880 Walkers Line, Burlington, ON, L7N 2G2
My Garage

How to finance the purchase of an electric car in Waterford

How to finance the purchase of an electric car in Waterford

Governments all over the world are trying to get consumers to migrate away from gas-powered cars to electric vehicles or “EV’s” for short.

Our Waterford auto loans team are going to give you some helpful tips on how to finance the purchase of one of these electric cars. Because, if you are not careful, you could end up paying considerably more than necessary or get the wrong vehicle.

Taking advantage of government subsidies

The Federal and respective provincial governments depending on where you live, have rebates and incentives to help make the transition over to an all-electric more affordable.

While the subsidies do help, the average price of an electric car can easily reach $40,000 depending on the make and model. We just wanted you to come into this process with clear expectations.

New versus established EV makers

You may be tempted to buy your electric from a company like Tesla, Elon Musk, seems like a modern-day Tony Stark but in reality, how many cars has Tesla produced and how long have they been around?

We are not throwing shade on Tesla or Elon but presenting a pragmatic approach.

The carmaker has only been around for a short time, there is no guarantee they will be here in 10 years or if their vehicles will have value.

The resale value of a vehicle is important for you the buyer and also lenders who underwrite these car loans.

Another option instead of going for the new kid on the block is to buy your EV from a carmaker that has been in business for generations, a company with a sensation track record like Jeep.

There is the all-new Jeep Wrangler 4x-E, which can handle anything you throw at it.

Financing the purchase of your electric car

If you decide to finance your new vehicle through an established carmaker like Jeep, the process is fairly straightforward.

Since the onset of the pandemic, lenders have become more conservative, so you will need a credit score of 680 or better to get the most competitive interest rates.

You should not worry though if your credit score falls under 680, your local Jeep dealership has access to a network of top-notch lenders that will give you a great deal based on your credit profile.

Fixing your credit score ASAP

If your credit score is pretty low, there are some immediate things you can do to raise the score. Start by paying any accounts that are past due, overdue accounts do a tremendous amount of damage to your credit score.

You should also discuss your credit challenges with the car dealership, they can give you suggestions on how to fix your credit score so you can qualify for the best interest rates.

The migration to all-electric cars is just a matter of time now, the sooner you make the transition the more money you will save over time plus help the environment, it is a proverbial win-win-win scenario.

You really should reach out to your local dealership and test drive the EV yourself, the amount of torque these vehicles have is quite impressive!

If you need help or advice on anything to do with auto loans in Waterford, contact Car Nation Canada today, we can help!

Categories: News

Tags: ,