Tweet
Hello, and may I say what a useful resource this forum has been.
I entered into a PCP contract in 2017 which was limited by milage of 8000 per year. Despite telling the salesperson at the time our average milage was more than 12k, the only way that the car would fit our budget was to take a reduced yearly milage. I was blinded by the prospect of a new car and foolishly pressed ahead with the contract. After a year of owning the car, the milage was over the pro rata amount and by year 2, almost 3k over.
I contacted Vauxhall at that time (2 year point) and asked to VT the car as the milage allowance was not sufficient for our needs. Vauxhall were not prepared to increase the milage allowance, so it was the safest way rather than letting the contract run for a further 3 years adding further excess milage. They sent me a pack up that explained I could drop the car at an auction house (closest was 100 mile round trip) for inspection or, I could pay them to inspect the car. They also asked me to accept liability for damages and excess milage and wanted me to return a signed form accepting that. They also pointed out that as I had not paid 50% of the total finance agreement,I would need to settle that amount (was almost £3000 outstanding). As I was unable to afford the £3000 to VT the car at that time I continued with the monthly instalments until June2020 at which point I hit the 50% mark in the contract. By this time the pro rata excess millage was 4k.
In the intervening 12 months prior to contacting Vauxhall Finance to the point I had paid 50% of the agreement I found this forum and became better informed as to the process. I contacted Vauxhall Finance and wrote a letter to them stating I wanted to VT the car this year at the 50% point. They tried telling me they needed to send the VT pack which I would have to sign. I flat out refused to accept their pack up or sign any documentation and instead sent them a VT template letter. They did try telling me on the phone that I would have to pay for an inspection but I argued that and in the end they agreed to let me take the car to a local Vauxhall Main Dealer for inspection (same chain we bought the car from and had it serviced by).
The Vauxhall garage carried out the survey and the person inspecting commented that the car was immaculate and there was no damage found. He did state that the finance company had given him milage figures which equated to 4K excess milage on what was on the car. For clarity the total car milage was 28k so not at all high. I signed the paperwork for the condition report following the inspection and on the advice of the person doing the inspection did not sign paperwork for excess milage. He actually informed me that they would look to buy the car off the finance company and sell it on their forecourt, absorbing any excess milage themselves.
I contacted Vauxhall finance the next day and made a payment of £111 on debit card as this was still outstanding on the finance to take it to %50. Since then my agreement is no longer available on the finance companies web portal which shows I have no outstanding agreements with them.
Today I have received an email from the finance company (Legal-Recoveries) which I have have pasted here:
GBCAR-VXF-Legal-Recoveries@vauxhallfinance.com
Fri 26/06/2020
Good afternoon
Please be advised that following the Handback of the vehicle, the balance of £401.40 remains for Excess Mileage.
Our banking details are below, for information.
Please contact us if you wish to pay in instalments
Kind regards
Raina Malik
Recoveries Department
Heol-y-Gamlas, Parc Nantgarw, Treforest, CF15 7QU
Cardiff | UK
T:+44(0) 344 201 4001
E:raina.malik@vauxhallfinance.com
E:GBCAR-VXF-Legal-Recoveries@vauxhallfinance.com
W:www.vauxhall-finance.co.uk
The email doesn't state how they have calculated the figure but £401.40 equates to 4460 miles at 9p a mile. I do not dispute the amount but I do want to know if I should / am required by law to pay. The original contract that stipulated excess milage was surely voided when I VT'd that contract and handed back the car. Should I pay this excess milage charge?
I have been through the template responses in the VT guide but the letters relating to excess milage are all specific to what the Finance Company has said. This email they have sent doesn't really fall into those categories. Any advice on this would be gratefully received and I thank you for taking the time to read what ended up being a very long first post.
*
Vauxhall Finance plc . Registered in England & Wales No: 00275607,VAT No. 311 9782 01. Registered office: Heol-y-Gamlas, Parc Nantgarw, Treforest, Cardiff. CF15 7QU
Vauxhall Finance plc is authorised and regulated by the Financial Conduct Authority. Vauxhall Finance plc is a member of the Finance & Leasing Association and complies with its Lending Code a copy of which we will provide on request.
This e-mail and information contained in it and any attachment(s) is confidential and/or may also be privileged; it is intended solely for the addressee(s). If you are not the intended recipient, please notify us immediately by telephoning or e-mailing the sender and then delete it. If you have received this e-mail in error, any use, retransmission, dissemination or copying of this email or its contents is strictly prohibited. E-mails are not secure and cannot be guaranteed to be error free as they can be intercepted, amended, lost or destroyed, or contain viruses.
