Car Leasing Mileage

Rayleighboy

So I took out a 2 Year Car Leasing deal in November 2019 shortly after being made redundant and losing my company car. I was pretty confident in getting a new job early 2020 so guessed my mileage would be circa 15,000 miles a year as my previous job involved travelling around the country several times a week. Obviously covid then hit and I'm now working locally in a job that I drive to, park up and then drive home (approx 15 miles a day in total). As a result, my original 15,000 miles a year is now likely to be 5,000 a year and this makes a difference of approx £30 a month or £360 a year in the costs of the lease. Has anyone had anything similar and managed to get a refund or renegotiate their contract. 

AdrianC

They are under absolutely no obligation to change the contract you signed.

Rayleighboy

As an update I have just come off the phone to them and they were very helpful. They have told me their minimum annual mileage is 6,000 so have agreed to send me a new quote with 6,000 miles as my new annual mileage. All I have to do is confirm that this is what I want the new mileage to be and they will adjust my monthly payments to this effect. I don't know yet what the difference will be but hopefully a saving of around £30 a month until the lease ends. If anyone else is in the same boat (or car!) its worth ringing your leasing company to see if they will do the same!!

rebecca1

Rayleighboy said:

As an update I have just come off the phone to them and they were very helpful. They have told me their minimum annual mileage is 6,000 so have agreed to send me a new quote with 6,000 miles as my new annual mileage. All I have to do is confirm that this is what I want the new mileage to be and they will adjust my monthly payments to this effect. I don't know yet what the difference will be but hopefully a saving of around £30 a month until the lease ends. If anyone else is in the same boat (or car!) its worth ringing your leasing company to see if they will do the same!!

You are SO lucky! I have the same problem and Mercedes Finance Team didnt want to know (after 2 x 50 minute wait on phone!)... I went back to the dealer to see if they would help... they said that Mercedes WONT negotiate the price again.. and said that I could pay a lump sum of 3 months up front and walk away, keep the car for three months along with making the payments and then hand it back... Annoying as the quote originally for 10,000 a year over 3 years was a lot cheaper than the 15,000 I took.... I get it... no one could have predicted the pandemic but annoying that I will hand the car back with much less mileage than I paid for. I'm sure that will reflect in the re-sale price but have been told by people on MSE Forum it is unlikely to..
You can see my thread 6 discussions under yours titled Mercedes Benz lease settlement due to low mileage...Re 
May I ask which Car Manufacturer very kindly agreed that for you? 
Rebecca 

DrEskimo

rebecca1 said:

Rayleighboy said:

As an update I have just come off the phone to them and they were very helpful. They have told me their minimum annual mileage is 6,000 so have agreed to send me a new quote with 6,000 miles as my new annual mileage. All I have to do is confirm that this is what I want the new mileage to be and they will adjust my monthly payments to this effect. I don't know yet what the difference will be but hopefully a saving of around £30 a month until the lease ends. If anyone else is in the same boat (or car!) its worth ringing your leasing company to see if they will do the same!!

You are SO lucky! I have the same problem and Mercedes Finance Team didnt want to know (after 2 x 50 minute wait on phone!)... I went back to the dealer to see if they would help... they said that Mercedes WONT negotiate the price again.. and said that I could pay a lump sum of 3 months up front and walk away, keep the car for three months along with making the payments and then hand it back... Annoying as the quote originally for 10,000 a year over 3 years was a lot cheaper than the 15,000 I took.... I get it... no one could have predicted the pandemic but annoying that I will hand the car back with much less mileage than I paid for. I'm sure that will reflect in the re-sale price but have been told by people on MSE Forum it is unlikely to..
You can see my thread 6 discussions under yours titled Mercedes Benz lease settlement due to low mileage...Re 
May I ask which Car Manufacturer very kindly agreed that for you? 
Rebecca 

Yours is not a lease. It's a completely different situation.

You would realise the savings from having a reduced mileage by having increased value relative to the predicted value in your agreement.

That's all increasing the mileage does on a PCP finance agreement. It simply decreases the final predicted value and that's why your monthly cost goes up. If you don't do that mileage then its obviously going to be worth more than predicted.

Rayleighboy

rebecca1 said:

Rayleighboy said:

As an update I have just come off the phone to them and they were very helpful. They have told me their minimum annual mileage is 6,000 so have agreed to send me a new quote with 6,000 miles as my new annual mileage. All I have to do is confirm that this is what I want the new mileage to be and they will adjust my monthly payments to this effect. I don't know yet what the difference will be but hopefully a saving of around £30 a month until the lease ends. If anyone else is in the same boat (or car!) its worth ringing your leasing company to see if they will do the same!!

You are SO lucky! I have the same problem and Mercedes Finance Team didnt want to know (after 2 x 50 minute wait on phone!)... I went back to the dealer to see if they would help... they said that Mercedes WONT negotiate the price again.. and said that I could pay a lump sum of 3 months up front and walk away, keep the car for three months along with making the payments and then hand it back... Annoying as the quote originally for 10,000 a year over 3 years was a lot cheaper than the 15,000 I took.... I get it... no one could have predicted the pandemic but annoying that I will hand the car back with much less mileage than I paid for. I'm sure that will reflect in the re-sale price but have been told by people on MSE Forum it is unlikely to..
You can see my thread 6 discussions under yours titled Mercedes Benz lease settlement due to low mileage...Re 
May I ask which Car Manufacturer very kindly agreed that for you? 
Rebecca 

Hi Rebecca, as others have pointed out I think yours is a personal contract purchase (PCP) rather than a lease though I certainly sympathise with your situation. I wish now I had rang the lease company once lockdown started but at least I can save some money. The lease was arranged by Select Car Leasing and the finance arranged/underwritten by Alphabet. Both companies were extremely helpful when I contacted them earlier.