| Author | Message | ||
     Hill Mainor (Gahill2) Member Username: Gahill2 Post Number: 91 Registered: 06-2003 |
I have a friend who leased his disco. He is way over his mileage. He said that he is not worried about it because he is going to buy his truck at the end of the lease. Is LR going to charge him anyway for being over his mileage? Just wondering, Thanks, Hill | ||
| Shane Lesteberg (Snwbord24) Member Username: Snwbord24 Post Number: 66 Registered: 01-2004 |
I don't think they can if he pays the agreed to amount at the end of the lease. As this is also the case with me I sure hope they don't make me pay for the miles. | ||
| Alyssa Brown (Alyssa) Senior Member Username: Alyssa Post Number: 610 Registered: 01-2003 |
No, guys, you have to pay for your mileage, even if you buy your truck at the end. The residual value was based on the agreed upon mileage. Chase, Land Rover Capital Group, Primus, and BMW leases are all this way. You shouldn't lease if you are going to drive a ton of miles. | ||
| Lance Doyle (Discokayaker) New Member Username: Discokayaker Post Number: 24 Registered: 11-2003 |
They won't charge for the over-miles; however, chances are that the buy-out is much higher then market value. Depending on how over he is, he still might be better off turning in his, paying the overage and purchasing on the open market. Unfortunatly, most leases work out this way. Lance | ||
| Shane Lesteberg (Snwbord24) Member Username: Snwbord24 Post Number: 67 Registered: 01-2004 |
Guess I pay for the miles next year then. I was way off on how much I drove. I had been going to sea for 3 years when I got the lease and stupidly based my annual mileage on that. Now that I'm on shore duty I drive alot. Lots of camping, snowboarding trips etc.... I have to drive 1200 miles round trip to see my son as well so I'm unfortunately racking up the miles. Definately won't lease again and I realize I'm an idiot for doing it in the first place. | ||
| Hill Mainor (Gahill2) Member Username: Gahill2 Post Number: 92 Registered: 06-2003 |
So even if you pay for the excess miles this affects your buy-out price? | ||
| John Gadd (Roverdude) New Member Username: Roverdude Post Number: 12 Registered: 11-2003 |
If you are the leasor and you buy it at the residual, you WILL NOT be charged for miles. But Lance is correct. Your exact vehicle would probably cost you less on the open market. Best to trade in to the dealer or take advantage of "early termination" spiffs and Customer Loyalty offered on the new Discovery. E-mail me for more details. JOHN | ||
| Alyssa Brown (Alyssa) Senior Member Username: Alyssa Post Number: 615 Registered: 01-2003 |
No, when you buy your lease at the end, you pay your lease-end residual value, plus the excess miles, plus (in some cases) a buyout option fee (on Chase). When you originally sign the lease contract, your monthly payment and the residual are based on the miles that you contract to drive. | ||
| Chris Johnson (Disco_fever) New Member Username: Disco_fever Post Number: 21 Registered: 02-2004 |
logically i would think so, because the truck would be worth more if you had stuck to the mileage. So the dealer will probably make him pay that value, rather than the lesser value because of higher miles. | ||
| Alyssa Brown (Alyssa) Senior Member Username: Alyssa Post Number: 616 Registered: 01-2003 |
Just so everyone understands, it isn't the dealer that determines the price you pay to buy out your truck. Your leasing company determines that. The dealer is just the liason between you and the leasing company, with no say on the price or fees they charge. The dealer can help you with financing or extended warranty, but the dealer pays the leasing company the same amount you pay the dealer for your truck. | ||
| John Gadd (Roverdude) New Member Username: Roverdude Post Number: 13 Registered: 11-2003 |
If you plan on buying out your lease you will NOT have to pay for excess miles. Check the back of your lease contract for details. | ||
| Jaime Crusellas (Jaime) Senior Member Username: Jaime Post Number: 281 Registered: 05-2003 |
I had a lease with 12k miles per year. At end of lease I had 35k miles. Buyout from BMW per agreement was 22k. I really liked the truck, it was trouble free and I did not want to get a different one. I returned the truck to BMW and the dealer sold me the same truck back for 20. If I had elected the lease buyout it would have cost me 22K | ||
| Alyssa Brown (Alyssa) Senior Member Username: Alyssa Post Number: 620 Registered: 01-2003 |
