A mileage discrepancy can significantly impact a car's value and potentially be a sign of mis-selling in a car finance agreement. Here's a breakdown:
Mileage and Car Value:
Mis-Selling Potential:
Example:
Imagine you financed a car based on an advertised mileage of 50,000 miles. However, a vehicle history report reveals the actual mileage is closer to 80,000 miles. This higher mileage likely means the car's true value is lower than what you financed.
What You Can Do:
If You Suspect Mis-Selling:
Additional Resources:
Remember, a mileage discrepancy can be a red flag for mis-selling. By verifying mileage and reviewing the agreement, you can be more informed and potentially challenge a mis-sold car finance deal.
Mileage and Car Value:
- Mileage as a Value Indicator: Generally, a car's value decreases with higher mileage. This reflects the wear and tear associated with increased use.
- Significant Discrepancy: If the actual mileage is considerably higher than what was advertised or stated in the agreement, the car's value might be substantially lower.
Mis-Selling Potential:
- Misrepresentation of Condition: A significant mileage difference suggests the car's condition might have been misrepresented. This could be mis-selling.
- Impact on Affordability: Financing a car at a value higher than its true worth due to mileage misrepresentation could lead to an unsuitable loan.
Example:
Imagine you financed a car based on an advertised mileage of 50,000 miles. However, a vehicle history report reveals the actual mileage is closer to 80,000 miles. This higher mileage likely means the car's true value is lower than what you financed.
What You Can Do:
- Verify Mileage: Always try to verify the car's mileage through service records or a vehicle history report before finalizing the deal.
- Review Agreement: Carefully examine the car finance agreement to ensure the stated mileage matches what the seller or lender provided.
If You Suspect Mis-Selling:
- Gather Evidence: Collect documents like adverts, service records, and the car finance agreement.
- Seek Professional Advice: Consulting a claims specialist experienced in mis-selling can assess your situation and advise on potential claims.
Additional Resources:
- The Financial Conduct Authority (FCA): Provides information on car finance mis-selling and your rights: FCA website link
- The Financial Ombudsman Service (FOS): Offers a way to resolve car finance mis-selling disputes: Financial Ombudsman Service website link
Remember, a mileage discrepancy can be a red flag for mis-selling. By verifying mileage and reviewing the agreement, you can be more informed and potentially challenge a mis-sold car finance deal.
