Go Back   English Forum Switzerland > Help & tips > Transportation/driving  
Reply
 
Thread Tools Display Modes
  #1  
Old 21.07.2021, 22:02
Newbie
 
Join Date: May 2020
Location: Mitlödi
Posts: 8
Groaned at 0 Times in 0 Posts
Thanked 0 Times in 0 Posts
martinnn has no particular reputation at present
Tesla Finance

Hello everyone.

I will be purchasing a model 3 long range but I found out from Tesla that they only offer leasing and not financing for your to purchase the car (only the dull amount upfront).

Does anyone have any good companies that offer good interest rate for finance credit? I am not sure what the normal % is here. Is 4% the standard rate?
Reply With Quote
  #2  
Old 22.07.2021, 08:58
eyebeebe's Avatar
Forum Veteran
 
Join Date: May 2009
Location: Pfäffikon SZ
Posts: 2,066
Groaned at 17 Times in 16 Posts
Thanked 2,686 Times in 1,155 Posts
eyebeebe has a reputation beyond reputeeyebeebe has a reputation beyond reputeeyebeebe has a reputation beyond reputeeyebeebe has a reputation beyond reputeeyebeebe has a reputation beyond repute
Re: Tesla Finance

A loan secured on the car isn‘t a product I‘ve seen in Switzerland*.

Your options are:

A lease. As you mention where you don‘t own the car until the final payment. As this loan is secured on the car it will be relatively cheap (3.46% with Tesla isn‘t great, but not the worst). If you want to treat it like a loan and have no residual payment at the end, this isn‘t normally a problem. Downsides are you may have to pay a downpayment, you do not have ownership of the car (this may or may not be important to you) and you need to have fully comprehensive insurance (which on a new car I think you‘d be mad not to).

An unsecured loan. As it is unsecured, you will pay a higher interest rate. The best I‘ve seen is 5.x%. Generally Migros Bank is one of the most competitive, but I think I‘ve seen newer players a bit cheaper. Just google Kredit Schweiz or Darlehen Schweiz. The downsides are the interest rates and the difficulty to qualify for the best ones. You also bear all of the depreciation risk. Upsides are the opposite of the lease and the loan is not tied to an asset.

Loan against an investment portfolio. Normally 1.x%, but obviously you need to have the portfolio. Cheap, but has the risk of margin calls if your portfolio decreases in value. Also tempting not to pay it back and end up paying interest forever. Same upsides as the unsecured loan.

Mortgage equity withdrawal. Cheapest option, but you need to own a property and have sufficient equity (with my bank they will only let you withdraw equity up to 66% of the property to spend on items not related to that property). Also tempting not to pay it back and end up paying interest forever



*Tesla‘s website says they offer one at 3.9%. What‘s wrong with this?
Reply With Quote
This user would like to thank eyebeebe for this useful post:
  #3  
Old 22.07.2021, 11:43
Senior Member
 
Join Date: Nov 2010
Location: Zurich
Posts: 480
Groaned at 15 Times in 12 Posts
Thanked 193 Times in 112 Posts
Harrie Nak has earned some respectHarrie Nak has earned some respect
Re: Tesla Finance

https://www.migrosbank.ch/de/privatp...utokredit.html
Reply With Quote
  #4  
Old 22.07.2021, 16:15
Forum Veteran
 
Join Date: Apr 2007
Location: Zurich
Posts: 1,540
Groaned at 6 Times in 4 Posts
Thanked 983 Times in 563 Posts
axman has a reputation beyond reputeaxman has a reputation beyond reputeaxman has a reputation beyond reputeaxman has a reputation beyond repute
Re: Tesla Finance

One really good thing about Migros bank is that you can repay the loan at any time without penalty. At least that is how it was a couple of years ago when I did some research.

