Quick PCP question

[madduffyx]

Hi all,

Just a quick question that someone might know;

Can you change your contracted mileage mid pcp? Just that due to work changes, I wont have to do as many as I thought when I bought the car, but obviously I'm going to be paying for the excess miles.

Cheers!

 

[StylancePaul]

I asked this question when I bought my car. The residual value (final payment) is based on the estimated milage, so you can't change it.
The excess milage cost looked a bit silly to me. So your probably better looking for a way to pay for the car at the end rather than just handing it back.


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[JamMonkey]

I believe so. You have to ring them and they will amend your residual value and that will change your monthly payments. It depends on how far into your PCP you are and if its worth it to you and the change they offer.

Your residual value is based on your annual mileage. I've always been fortunate in the fact i have a allowance and there for i tend to send my car back under its mileage but then i have money in the car as its worth more than the residual.

I'm nearly three years in to my 42 month PCP and my dealer is now putting me into a MK3 184 FR for same money and no cash outlay which i'm well pleased about.

Matt

 

[madduffyx]

Cheers Matt and Paul, think the best thing for me to do is just give VW finance a phone and see what they say.

I'm only 3 months into the PCP. If I just persisted with the slightly higher payments every month would this mean that at the end of the contract I'd have more equity in the car and be in a situation like you Matt?

Thanks both.

 

[scrich7]

Cheers Matt and Paul, think the best thing for me to do is just give VW finance a phone and see what they say.

I'm only 3 months into the PCP. If I just persisted with the slightly higher payments every month would this mean that at the end of the contract I'd have more equity in the car and be in a situation like you Matt?

Thanks both.

That sounds right to me, you should have additional equity in the car if you are doing less mileage than contracted.

 

[madduffyx]

I'll probably just continue with the PCP then and not bother changing it. Little bit of equity will come in useful at the end of the contract

 

[JamMonkey]

If your not missing the money then i'd stick with it. If its a massive difference then see what they say.

Eg not worth it for 15,000 to 12,000 but 18,000 to 12,000 would be a difference monthly i would think.

That's why they offer cars for £180 at 6K and then it shoots up to £280 when you stick an extra 6K a year on it.

Got offered a pre- reg Ibiza FR on Sunday for the Girlfiend for 189/189 6K tempted but she wants 5 doors.

 

[madduffyx]

It would only be moving it from 18,000 to 15,000 so not a massive difference. That seems a pretty good offer, especially if there is on deposit involved. Tell her it's wrong to have an Ibiza FR in 5 doors. 3 door all the way

 

[Ckpearce91]

I'm doing more mileage than what I originally quoted for. I'm 6 months into my PCP, do I call them now and let them know or do I leave it and pay at the end?


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[marty_34]

the only way you would get billed for the excess mileage would be if you just handed the car back at the end and didn't get another one. might be worth a call though just to cover your back just incase

you can adjust the mileage on your pcp mid term this is something I asked at the outset, they just adjust your payment and the GFV accordingly

 

[madduffyx]

I'd agree with Marty, double check what your contract says and give them a phone. I considered getting the lowest mileage possible and not handing it back at the end, but you never know what the circumstances will be in a few years times so opted to go for my actual estimated mileage.

 

[Ckpearce91]

the only way you would get billed for the excess mileage would be if you just handed the car back at the end and didn't get another one. might be worth a call though just to cover your back just incase



you can adjust the mileage on your pcp mid term this is something I asked at the outset, they just adjust your payment and the GFV accordingly

Yeah that's my problem, can't really afford to pay more than I already am. Back when I got the car I worked out in my head that I would do about 6000 miles a year so I went for a max mileage of 10k. But since owning the car, I've been doing at least 1000 miles a month and that's not really going anywhere far, my daily commute is 20 miles to and from work. With the odd 80 miles every couple of weeks visiting family.


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[marty_34]

I opted to put 10k on mine, had mine 3 and a half month so far I am up to 2500 miles but starting to do a few more miles the past few weeks. plan for me is to review it when ive had the car for 1 year and if need arises seek some advice from a friend who works in the trade, don't think 3-4000 extra miles over 3 year would affect the residual that badly

 

[AJ]

the only way you would get billed for the excess mileage would be if you just handed the car back at the end and didn't get another one.

I can confirm that Marty is correct, I was told this when I signed my finance agreement on Friday. Excess mileage only charged if you opt to hand your car back at end of agreement and walk away. If you wanted to use the car as part ex then they will re-value your car with the extra mileage and give you your options.

 

[steve67]

slightly off topic,

looking at going into my 2nd pcp, i know that they balance out the monthly payment and gfv
what are your gfv's coming in at on a 36 month pcp.i don't know if the pcp quoted for me is over valuing the car ,so when i come to px there will be near nothing in it.

ive been quoted for a 1.4 fr £249 x36 months and gfv of £9220

any advice would help.

 

[rcopus]

slightly off topic,

looking at going into my 2nd pcp, i know that they balance out the monthly payment and gfv
what are your gfv's coming in at on a 36 month pcp.i don't know if the pcp quoted for me is over valuing the car ,so when i come to px there will be near nothing in it.

ive been quoted for a 1.4 fr £249 x36 months and gfv of £9220

any advice would help.

No one will be able to answer based on that, you haven't told us what the total milage will be, that is one of the biggest variables in the GFV.

AFAIK the GFV is provided by the finance company, its not negotiable, so not sure what you're trying to achieve?

What I'd be more interested in, if I was in your shoes, would be the retail price they want for the car, thats more important in my opinion.

 

[steve67]

No one will be able to answer based on that, you haven't told us what the total milage will be, that is one of the biggest variables in the GFV.

AFAIK the GFV is provided by the finance company, its not negotiable, so not sure what you're trying to achieve?

What I'd be more interested in, if I was in your shoes, would be the retail price they want for the car, thats more important in my opinion.

I do 10k miles a year.
I've had several quotes. Each time the gfv is different.
The price of the car is 18900.

 

[scrich7]

Seems high to me, but I'm not educated on the matter

 

[rcopus]

Is the car specification and retail price of the car always *exactly* the same for each of your three quotes? I'll admit sounds odd that you get given a different GFV for each of the quotes, says to me *something* however minor it may be, is different for each of your quotes.

It may/may not help but my GFV was around £8400 on 15k miles 1.4 5dr FR Tech pack, few extras etc.

 

[steve67]

Is the car specification and retail price of the car always *exactly* the same for each of your three quotes? I'll admit sounds odd that you get given a different GFV for each of the quotes, says to me *something* however minor it may be, is different for each of your quotes.

It may/may not help but my GFV was around £8400 on 15k miles 1.4 5dr FR Tech pack, few extras etc.

Yep. Exactly the same spec. But if you have a gfv of £8400 , my gfv is probably about right at 10ķ miles