Martin Saarinen

Clocking culprits cheat not only their finance providers, but other motorists, too

CAR finance has been put under the spotlight in recent months after the Financial Conduct Authority announced plans to investigate ‘irresponsible’ lenders who may have pushed buyers into deals they can’t afford. Yet lenders aren’t the only ones breaking the rules. A new report by car history expert cap hpi found ‘clocking’ is on the rise, as owners turn to mileage-correction companies to avoid excess mileage charges at the end of their finance contract.

Personal Contract Purchase (PCPS) and Personal Contract Hire (PCH) deals have strict mileage limits. It’s usually 10,000 a year, but this can be increased – at a cost. However, choosing a low limit to save money in the short run may be a bad call, as the penalties for excess mileage are big. Some makers charge up to 30p for each mile over the limit. With such high penalties, it’s little surprise to see some drivers turn to mileage-correction companies.

According to cap hpi, the number of clocked cars has risen by 440,000 since 2014 to 2.3 million. This means around one in 16 cars on our roads is clocked. cap hpi reckons the blame lies partly with motorists on finance realising too late that they’re about to exceed the annual limit. Instead of paying the penalties, they choose to roll back their odometers.

Not only are these drivers cheating their dealers and finance providers, they’re also putting other motorists at risk. When the car is handed back to a dealer, it may miss important service intervals, endangering the next owner. If you’re considering buying a car on finance, think hard about your annual mileage and either pay extra to increase the specified limit... or stick to it.

“Clocked cars have risen by 440,000 since 2014 to 2.3 million; around one in 16 on UK roads”