Recently, someone who leased a 2023 Toyota Camry exceeded the allotted mileage by a significant amount. They drove an average of 76,650 miles each year for the three years they owned the car. It was returned to the dealer with 223,036 miles.<\/p>\n
A look at the vehicle’s CarFax shows that the driver had logged 5,400 miles in the first month<\/em>. Then they were over 10,000 just nine days later. As it turns out, that driver was using it as an Uber. Still, that’s one busy Uber driver.<\/p>\n The Drive<\/strong> reported this wild case, noting that a reader named Jacob spotted the peculiar story. He sent a link to the Camry listing<\/a> on Smart Toyota’s website in Wisconsin. It caught his eye because it was listed for only $15,000, well below market value. Despite the high mileage (about 200 miles a day), it was in nearly perfect condition. The car was worth $30,000 when new (around the time the driver purchased it).<\/p>\n Leased vehicles have a mileage limit so the dealership can protect its resale value by the time your contract is up. Higher mileage can significantly lower the value of a leased car. This is because packing on the miles can bring the vehicle closer to needing repairs and increase the depreciation.<\/p>\n Most leased vehicles have a fairly low mileage limit, often 12,000 to 15,000 miles per year. Alternatively, you may have a total amount, such as 20,000, and must remain below that amount at the end of the lease term. If you go the second route, it doesn’t matter which year you do it, as long as you don’t exceed those miles.<\/p>\n If you go over the allotted miles, leasing companies will often charge you extra at the end of the term. This is usually 10 to 25 cents per mile. If you assume Smart Toyota’s leasing terms are 20,000 per year for those three years, that means the driver went 163,036 over that limit. This would be $40,759 if each extra mile were 25 cents.<\/p>\n If you exceed the mileage limit, you can either extend your lease or buy out the car. If you choose to buy out the car, you won’t have to pay any fees for going over the mileage. It would definitely be in this driver’s best interest to just buy out the car, which is worth $10,000 less than this penalty, even if brand new.<\/p>\n According to a dealer at Smart Toyota, that’s what he did. Buyouts are the same price no matter what, so it probably saved the driver a bit of money. The dealer even made him an offer that was $3,000 less than the buyout. While it was a good deal, it was also a forced deal. The buyer basically had no choice unless they wanted to pay $41,000 in fees for a car now worth about $18,000.<\/p>\n The lesson? Don’t put on a bunch of extra miles on a leased car unless you are gonna buy it anyway. The point of leasing is to have the chance to switch cars every two or three years. You also have a smaller monthly payment since you don’t walk away owning anything when you trade in. However, this driver sorta defeat the purpose of leasing by being a bit forced to keep the car after, despite making it pretty worthless with all the mileage.<\/p>\nWhat happens if you go over the mileage limit for a leased car?<\/h2>\n