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  • FIRST POST
    • evensteven
    • By evensteven 11th Jun 18, 7:45 PM
    • 4Posts
    • 4Thanks
    evensteven
    PCP missold policy and now stuck with mileage charges
    • #1
    • 11th Jun 18, 7:45 PM
    PCP missold policy and now stuck with mileage charges 11th Jun 18 at 7:45 PM
    3 years ago I bought a Nissan qashqai and was informed about PCP by the sales adviser. I needed a car quickly as my old car was on it's last legs. I told them I would like to spend approx £200 a month and that was my budget. They asked the usual questions and also asked how many miles I did, to which I told them 10,000 a year.
    They couldn't get near to the figure I wanted (£270) we were prepared to leave until he said he would have word with the manager (the usual tricks). He came back and siad he could do £250 a month and throw in extras such as mats and a service plan.
    Anyway we agreed and were told we would have the car within 2 weeks.
    That didn't happen. When I was talked through the pcp I was informed that I could hand the car back after I'd paid 50% of the total with no further payments. Or I could return it and put it down as payment towards a new one or I could buy it. I was told I could change it at anytime. I noticed that the annual mileage was 5000 on the contact and I raised this with the adviser who told me it didn't matter and it wasn't important it was only if I handed the car back early. I explained that I didn't do 5000 but 10,000 and he kept telling me not to worry. Stupidly I still signed but at the time I was reassured more than once that it wasn't important.
    I now realise this isnt true as I've come to the end of my agreement and have paid 50% and wanted to hand it back. However I've done Double the mileage (31000) and have been advised of a £1500 minimum excess charges!
    I tried to contact the garage and for 4 days they ignored my calls and emails so I raised a complaint with customer services.
    Since then, the garage have contacted me to say they've looked into and nothing they can do. This came from their compliance manager.
    Where do I stand with this as I am adamant of the conversations I had with the sales adviser who still works there and have got some copies of notes I made at the time. Also a copy of my contract which has been scrawled over by the sales adviser who underlined the bots he wanted me to deem important- such as monthly payments but NOT mileage which was hidden in a corner of the document. I accept that I signed it but the policy itself was not explained correctly and now I'm fitting a bill of £1500 to get rid of the car!

    Any help appreciated
Page 1
    • daveyjp
    • By daveyjp 11th Jun 18, 7:51 PM
    • 7,682 Posts
    • 6,239 Thanks
    daveyjp
    • #2
    • 11th Jun 18, 7:51 PM
    • #2
    • 11th Jun 18, 7:51 PM
    If you terminating early and not just coming to the end of your PCP and handing the car back the excess mileage charge may not be enforceable.
    • Pensioned Off
    • By Pensioned Off 11th Jun 18, 8:00 PM
    • 19 Posts
    • 53 Thanks
    Pensioned Off
    • #3
    • 11th Jun 18, 8:00 PM
    • #3
    • 11th Jun 18, 8:00 PM
    You signed a CONTRACT - I'm guessing you didn't have a gun to your head and that no one you care about had been taken hostage to force you to sign.

    How can you possibly say you were mis-sold a contract when you signed it voluntarily?
    • LandyAndy
    • By LandyAndy 12th Jun 18, 9:07 AM
    • 24,440 Posts
    • 51,598 Thanks
    LandyAndy
    • #4
    • 12th Jun 18, 9:07 AM
    • #4
    • 12th Jun 18, 9:07 AM
    You've spent £720 less over the three years because you signed up for a lower mileage. You've had the benefit of the service plan which you didn't pay for. So you should deduct those from the £1500 mileage charge.

    But, as others have said, your best bet is to VT the car, if there is still time.
    • AdrianC
    • By AdrianC 12th Jun 18, 9:43 AM
    • 18,707 Posts
    • 17,082 Thanks
    AdrianC
    • #5
    • 12th Jun 18, 9:43 AM
    • #5
    • 12th Jun 18, 9:43 AM
    You read the contract before signing. You noticed the difference in mileage allowance. You signed the contract anyway because you thought the headline monthly cost was more important to you.