I entered into a PCP contract in 2017 which was limited by milage of 8000 per year. Despite telling the salesperson at the time our average milage was more than 12k, the only way that the car would fit our budget was to take a reduced yearly milage. I was blinded by the prospect of a new car and foolishly pressed ahead with the contract. After a year of owning the car, the milage was over the pro rata amount and by year 2, almost 3k over.
I contacted Vauxhall at that time (2 year point) and asked to VT the car as the milage allowance was not sufficient for our needs. Vauxhall were not prepared to increase the milage allowance, so it was the safest way rather than letting the contract run for a further 3 years adding further excess milage. They sent me a pack up that explained I could drop the car at an auction house (closest was 100 mile round trip) for inspection or, I could pay them to inspect the car. They also asked me to accept liability for damages and excess milage and wanted me to return a signed form accepting that. They also pointed out that as I had not paid 50% of the total finance agreement,I would need to settle that amount (was almost £3000 outstanding). As I was unable to afford the £3000 to VT the car at that time I continued with the monthly instalments until June2020 at which point I hit the 50% mark in the contract. By this time the pro rata excess millage was 4k.
In the intervening 12 months prior to contacting Vauxhall Finance to the point I had paid 50% of the agreement I found this forum and became better informed as to the process. I contacted Vauxhall Finance and wrote a letter to them stating I wanted to VT the car this year at the 50% point. They tried telling me they needed to send the VT pack which I would have to sign. I flat out refused to accept their pack up or sign any documentation and instead sent them a VT template letter. They did try telling me on the phone that I would have to pay for an inspection but I argued that and in the end they agreed to let me take the car to a local Vauxhall Main Dealer for inspection (same chain we bought the car from and had it serviced by).
The Vauxhall garage carried out the survey and the person inspecting commented that the car was immaculate and there was no damage found. He did state that the finance company had given him milage figures which equated to 4K excess milage on what was on the car. For clarity the total car milage was 28k so not at all high. I signed the paperwork for the condition report following the inspection and on the advice of the person doing the inspection did not sign paperwork for excess milage. He actually informed me that they would look to buy the car off the finance company and sell it on their forecourt, absorbing any excess milage themselves.
I contacted Vauxhall finance the next day and made a payment of £111 on debit card as this was still outstanding on the finance to take it to %50. Since then my agreement is no longer available on the finance companies web portal which shows I have no outstanding agreements with them.
Today I have received an email from the finance company (Legal-Recoveries) which I have have pasted here:
GBCAR-VXF-Legal-Recoveries@vauxhallfinance.com
Fri 26/06/2020
Good afternoon
Please be advised that following the Handback of the vehicle, the balance of £401.40 remains for Excess Mileage.
Our banking details are below, for information.
- Sort code- 30 00 02
- Account number- 02018557
- Bank – Lloyds
- Reference – Agreement Number
Please contact us if you wish to pay in instalments
Kind regards
Raina Malik
Recoveries Department
Heol-y-Gamlas, Parc Nantgarw, Treforest, CF15 7QU
Cardiff | UK
T:+44(0) 344 201 4001
E:raina.malik@vauxhallfinance.com
E:GBCAR-VXF-Legal-Recoveries@vauxhallfinance.com
W:www.vauxhall-finance.co.uk
The email doesn't state how they have calculated the figure but £401.40 equates to 4460 miles at 9p a mile. I do not dispute the amount but I do want to know if I should / am required by law to pay. The original contract that stipulated excess milage was surely voided when I VT'd that contract and handed back the car. Should I pay this excess milage charge?
I have been through the template responses in the VT guide but the letters relating to excess milage are all specific to what the Finance Company has said. This email they have sent doesn't really fall into those categories. Any advice on this would be gratefully received and I thank you for taking the time to read what ended up being a very long first post.
*
Vauxhall Finance plc . Registered in England & Wales No: 00275607,VAT No. 311 9782 01. Registered office: Heol-y-Gamlas, Parc Nantgarw, Treforest, Cardiff. CF15 7QU
Vauxhall Finance plc is authorised and regulated by the Financial Conduct Authority. Vauxhall Finance plc is a member of the Finance & Leasing Association and complies with its Lending Code a copy of which we will provide on request.
This e-mail and information contained in it and any attachment(s) is confidential and/or may also be privileged; it is intended solely for the addressee(s). If you are not the intended recipient, please notify us immediately by telephoning or e-mailing the sender and then delete it. If you have received this e-mail in error, any use, retransmission, dissemination or copying of this email or its contents is strictly prohibited. E-mails are not secure and cannot be guaranteed to be error free as they can be intercepted, amended, lost or destroyed, or contain viruses.
