Excess mileage charge

[taraoscar08]

Hi everyone

my vehicle is being collected on Thursday after I have recently vt'd it. I am going to take photos with the newspaper in the background as you guys have kindly expressed in other posts. But what I am most concerned about is excess mileage charge. Car has done 32,439 and it's just over 2years old, contract is limited to 8k pro rata. I've worked out approx £700 as its charged at 0.69p per mile. Can they really charger me?? I've not signed any of the vt forms will only sign the condition report. They finance company have been excellent so far and it's running smoothly. (Touch wood) please can some one give me some advice on this please. Thank you

[R0b]

Re: Excess mileage charge

Is the car brand new? if not, has it been serviced in accordance with the manual?
what is the reason for high mileage are you doing motorway driving or lots of city driving?

I personally wouldn't sign the condition report as if they come back and start saying you owe money for XYZ repairs then you will be in a sticky situation because you have signed and agreed. You are not obliged to sign the condition report and they cannot force you to.

Your liability is restricted to 50% or more of the payments you have made and the only way the Finance Co. can reclaim would be to show that the car is not in a reasonable condition because of its mileage. It's unlikely they could do that but I bet you they will try anything to scrape back any amount because you are VT'ing.

[taraoscar08]

Re: Excess mileage charge

Thank you for your quick response.
the car is a 13plate I brought it branch new. I've done motorway driving in it and it's serviced up to date. My husband said to just pay it and get rid if they charge but I would rather stand my ground.

[taraoscar08]

Re: Excess mileage charge

It was brand new it's a 13 plate. I've done mostly motorway driving and it's all serviced up to date. My husband said to just pay it if we get charged as he just wants rid but I want to stand my ground.

[R0b]

Re: Excess mileage charge

If I was you, I would fight it. It is very unlikely they will go to court on it and there's very little court cases on this and not gone much past the court but the law seems to make it clear that if you VT your agreement your liability is restricted and thye cannot impose further liability on you.

The only way they could charge you excess mileage would be if they terminated the agreement because you breached it. So stand your ground, just curious though who is the lender?

[taraoscar08]

Re: Excess mileage charge

Thank you, I will fight it to the end. It states in my contract that as long as half of total amount is paid and the car is in good condition there will be nothing further to pay. The lender is bmw financial services. Thanks again form our quick response

[ostell]

Re: Excess mileage charge

I think there are other tales around of people dealing with BMW.

The general advice is that the CCA provides that as long as 50% is paid and the car is satisfactory then there will be no more to pay. You haven't signed their form have you?

[taraoscar08]

Re: Excess mileage charge

I've not signed nothing!! Told them I'm not signing anything and at first they wouldn't process the vt. But after some strong words they processed it without the signed return form. The only thing I've done is sent the v5 off. They stated in the letter that I will need to sign the condition report but I don't thing I will.

[R0b]

Re: Excess mileage charge

I think there are other tales around of people dealing with BMW.

The general advice is that the CCA provides that as long as 50% is paid and the car is satisfactory then there will be no more to pay. You haven't signed their form have you?

I think even if you signed an agreement that wouldn't affect your right to refuse to pay as s.173 still prevails.

[taraoscar08]

Re: Excess mileage charge

So car has gone and i have recieved a call today informing me that I owe £850 for excess mileage. ?? My husband answered and said he would seek advice about it and get back to them. What can I do guys?

[R0b]

Re: Excess mileage charge

So car has gone and i have recieved a call today informing me that I owe £850 for excess mileage. ?? My husband answered and said he would seek advice about it and get back to them. What can I do guys?

Tell them absolutely not, provided you voluntarily terminated your agreement then you will not need to pay the excess mileage, the amount you owe is restricted. Take a look at this ongoing thread about excess mileage for more information http://www.legalbeagles.info/forums/...of-Car-Finance

[taraoscar08]

Re: Excess mileage charge

Wow thank you! I have just read that whole feed. Would be great to see an outcome on that.

[taraoscar08]

Re: Excess mileage charge

Just received a letter stating the invoice ect then they have sent a copy of the contract highlighting the excess mileage part, on reverse the part that says as long as half total amount payable has been paid plus any overdue instalments and have taken reasonable care of goods you will not have to pay any more! So I will highlight this part and send it back with a letter

[R0b]

Re: Excess mileage charge

Yep, it's not worth pinging letters back and forth, if they wish to make the claim then they shall have to go to court over it (which they won't). The lenders are likely to have suffered a loss of some sort as a result of people VT'ing and this is one way of recouping some of those losses as not many people will be aware, even small charges for collection of the vehicle will amount up over time.

Let us know what they say but i suspect they might come back to you and say the car is not in reasonable condition due to excess mileage and my response would be prove it.

[taraoscar08]

Re: Excess mileage charge

Yep, it's not worth pinging letters back and forth, if they wish to make the claim then they shall have to go to court over it (which they won't). The lenders are likely to have suffered a loss of some sort as a result of people VT'ing and this is one way of recouping some of those losses as not many people will be aware, even small charges for collection of the vehicle will amount up over time.

Let us know what they say but i suspect they might come back to you and say the car is not in reasonable condition due to excess mileage and my response would be prove it.

So so do you not think it's worth using a template letter to reply as they have said they expect payment within 7days