Options for excess mileage on lease
 

So it looks like I will be going over my agreed upon mileage of 12k per year. I plan on continuing to drive this amount and am not interested in options involving driving something else, driving less, carpooling, etc. Does anyone have experience with scion dealerships and their leases, and can anyone share what they have done to deal with excess mileage?

If ruling out the not driving options than I would guess the only thing you can do is beg for mercy and pay up. Of course if you buy out the car at the end of the lease then to extra miles will mean nothing.

Is it possible to renegotiate the lease to allow additional mileage?

Unless you negotiate it out by leasing another car from them i doubt they will do any good will for you. That is why they make the contract.

:thumbsup:

From what I understand you can not negotiate on lease buy out. You can either buy out or trade it in for another car, (another frs if you like frs)

Ahh the joys of leasing. Chances are you're on the hook for the extra mileage. Have you read all the fine print on your contract?

unless you plan on buying it or leasing another vehicle with them i dont see any other way but if your not going to keep the car after your lease you can go to carmax they buy you out of your lease

Some dealerships will not want to help you with this problem. You have to find the right dealer first.

If you are a dealing with a reputable dealer, the process will be so much easier.

I think the best thing to do is to stop driving your car, and go to the dealership to play with numbers with the possibility of coming out with a new lease or a new purchase.

This is why the dealership matters. Some dealerships will get you on a new lease or a purchase without paying the early termination fee by trading in the car. That doesn't necessarily mean you will be exempt from the excess mileage penalty, but if you do it sooner you'll be turning in a car with less miles of course.

Thus, play with numbers & see what's more practical. I want to say the excess mileage charge is 15 cents per mile. If you drove over 10k each year (22k a year) that's 4500 in just a penalty. Calculate how many extra miles you're driving & weigh it out and see if it's more expensive than a down payment for a finance.

If you want a good salesman-buyer experience, make sure you already have an idea of how much you think you'll be driving over the lease limit, how longer you want to keep the car, the current monthly payment you already have,

The biggest question is are you returning the car/trading it in or are you keeping it?

There's a penalty for going over the agreed mileage. Since you know you'll be going over, you can always pay extra on your monthly payments all the way to the end of your lease. The more, the better. The excess payments left over can be used as a positive equity during trade-in, or as a form of downpayment towards the residual value that's left to pay off when financing the rest.

You can always try to see if you can recontract the lease to increase it to 15k a year, which will bump your monthly. Of course, you can also pay extra over your monthly.

And as others have pointed out, if you're planning to keep it and finance/buy it outright, then it doesn't matter how many miles you put into it.

1. Turn in car and pay over mileage penalty.
2. Buy car for the residual and pay no penalty .... then sell the car.
3. Lease or buy another car from ANY Toyota dealership and negotiate the terms. The terms are based on the residual and what the car is currently worth. Sometimes the car is worth more than the residual, but I don't think that will be the case here. Usually ... They will waive any "additional" charges to put you into another Toyota product.

Yeah, the thing about this car is that you always want to drive it... fk limits

Drive in reverse a lot.

try getting a lease extension, or, as stated before, just buy the car at lease end. Total outlay is often no more than sticker.

lots of good advice, thanks guys.

I was most interested in the cost difference between possibly getting the limit increased to 15k per year through contract negotiation (with increased per month payments of course) versus just paying for the extra miles at the end. Anyone know how that compares? ie paying for 15k miles per year results in 15c per mile, but paying for excess miles at the end of the contract is 20c per mile.

Jesus, I feel like I haven't seen a post from you since i signed up in November back in the Sklimo days. Am I just not looking in the right places?

Hello maybe i can add some to your question as i have leased all my cars before and some what familiar with this

So its always better to sign up for 15k than paying .15 cents per mile for over miles.... Why? First of all, they will charge tax for the extra miles you have driven out of your contract so its gonna be actually more than 15 cents/ mile

Usually there are 2% residual value differences between 12k and 15k
So its about $500 difference based on assumption that the msrp of the car is $25k (FRS) If you divide $500/24month lease, thats about $20 more in mo pmt for 15k but if you drove 3000 miles over/year for 2 years( lease contract)
Thats total of 6000 miles x 0.15 + 9% tax = 981

So $500 < $981

The reason why i dont purchase cars is because i usually lease cars that are over 50k If i were to purchase the car i would pay $5000 just in sales tax Yes i do pay tax monthly for lease payment but its always a lot less than as if i were to pay sales tax off new car price, if i ever wanna buy a car after the lease, the tax is gonna be based on the residual value so i will pay so much less tax

Back when I was 12-15 my step-dad had me crack open the SpeedO and roll back the ODO on a few cars for that very reason. (some more than once)

Kind of hard to do that these days....

This is the perfect answer. thank you, pal. :thumbup:

I guess i'll try and give the car a break a month out of each year so my charges arent too high.

The other option I did not see specifically mentioned is buying the lease out now. You should be able to do that at any time, and it may, in the end, save you money if you are going to be well over on mileage.

Most car leases allow you to buy out at any time, you'll just have to pay more now than you would at the end of the lease.

Interesting....In PA, the lease is taxed @ 9% which is added to the lease payment. The sales tax is 6% so leasing requires a higher tax burden.

YMMV.

Ohh i see thats interesting to know, in CA you are taxed the same at 9% whether you lease or purchase

For my 36mo lease the difference was around $13/mo to bump up to 15k - which equates to a little over 5 cents per mile. WAY cheaper than paying 20 cents per mile in penalties.

Either renegotiate or buy the car outright at the end then sell it - you will lose less money by selling it yourself most likely.

Yes but Cali is run by communists.....lol

Most dealers charge about 7-10 cent per kilometer over the limit.
It can add up in a hurry.