    Mileage over the contractual limit may or may not be charged on VT - three years ago, when you took the contract on, it used to be seen a blanket "not chargeable", AIUI, but the legal situation appears not be as clear-cut now. If, however, you pay the balloon to keep the car, then the mileage is totally irrelevant.
    • foxy-stoat
    • By foxy-stoat 12th Jun 18, 11:44 AM
    • 2,797 Posts
    • 1,585 Thanks
    foxy-stoat
    • #6
    • 12th Jun 18, 11:44 AM
    • #6
    • 12th Jun 18, 11:44 AM
    You mis-bought, this wasn't mis-sold.

    Salesperson was breaking the rules and got you to sign - conversations you had wont mean anything as the contract was signed.

    Try and hand it back and you may get hit for the mileage charges, you could fight it and see where it goes but be prepared to lose.

    Or find out the settlement figure against the market value to see if you are winning or not and buy it back with loan and sell on...but its probably not worth it as you may only be chasing £1500.
    • motorguy
    • By motorguy 12th Jun 18, 7:50 PM
    • 17,568 Posts
    • 10,659 Thanks
    motorguy
    • #7
    • 12th Jun 18, 7:50 PM
    • #7
    • 12th Jun 18, 7:50 PM
    3 years ago I bought a Nissan qashqai and was informed about PCP by the sales adviser. I needed a car quickly as my old car was on it's last legs. I told them I would like to spend approx £200 a month and that was my budget. They asked the usual questions and also asked how many miles I did, to which I told them 10,000 a year.
    They couldn't get near to the figure I wanted (£270) we were prepared to leave until he said he would have word with the manager (the usual tricks). He came back and siad he could do £250 a month and throw in extras such as mats and a service plan.
    Anyway we agreed and were told we would have the car within 2 weeks.
    That didn't happen. When I was talked through the pcp I was informed that I could hand the car back after I'd paid 50% of the total with no further payments. Or I could return it and put it down as payment towards a new one or I could buy it. I was told I could change it at anytime. I noticed that the annual mileage was 5000 on the contact and I raised this with the adviser who told me it didn't matter and it wasn't important it was only if I handed the car back early. I explained that I didn't do 5000 but 10,000 and he kept telling me not to worry. Stupidly I still signed but at the time I was reassured more than once that it wasn't important.
    I now realise this isnt true as I've come to the end of my agreement and have paid 50% and wanted to hand it back. However I've done Double the mileage (31000) and have been advised of a £1500 minimum excess charges!
    I tried to contact the garage and for 4 days they ignored my calls and emails so I raised a complaint with customer services.
    Since then, the garage have contacted me to say they've looked into and nothing they can do. This came from their compliance manager.
    Where do I stand with this as I am adamant of the conversations I had with the sales adviser who still works there and have got some copies of notes I made at the time. Also a copy of my contract which has been scrawled over by the sales adviser who underlined the bots he wanted me to deem important- such as monthly payments but NOT mileage which was hidden in a corner of the document. I accept that I signed it but the policy itself was not explained correctly and now I'm fitting a bill of £1500 to get rid of the car!

    Any help appreciated
    Originally posted by evensteven
    You'll likely get a lot more for it either
    1. trading it in
    2. selling it privately
    3. selling it to an online buying site
    "We have normality. I repeat, we have normality. Anything you still can't cope with is therefore your own problem."
    • motorguy
    • By motorguy 12th Jun 18, 7:52 PM
    • 17,568 Posts
    • 10,659 Thanks
    motorguy
    • #8
    • 12th Jun 18, 7:52 PM
    • #8
    • 12th Jun 18, 7:52 PM
    You mis-bought, this wasn't mis-sold.

    Salesperson was breaking the rules and got you to sign - conversations you had wont mean anything as the contract was signed.

    Try and hand it back and you may get hit for the mileage charges, you could fight it and see where it goes but be prepared to lose.