I do this for a living, people. Yes, you do have to pay for the miles. There was a time BMW would negotiate on the lease end residual value. However, they STILL CHARGED FOR MILES. They charged the customer, and they charged the dealer. All the BMW leases at our dealership have been turned in for quite some time. Land Rover Capital Group/Primus DOES NOT negotiate. And they charge for miles too. | ||
| Brett A. Naquin (Bnaquin) Member Username: Bnaquin Post Number: 88 Registered: 09-2003 |
You tell them Alyssa!! I've never understood why someone would lease a vehicle. I guess living in Texas and driving 25K miles a year (this being normal for the size of the state) it just didn't make sense. I've never seen a lease that allows more than half of what I drive every year. Damn....so many things to do in Texas are soooo far apart. But I wouldn't live anywhere else!! | ||
| Melissa N (Roverchic) Member Username: Roverchic Post Number: 97 Registered: 02-2004 |
Yah kuddos to Alyssa! My boyfriend leased a car one time and was way over the miles .. He got screw**! It is cool if you drive 12K a year but some times I do 12K miles in a month! Driving to TEXAS for job interviews!! | ||
| Brett A. Naquin (Bnaquin) Member Username: Bnaquin Post Number: 90 Registered: 09-2003 |
Come to Texas Melissa...we will assimilate you into our culture. Resistance is futile. You can check out the local wheeling and cool trips coming up at www.texasrovers.com | ||
| Melissa N (Roverchic) Member Username: Roverchic Post Number: 99 Registered: 02-2004 |
I am moving to Dallas for the summer for an internship @ a firm.. Looking @ Austin or Dallas..? I like the party scene in Austin (sixth street) !! But I have to warn all the TEXANS.. I AM A DIE HARD OU FAN!!! I will be @ SCARR in May hope to see you there B. | ||
| Brett A. Naquin (Bnaquin) Member Username: Bnaquin Post Number: 92 Registered: 09-2003 |
Very cool and good luck with your job hunt. Hey, if you move to Texas we'll work towards bringing you over to the dark side of the force...you will be a UT fan! See you at SCARR! | ||
| John Gadd (Roverdude) New Member Username: Roverdude Post Number: 15 Registered: 11-2003 |
I too do this for a living. And I'm not promoting leases. They serve their purpose. But if you go to this site and at the bottom of the first PDF page you will see it in black and white, ways to get out of excess miles penalty on a lease...... http://www.visionone.org/about/Oct_02.pdf Enough! This is what I recommended to Shane who asked about excess miles in a direct e-mail, "Early termination can only be exercised when acquiring another LR. Right now it is on LRCG (Primus) Discovery leases. Your best bet is to calculate your penalty based on estimated average miles driven to lease end. Then, increase your monthly payment accordingly. Thus, not getting buried with over miles penalties when you turn it in." | ||
| Lance Doyle (Discokayaker) New Member Username: Discokayaker Post Number: 25 Registered: 11-2003 |
I guess Land Rover leases are written differently then any other lease I have seen. I have (stupidly) purchased 2 vehicles off lease because of over-miles and have NEVER been charged anything except what was the agreed-upon residual value at the time the lease was written. This isn't re-negotiating the residual value/buyout of the lease, it is just paying the pre-agreed upon price stated in your lease contract. I really can't see how the bank/LRNA cares how many miles you put on a vehicle if you are purchasing it and not turning it in. If you are talking about terminating the lease early then it is a different story as there are other fees/interest involved. Although, you still should not be charged for miles. I guess LRNA leases are different. Anyway, just my experience. . . Lance | ||
| Axel Haakonsen (Axel) Moderator Username: Axel Post Number: 1043 Registered: 02-2003 |
I wasn't charged for miles when I bought my Disco at the end of my lease. They never even inspected it. I just purchased it "As is" for the agreed upon residual amount, and that was it. The lease agreement was written in 97, and the buyout happened in 2000. This was a Land Rover Capital group lease. - Axel | ||
| Steve Turpin (Steveturpin) New Member Username: Steveturpin Post Number: 35 Registered: 01-2004 |
I was never charged excess mileage for my Disco II at the end of the lease that was way over in miles...that is one of the reasons I bought it. BMW Financial, at the time, would not negotiate with the consumer on price, but the dealer had a first right option, so I turned it in to them. My buy out was 23K, and I bought my leased Disco II back from the dealer for 18K. I have never heard of being charged for excess miles if the car is purchased at the end of, or prior to the end of the lease term... |
