Leasing vrs buying

[wesley]

do you still get charge for excess mileage if you take another PCP ?

 

[iaind]

do you still get charge for excess mileage if you take another PCP ?

No

Excess mileage only comes into effect if you hand the car back

If you take another PCP you're effectively trading the car in, settling the finance and taking the balance as deposit on the next. Obviously mileage will have an impact on the value but in such a fixed was as the excess mileage charge.

If you buy it, you just buy it for the GFV regardless of the condition or mileage. In most circumstances this is fine, but if the mileage is way over then you may be buying it for more than it's worth

 

[xs2man]

If you buy it, you just buy it for the GFV regardless of the condition or mileage. In most circumstances this is fine, but if the mileage is way over then you may be buying it for more than it's worth

At which point you may be better handing it back and paying the excess mileage charge.

 

[[TW]Fox]

No

Actually yes.

Excess mileage only comes into effect if you hand the car back

Which you are doing by taking a new PCP, so an excess mileage charge will be made in one way or another (be it through a reduced level of equity in the car or whatever).

 

[iaind]

Actually yes.

(be it through a reduced level of equity in the car or whatever).

Exactly...so not the excess mileage charge