Car pcp

Doodlebug5

Sorry I wasn't sure where to put this but it's a kinda loan.

So I took a car out on finance in January 2016. Paying £257 per month and 6000 mileage annual cap. At the time I was driving 8 miles a day.

I changed jobs 9 months ago and am now driving 70 miles a day. I've got a spreadsheet that shows me my projected end mileage and it's looking as though I'm going to have to pay the best part of £2000 in mileage charges.

So the pcp was a 4 year deal but I can hand it back after 3. I either:

- hand it back in year three and pay off the charge. Circa £1500. Save up meanwhile for a deposit for. A new car with better mileage!
-Hand it back in year four and pay off the charge circa £2000 meanwhile saving up a deposit for a new car with mileage
-Save up and buy the car outright for £6000. It will have 90,000 miles on the clock (projected) and it's a diesel but would it be worth £6k.

Which financially looks best?
I'm happy with my finance and I'm not particularly bothered about owning a car as an asset

Nearlyold

How much was the car originally? Are there any of these cars on Auto Trader 4 years old with circa 90,000 on the clock - if so what are they selling for?

rtho782

If you specifically terminate as per your rights under sections 99/100 of the consumer credit act, rather than via any contractual clause, you should not have to pay for the excess mileage.

You could do this once you have paid off 50% of the total agreement.

htaylor16

You can always part exchange it. I've have a few cars on pcp, always go for low mileage to keep the monthly cost low and then partex it after 2-3 years for another car (always brand new). Had my current car for 1 year, done just under 20k and only done 10k on the pcp payment. Not worried at all as it really doesn't matter unless you intend to hand it back at the end of the term, which I don't