Car HP with lump sum AND mileage limit

Ladyluck1981

I took out a hire purchase agreement (yes it says HP at the top of the contract) in march 2015 for my car over 4 years.

I was always aware there was a lump sum final payment but I've just noticed there is also a mileage limit, currently I am 30000 miles over that limit. Any limit was not agreed by myself, it must have been input by the dealer.

Have I been mis-sold? HP with mileage limit and final lump sum is that not PCP?

It is becoming an issue as I was thinking I would trade the car in early or next march but I'm going to get stung for excess mileage. Any advice welcome.

Technoholic

I believe a PCP is just a form of HP and I’ll have to dig out my paperwork from an old PCP I had but I believe it talks about it being a hire purchase with a deferred payment much like you’ve described. Cant give advice really but if those terms are on your paperwork then it does sound like a PCP so I’d speak to the dealer your purchased from

molerat

PCP is HP
What mileage was stated on the agreement you read and signed ?

If you trade the car you will not get a mileage bill, the balloon / settlement will get built into the new deal. You will only pay mileage if you hand the car back.

Ladyluck1981

60000 miles

Technoholic

Does sound very much like a standard pcp which would have been illustrated on your paperwork before you signed and indeed you indicate that’s what your paperwork says now? But as stated, being a PCP means the mileage won’t come in the form of a bill if you trade the car into a new agreement

ratrace

Ladyluck1981 wrote: »

60000 miles

Have you kept upto date with the service intverals if not they could also charge for this aswell

im not sure what you paid for the car and what its worth now but it maybe cheaper if you keep hold of it and run it untill it dies that way all your costs will average out over time