Author Topic: Excess mileage charge?  (Read 1424 times)

Offline Mk1Macca

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Excess mileage charge?
« on: 26 July 2017, 21:01 »
I recently VT'd my wife's mk7 1.6. BCA collected the car and gave it an A grade, so no issues with it.

The car was on a 4 year PCP with 12k pa as part of the agreement, so 48k overall. The car was handed back with 45k on the clock, with approx 7 months left on the PCP.

I've just had a letter through from VWFS saying there's an excess mileage charge of £190 plus VAT?! Says it needs paying in 14 days.

I'm guessing they're trying it on, but I'm still confused. What should I do? Ignore it? Contact them to tell them to sod off? Contact them to get it cleared?

I've done some looking online. Some think as there was a VT, there's no longer a contract, ergo, no longer responsible for anything. I also saw some say that VW introduced mileage charges in March this year -  but I was never contacted about it, so surely they can't enforce new contract terms?

Help!

Offline Watts

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Re: Excess mileage charge?
« Reply #1 on: 26 July 2017, 21:05 »
I'm no expert at this but with most things in life, check the small print of the contract you signed. The answer will surely be there. Anything else may be helpful but inconsequential.
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Offline GeoBog

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Re: Excess mileage charge?
« Reply #2 on: 26 July 2017, 22:56 »
VW charge 7p per extra mile for PCP contracts, it's not a recent thing, it is also written in the contract.

A simple calculation in your case:

You returned the car back after 3 years and 5 months. Considering your 12k pa this means you should've had covered 42k miles to not be charged extra mileage. Since you had +3k more than that this means around £210 charge which is close to the 190 + VAT (~£228)

I know they are not bothered about extra mileage if you part-ex. and buy another car from them but if you VT or simply return the car at the end of the PCP they will charge extra mileage.
« Last Edit: 26 July 2017, 23:00 by GeoBog »
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Offline fredgroves

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Re: Excess mileage charge?
« Reply #3 on: 27 July 2017, 07:17 »
If you google this subject you will see LOADS of cases of this going back years.

There is lots of advice to resist and fight it, but to be honest, I wouldn't be wanting the hassle of possibly it spiralling out of control into debt collection, additional fees for debt collection and legal action and then your costs defending the case etc etc

Out of interest, what was your reason for VT'ing this? I still don't understand why anyone would unless they had a change of circumstances that meant they couldn't make the payments any more.
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Offline itavaltalainen

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Re: Excess mileage charge?
« Reply #4 on: 27 July 2017, 07:52 »
Pro rata you're 3k miles over agreed mileage (42 months would allow you 42k miles, not 45k).
Most likely not worth fighting over 190 quid even if you are sure that your current contract does not require excess mileage payments on early termination.

PS: 3k miles are nothing. I had 23k excess on my last car - 123k on a 100k lease (3 years). Try that for excess mileage fees.
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