What happens if I go over my contracted mileage?
Your monthly rental is calculated on the ‘future or residual value’ of the vehicle, this ‘value’ is greatly affected by the amount of mileage which the car covers. If you exceed the contracted mileage this can have an effect on this value and the finance company therefore have to charge an ‘excess mileage amount’ this amount varies from contract to contract, vehicle to vehicle. Whilst it is a penalty charge it isn’t excessive and can be as little as 1 pence per mile!
Example of excess charges
On a contract with a total contract mileage of 30k total miles and an excess amount of 10pence/mile (inc VAT).
If you were to do 1000 miles over the total allowable of 30000 miles this would be charged at 10 pence per mile. The cost would therefore be 1000 multiplied by 10 pence per mile with equals £100.00 therefore every 1000 miles would cost an additional £100.00!
It is up to the customer to monitor and regulate the mileage AMG Autolease will not track this for you. There are opportunities to alter mileages but this is dependent on the finance company and contract type. Usually mileages can only be altered once you have had the vehicle for 12 months and provided the vehicle has over 6 months contract remaining.
How do I choose my contract mileage?
This is sometimes a tricky question and can be difficult to get right, we would always recommend erring on the side of caution and giving yourself some leeway or a safety net. That new job or client, that extended driving holiday in Spain or those weekend university visits can massively affect initial mileage predictions.
The most accurate way is to look at your last 3-5 years of driving and take an average.
