear & tear" wouldn't it?

It effectively devalues the asset at the end of term: you either pay it or buy the car at the GFV price and take the hit yourself, so it should devalue the car now.

They dont chase it on wear and tear, they chase it on the "ageed mileage" clauses if its a PCP. "you agreed 10k for 3 years, but have done 35k" type of thing. They try to apply an end of contract clause to termination of contract, which is a different thing.

motorguy

tonyh66 wrote: »

so whats the difference, double mileage?, 10% over. You should have to pay the excess mileage otherwise people would just take the mickey and run up excess miles before VT.

An end of contract condition and a VT are mutually exclusive.

A VT is a legal right to prevent finance companies chasing people ad infinitum if they can no longer afford the car.

You are within your legal rights to do it, and your view would simply put more money into the finance companies pockets and keep less in the pockets of consumers.

I'm not entirely sure you've got the grasp of this site, have you?

blackste

Its been reported that Aud1 sales people have been using the low miles thing to make their cars more affordable. They advise customers to pay on the basis of low mileage, and VT near the end of the term, avoiding the excess mileage charge.

motorguy

blackste wrote: »

Its been reported that Aud1 sales people have been using the low miles thing to make their cars more affordable. They advise customers to pay on the basis of low mileage, and VT near the end of the term, avoiding the excess mileage charge.

All car dealers do it.