Look, the average person puts on 37 miles a day, or 13,000 miles a year on their vehicle... Combine that with an ever-growing percentage of people that lease per year (50-60% lease) and there's bound to be overage on miles. Yesterday I hit the 13,000 mile mark on my vehicle and it only took me seven months, which puts me on track for about 24,000 miles a year.
Here's are 3 vital tips if you're miles are creeping up on your lease:
1. It's the end result, not the annual mileage— Every lease is calculated at a certain amount of miles per year, whether it's 7,500-15,000 or beyond. What some people may not know is that it is the end result that matters, not the yearly miles that are put on. Say you signed up for a 36 month lease at 12,000 miles a year. If you put 20,000 miles on in one year and only 8,000 in the remaining two years, then you are fine.
2. Wear and Tear— Most manufacturers have X amount of dollars set aside in wear and tear "bonus" money that is applied to you when you turn your lease in. If you don't beat your cars up, this can usually be applied towards your overage on miles instead of letting that money go to waste. The average overage charge per mile is between .15 cents to .25 cents a mile.
3. Trade- Consider trading out of your leased vehicle when you hit your mileage limit. While there is no CRAZY tricks or magic that a dealer can pull off, There are always great incentives on new vehicles from the manufacturer, a desire to make a deal from the staff, and there may even be the following:
A) A pre-approval at a higher tier if you're staying with the same brand (That means your "Money Factor" aka Interest rate, would be less)
B) Owner Loyalty Money for sticking with the same brand... This ranges in value but I've seen as low as $500 and and as high as $3000 between Nissan and Infiniti.
C) Payment Waiver - Depending on how many payments you've made on your lease, there may even be payment waivers out there to waive 2-3 payments and help get you out of your lease earlier.
If you're high on miles on your lease, you have options. You're not limited to going over the miles and being left with 5-6K of fees. Some people suggest getting a second, "beater" car to help put miles on... But then why are you paying for this lease? Use it and then lose it. It's a machine that helps make you money and gets you in front of more people. Put the miles on, know your options and as always, deal with someone that you can trust... A no "BS GAMES" environment.
Hopefully these tips helped.