Tesla Motors, the US-based electric vehicle (EV) manufacturer, has announced a partnership with Wells-Fargo and US Bank to create a hybrid finance programme combining leasing and ownership of its latest electric car.
The two banks will provide a 10% deposit on Tesla’s latest Model S sedan, which has a starting retail price of $69,000 (£44,877), for those taking up a 66-month, 2.95% finance contract. However, the loans for the deposit will then be covered by federal tax credit between $7,500 and $15,000 available to purchasers of electric cars.
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Similar to PCP arrangements, the Model S comes with an option to sell the car back to Tesla after three years at a guaranteed future value. The residual value is pegged against the Mercedes S Class, which currently holds 47% retained value after three years in the US, according to the Kelley Blue Book, or 43% according to the Automotive Leasing Guide (S550 m odel). If the Model S, produced by Tesla partner and investor Daimler, is worth more than the S Class, Tesla will pay the difference. The future value has also been
personally guaranteed by Elon Musk, chief executive of Tesla.
Tesla is also supplying a finance calculator on its website and, as a marketing bottom line, says cost of ownership for the EV will be $500 a month.
richard.brown@timetric.com
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