    Or find out the settlement figure against the market value to see if you are winning or not and buy it back with loan and sell on...but its probably not worth it as you may only be chasing £1500.
    Originally posted by foxy-stoat
    In fairness if the salesman said "the charges only become payable if you hand the car back at the end of term, therefore simply dont hand the car back at the end of term", he wasnt lying or breaking any rules was he?
    "We have normality. I repeat, we have normality. Anything you still can't cope with is therefore your own problem."
    • foxy-stoat
    • By foxy-stoat 13th Jun 18, 9:01 AM
    • 2,797 Posts
    • 1,585 Thanks
    foxy-stoat
    • #9
    • 13th Jun 18, 9:01 AM
    • #9
    • 13th Jun 18, 9:01 AM
    In fairness if the salesman said "the charges only become payable if you hand the car back at the end of term, therefore simply dont hand the car back at the end of term", he wasnt lying or breaking any rules was he?
    Originally posted by motorguy
    If that was the case then the OP would not have to pay any excess mileage charges when he VT'd - but there is a possibility that he will. Contract was still made on the basis that the stated mileage was half of the actual mileage required to keep the price down.
    • nightshot99
    • By nightshot99 18th Jun 18, 1:47 PM
    • 17 Posts
    • 5 Thanks
    nightshot99
    Should check with the finance company in the first instance to see if they charge for excess mileage, some do and some dont. I was lucky with Black horse as they dont so the car got VT'd straight away with about 25k excess mileage.
    • AdrianC
    • By AdrianC 18th Jun 18, 4:02 PM
    • 18,707 Posts
    • 17,082 Thanks
    AdrianC
    Should check with the finance company in the first instance to see if they charge for excess mileage, some do and some dont. I was lucky with Black horse as they dont so the car got VT'd straight away with about 25k excess mileage.
    Originally posted by nightshot99
    There's a big difference between will-they-won't-they on a VT, and will-they-won't-they at the end of the contract.
    • Willingwisp
    • By Willingwisp 12th Aug 18, 3:31 PM
    • 1 Posts
    • 0 Thanks
    Willingwisp
    Similar situation
    Following this with interest as Im in exactly the same boat with the same finance company. I havent spoken to them yet as they are not open today. I am 18 months into my 3 year PCP and will be hugely over my mileage allowance owing the the dealer persuading me to reduce from 12,000 to 10,000- yes I dont need berating, I signed the contract blah blah blah!

    I'm following to try and determine what is the best thing to do. Currently my thoughts are;
    1. Get a current settlement figure and pay with a bank loan then potentially sell on
    2. Keep the car until the 3 year point, hand it back get a loan for the mileage and get a new car
    3. VT the PCP

    My excess milegae charges are going to be circa £8000 by the end of the 3 years!!
    Last edited by Willingwisp; 12-08-2018 at 3:31 PM. Reason: typo in figures!
    • motorguy
    • By motorguy 12th Aug 18, 3:51 PM
    • 17,568 Posts
    • 10,659 Thanks
    motorguy
    If that was the case then the OP would not have to pay any excess mileage charges when he VT'd - but there is a possibility that he will. Contract was still made on the basis that the stated mileage was half of the actual mileage required to keep the price down.
    Originally posted by foxy-stoat
    The charges DO only become payable at the end of term, however if you terminate the contract for whatever reason then you may or may not be liable for further charges.
    "We have normality. I repeat, we have normality. Anything you still can't cope with is therefore your own problem."
    • motorguy
    • By motorguy 12th Aug 18, 3:53 PM
    • 17,568 Posts
    • 10,659 Thanks
    motorguy
    Following this with interest as Im in exactly the same boat with the same finance company. I havent spoken to them yet as they are not open today. I am 18 months into my 3 year PCP and will be hugely over my mileage allowance owing the the dealer persuading me to reduce from 12,000 to 10,000- yes I dont need berating, I signed the contract blah blah blah!