In any case, financing is just a lease with a zero final payment.
Reply With Quote
This user would like to thank axman for this useful post:
  #5  
Old 22.07.2021, 20:32
Hausamsee's Avatar
Forum Veteran
 
Join Date: Feb 2009
Location: Lucerne
Posts: 610
Groaned at 104 Times in 54 Posts
Thanked 818 Times in 359 Posts
Hausamsee has a reputation beyond reputeHausamsee has a reputation beyond reputeHausamsee has a reputation beyond reputeHausamsee has a reputation beyond reputeHausamsee has a reputation beyond repute
Re: Tesla Finance

Tesla use Swissquote btw.
Reply With Quote
  #6  
Old 22.07.2021, 20:42
Forum Legend
 
Join Date: Oct 2014
Location: SG
Posts: 8,946
Groaned at 472 Times in 353 Posts
Thanked 11,896 Times in 6,184 Posts
Urs Max has a reputation beyond reputeUrs Max has a reputation beyond reputeUrs Max has a reputation beyond reputeUrs Max has a reputation beyond reputeUrs Max has a reputation beyond reputeUrs Max has a reputation beyond repute
Re: Tesla Finance

Quote:
View Post
One really good thing about Migros bank is that you can repay the loan at any time without penalty. At least that is how it was a couple of years ago when I did some research.
That's a must nowadays, see §17. The creditor may charge you a bit (like, 100-200 CHF) for the tally that tells you what you still owe, but that's that. In particular, interest that hasn't actually accrued doesn't trigger any kind of obligation, the creditor may not charge more than the actual costs.

Last edited by Urs Max; 22.07.2021 at 20:54.
Reply With Quote
The following 2 users would like to thank Urs Max for this useful post:
  #7  
Old 23.07.2021, 23:18
Newbie
 
Join Date: May 2020
Location: Mitlödi
Posts: 8
Groaned at 0 Times in 0 Posts
Thanked 0 Times in 0 Posts
martinnn has no particular reputation at present
Re: Tesla Finance

Quote:
View Post
A loan secured on the car isn‘t a product I‘ve seen in Switzerland*.

Your options are:

A lease. As you mention where you don‘t own the car until the final payment. As this loan is secured on the car it will be relatively cheap (3.46% with Tesla isn‘t great, but not the worst). If you want to treat it like a loan and have no residual payment at the end, this isn‘t normally a problem. Downsides are you may have to pay a downpayment, you do not have ownership of the car (this may or may not be important to you) and you need to have fully comprehensive insurance (which on a new car I think you‘d be mad not to).

An unsecured loan. As it is unsecured, you will pay a higher interest rate. The best I‘ve seen is 5.x%. Generally Migros Bank is one of the most competitive, but I think I‘ve seen newer players a bit cheaper. Just google Kredit Schweiz or Darlehen Schweiz. The downsides are the interest rates and the difficulty to qualify for the best ones. You also bear all of the depreciation risk. Upsides are the opposite of the lease and the loan is not tied to an asset.

Loan against an investment portfolio. Normally 1.x%, but obviously you need to have the portfolio. Cheap, but has the risk of margin calls if your portfolio decreases in value. Also tempting not to pay it back and end up paying interest forever. Same upsides as the unsecured loan.

Mortgage equity withdrawal. Cheapest option, but you need to own a property and have sufficient equity (with my bank they will only let you withdraw equity up to 66% of the property to spend on items not related to that property). Also tempting not to pay it back and end up paying interest forever



*Tesla‘s website says they offer one at 3.9%. What‘s wrong with this?

Hey, thank you for the in depth review. Really helps. So you think having a lease for 4 years from tesla is not so bad? After the end and you pay the "final" payment then the car is yours basically.
The finance option that they have at 3.9% is only for the model Y unfortunately.
Reply With Quote
Reply




Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Tesla Fan Boy Thread AbFab Transportation/driving 568 29.07.2021 08:43
Tesla's CYBERTRK Guest General off-topic 43 01.01.2021 13:36
Tesla Model S EPMike General off-topic 606 18.12.2018 07:20
Tesla superdeal - anyone got one? k_and_e Transportation/driving 3 14.12.2015 15:09
Tesla import Tampa Transportation/driving 20 13.11.2015 07:37


All times are GMT +2. The time now is 09:14.


Powered by vBulletin® Version 3.8.4
Copyright ©2000 - 2021, Jelsoft Enterprises Ltd.
LinkBacks Enabled by vBSEO 3.1.0