Car lease excess mileage question

mos12368

Hi,
I began leasing a Ford Focus around 2 years ago and I still have another year left. The original deal was for 12k miles per annum and the original contract I signed stated the excess mileage charge after this is 10p per mile. However a few days after signing this agreement we were sent another agreement which was signed by us. I noticed that on this agreement form in the smallprint, it stated the excess mileage charge will be 0.0p per mile.

My question us, because I signed the 0p charge agreement AFTER the original 10p one, would I still be liable to pay the excess charge of 10p per mile?

Many thanks for your time!

HillStreetBlues

AFAIK with any new agreement it supersedes the old one.

uknick

When you got the new contract to sign, was there an explanation as to what changed?

Is the 0.0p a typo and if so, is there any clause further down in the contract which would allude to this?  For instance, an example of how much 5k excess miles would cost giving a figure of £5. 

HillStreetBlues

I would request a copy of of the lease agreement, see what they currently have on record.

Grumpy_chap

mos12368 said:

Hi,
I began leasing a Ford Focus around 2 years ago and I still have another year left. The original deal was for 12k miles per annum and the original contract I signed stated the excess mileage charge after this is 10p per mile. However a few days after signing this agreement we were sent another agreement which was signed by us. I noticed that on this agreement form in the smallprint, it stated the excess mileage charge will be 0.0p per mile.

My question us, because I signed the 0p charge agreement AFTER the original 10p one, would I still be liable to pay the excess charge of 10p per mile?

Many thanks for your time!

Is this agreement with the "zero" entry for the excess mileage charge a fully signed copy, signed by both parties?
Are there E&OE clauses, or any other clauses that would contradict the "zero" rate?

What excess mileage do you anticipate being at by the end of the agreement?

I think you need to plan on the basis that the excess mileage will be charged at the 10 pence per mile rate and then consider it a "win" if the excess mileage is accepted as being applicable at the "zero" rate.  

I would not request a copy of the lease agreement now as all that can do is risk alerting the lease company to the potential error / discrepancy and have them seek to correct the error now.  If the error cannot be corrected now, alerting the error early gives the lease company the opportunity to try to identify alternative ways to recover the potential costs.  

You need to wait until the end of the term and, if an excess mileage bill is submitted, then respond at that time with the copy of the lease agreement stating "zero pence per mile".

Is this a lease or a PCP?
In the case of a lease, if the provider identifies the discrepancy on the "zero" mileage rate, they may apply a rather strict interpretation of "wear and tear" or may even try to define the excess mileage as "extra wear and tear".
In the case of a PCP, the higher mileage might not be applied as pence per mile, but might be used to adjust the residual valuation (assuming it would have exceeded the GMFV otherwise).