    I'm following to try and determine what is the best thing to do. Currently my thoughts are;
    1. Get a current settlement figure and pay with a bank loan then potentially sell on
    2. Keep the car until the 3 year point, hand it back get a loan for the mileage and get a new car
    3. VT the PCP

    My excess milegae charges are going to be circa £8000 by the end of the 3 years!!
    Originally posted by Willingwisp
    For 2,000 miles a year extra?

    What are you driving, a Bentley?
    "We have normality. I repeat, we have normality. Anything you still can't cope with is therefore your own problem."
    • DD265
    • By DD265 12th Aug 18, 4:34 PM
    • 1,500 Posts
    • 3,345 Thanks
    DD265
    I VT'd my agreement last year and when I was looking into the process, I found this resource very helpful as a starting point:

    http://legalbeagles.info/forums/forum/legal-forums/motoring-parking/vehicle-finance-and-issues/77730-a-guide-to-voluntary-termination-your-rights
    • Arklight
    • By Arklight 12th Aug 18, 4:55 PM
    • 1,502 Posts
    • 2,340 Thanks
    Arklight
    Following this with interest as Im in exactly the same boat with the same finance company. I havent spoken to them yet as they are not open today. I am 18 months into my 3 year PCP and will be hugely over my mileage allowance owing the the dealer persuading me to reduce from 12,000 to 10,000- yes I dont need berating, I signed the contract blah blah blah!

    I'm following to try and determine what is the best thing to do. Currently my thoughts are;
    1. Get a current settlement figure and pay with a bank loan then potentially sell on
    2. Keep the car until the 3 year point, hand it back get a loan for the mileage and get a new car
    3. VT the PCP

    My excess milegae charges are going to be circa £8000 by the end of the 3 years!!
    Originally posted by Willingwisp
    Is there a reason why you donít want to buy the car?
    • Herzlos
    • By Herzlos 12th Aug 18, 6:23 PM
    • 8,094 Posts
    • 7,410 Thanks
    Herzlos
    Is there a reason why you donít want to buy the car?
    Originally posted by Arklight
    That's my thought; probably cheaper to just buy the car at the end rather than the excess mileage charges.
    • Ectophile
    • By Ectophile 12th Aug 18, 7:31 PM
    • 3,314 Posts
    • 2,133 Thanks
    Ectophile
    I'd go for 4. Keep the car for 3 years. Pay the "balloon" payment to buy the car - you no longer have to pay the mileage charge. Take out the lowest interest loan you can find to pay it.


    Then keep the car until it falls to bits. Don't get sucked into another bad PCP deal.
    If it sticks, force it.
    If it breaks, well it wasn't working right anyway.
    • motorguy
    • By motorguy 12th Aug 18, 8:03 PM
    • 17,568 Posts
    • 10,659 Thanks
    motorguy
    I'd go for 4. Keep the car for 3 years. Pay the "balloon" payment to buy the car - you no longer have to pay the mileage charge. Take out the lowest interest loan you can find to pay it.


    Then keep the car until it falls to bits. Don't get sucked into another bad PCP deal.
    Originally posted by Ectophile
    In fairness it wasnt a bad PCP deal. He either put down mileage that was way lower than what he was actually doing OR his circumstances changed. The easiest way to rectify that is to phone the finance company and have the payments recalculated, or simply set aside the excess mileage amount each month in savings.

    Kicking the can down the road until theres a massive bill looming (a) is not the answer and (b) is not the fault of the PCP deal
    "We have normality. I repeat, we have normality. Anything you still can't cope with is therefore your own problem."
    • Penelopa.Pitstop
    • By Penelopa.Pitstop 12th Aug 18, 10:17 PM
    • 358 Posts
    • 134 Thanks
    Penelopa.Pitstop
    For 2,000 miles a year extra?

    What are you driving, a Bentley?
    Originally posted by motorguy
    The highest excess charges I saw, were 44p per mile, but it still doesn't work for the expect 6000 miles over the limit and cost of £8000 for that. So it's either typo or a lot of excess miles.

    It's possible to recalculate payments, depending on finance company.

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