Excess Mileage More than £1100 )

0.42p per mile but when more than 30% over the 18,000 miles designated charge is increased to 0.84p per mile

Wear and Tear More than £1000

Total Bill originally more than £2000 (Bill has been reduced by £400 to date as goodwill gesture _ not sure where the goodwill is!)

My daughter purchased a new Peugeot 107 3 years ago for just over £6000 via Peugeot Finance Deal. She had the opportunity of handing back the car last month which she did but was subsequently billed with excess charges for mileage and wear and tear amounting to over £2000. Some of which she is contesting but the bill for excess charges for a car which was returned in almost showroom condition with under 35,000 miles on the clock appears a total rip off by PEUGEOT FINANCE. She has been charged for a known Peugeot fault for the car (not painting under the bonnet) and car history (she was handed all the accounts for servicing the car when car uplifted and finance company charged £275 for this aspect alone)

She was not advised either prior to pick-up or on date of pickup that these charges would be billed for. If she had known extent of charges she would have arranged to buy car for £4000.

Peugeot have referred to small print of finance document which I admit my daughter should have had a lawyer look over prior to signing. However young people buying their first car can be very influenced by Car Salesmen.

I have created a website with the dialogue with Peugeot Finance should anyone else wish to see the detail.

PLEASE BEWARE OF THESE CHARGES WITH ANY AGREEMENT YOU MAY HAVE OR MAY BE ENDING

In view of the above I would never ever recommend a PEUGEOT CAR

Yours

A mother who probably has to pick up these charges and daughter who will be paying back to me for quite a few months as well as the charges for her new car.

PS Details of the above have been requested by recorded delivery from Peugeot as the order form which we hold does not state any of the above in the Terms and Conditions

I agree that salespeople really should be forced to make people aware of clauses that can incur extra costs, however you are correct in stating that your daughter should have read the contract prior to signing.

Anyway, you state that she was charged for a known fault? Has this been admitted by Peugeot? If this is the case, you should be able to dispute this charge.

PEUGEOT FINANCE have not admitted but have made a goodwill reduction the the bill of £2000 of £400. They state that this is for Goodwill not wrongful billing. My daughter has contested revised wear and tear bill of £500+VAT

She was not billed for mileage charges until today and these amount to £1767.16 inc of VAT for doing 34979 miles as opposed to the agreed 18000 miles.

Had she known the extent of the excess charges she would have arranged to purchase car for £4000

Car was uplifted in the middle of June

Letter arrived on 22 July 09 from Peugeot Finance stating all charges up to date and finalising the deal but this was apparently only the monthly payment aspect they were referring to not the excess charges.

All in all very unclear and hidden. Although bill for wear and tear in dispute bill also arrived today stating they were charging additional £25 for late payment. All letters to Peugeot have been sent Recorded Delivery. Thanks for your input

I don't know if you have asked, but if the cost of purchasing the car was £4000, could you go back and ask them to take this option instead? Then sell the call to make this back or keep it. Does the £4000 reflect the true value of the car? and does it include the decrease in value due to additional miles?

You could consider writing a formal complaint to someone senior in their organisation.

Also perhaps writing into AutoExpress or another such magazine about this, and see if they would help you with negotiation.

HTH

Sparky.

I did ask about buying but they stated that car sold a few days after pickup at Auction. Car was prob worth around the £4000 figure even with the mileage which was not really that high for 3 year old car. We were led to believe charge for excess mileage would be around £200 mark but that came from Peugeot dealer who was trying to sell us new car.

NO OTHER CAR MANUFACTURER HAS SUCH EXCESSIVE MILEAGE CHARGES IE 0.84P PER MILE over the contracted mileage.

Had we known at end of contract the proposed end of contract charges we would have arranged to buy with a loan the car. Charges for excessive mileage and wear and tear have dribbled through over the last 2 weeks. The excess charges did not come as one bill. In fact prior to this my daughter received a letter from the Finance Company stating all charges up to date and that completed the finance agreement with them (Now assume this was only referring to the monthly charges paid throughout the 3 year period)

Thanks for the links to the magazines as I do intend my info to be a help to others as think the company sucks and with the internet can make this known to others.

I had a quick look at an old auto express magazine and the consumer email is:

troubleshooter AT autoexpress.co.uk

Or snailmail:

Troubleshooter

Auto Express

30 Cleveland Street

London

W1T 4JD.

Might be worth a look at their website too! :)

HTH

Sparky.

Your daughter should learn to read things properly and take proper care of her car before she takes out finance again.

Contract copy that was given by retailer did not give detail of any of the charges made. Car was sold for more than £4000 at auction.

Car was in very very good condition for car 3 years old other than hubcaps which could have been purchased for less than £9.

Car was serviced and had MOT for a full year and car tax for 10 months. Mileage was 34,000 for 3 year old car.

Peugeot Finance stated details of charges in Terms and Conditons. Our terms and conditions cover 12 points. They refer to Points 13-17 which we were never given.

We have repeatedly requested copy of contract and detailed breakdown of invoices but Peugeot Finance have not supplied. ALL LETTERS TO PEUGEOT FINANCE HAVE BEEN SENT RECORDED DELIVERY.

Retailer has stated that had my daughter bought a further Peugeot car there would have been no charges whatsover

Gill

Hello,

I'd be really interested to know how you got on with this? And what's the website you've set up?

We're currently having a very similar argument with Peugeot regarding excess mileage. When the contract came to an end we had the option to give back the car or purchase it.

We knew we had exceeded the agreed mileage so phoned Peugeot to discuss the options available and our concerns about being charged for excess mileage. The advisor told us we would not be charged for excess mileage as no one ever was so if we wanted to give the car back that was fine! So we decided to hand back the car.

2 months later we received a bill for £2,900 for excess mileage (the car was only worth £5k). We asked if we could buy the car but were told it had been sold.

Since last December (2008) there have been letters going back and forward between ourselves and Peugeot. They claim not to have the phone records where this conversation took place (even though I have the time and date of each call) and have said even if this conversation took place it was a mistake!!!

I have sought legal advice today…

Hi

Your treatment by Peugeot Finance sounds very similar to ours. You can see letter that I sent last week to them. I am gathering together paperwork which I intend to send to the Financial Services Authority this week. I have not heard from Peogeot despite addressing letter with cheque to CEO and sending Recorded Delivery.

My email address is XXXXX

Kind regards

Gillian Note: This post has been moderated. Please ensure you read the moneysupermarket.com Community Standards and Terms of Service before posting. Thanks