Support CleanTechnica's work through a Substack subscription, on Patreon, or on Stripe. Help us produce all of the high-quality, original content we publish week after week despite the challenges of content-scraping AI, antisocial media, inflation, and other hurdles.
After writing the other day about Tesla’s profit per vehicle dropping considerably in the last few years, a discussion ensued of course about the matter and about whether Tesla’s profit per vehicle is that bad or not, and on the uptrend or downtrend.
One thing that came to mind for me was Tesla’s 0% financing. This is a big thing that I think goes under the radar.
“The U.S. Federal Reserve benchmark federal funds rate remains targeted at 3.50% to 3.75%. Associated key borrowing rates include a prime rate of 6.75% and average national mortgage rates hovering at 6.59% for a 30-year fixed-rate loan,” Google tells me.
No company is offering a 0% interest rate unless they are subsidizing it. I was at a KIA dealer recently looking into the EV6, and they provided an initial financing sheet showing 7% interest, indicating that could be lower with a very good credit rating. That’s a massive difference from 0%.
