What happens if I exceed the mileage limit on a PCP?

The agreement can charge an excess-mileage fee when you return the car. The rate should be stated in the finance contract.

In relation to “What happens if I exceed the mileage limit on a PCP?”, the agreement is the controlling document: headline monthly payments can hide a deposit, final payment, mileage limit or settlement position that changes the real cost.

For “What happens if I exceed the mileage limit on a PCP?”, keep an eye on the annual-mileage figure shown on the policy or finance agreement. A change in work, childcare or commuting pattern can make an old estimate unrealistic surprisingly quickly.

For “What happens if I exceed the mileage limit on a PCP?”, read the agreement for the cash price, deposit, total amount payable, optional final payment, mileage allowance and return conditions. The monthly payment alone does not show the whole cost.

For “What happens if I exceed the mileage limit on a PCP?”, calculate your likely annual mileage early from commuting and regular trips. Excess mileage can be predictable long before the agreement ends.

For “What happens if I exceed the mileage limit on a PCP?”, this answer is written for a Northern Ireland user, but some vehicle-registration, consumer-credit and insurance functions operate on a UK-wide basis. The attached sources — MoneyHelper - Personal Contract Purchase (PCP), MoneyHelper - Buying a car with Hire Purchase, and nidirect - Contact Consumerline — are therefore deliberately mixed where the responsible authority is UK-wide. That is more accurate than forcing every point into an NI-only source.

Practical next step for “What happens if I exceed the mileage limit on a PCP?”: open the finance agreement and find the figures or clause relevant to this question. If you are changing or ending the agreement, request the current position directly from the finance provider before promising the car to anyone else.