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Tesla's New Finance Arm a Reminder We Didn't Need
Just in case any of us forgot that we can't afford a Roadster, the company released a statement yesterday reminding us that not only can we not afford to pay cash for one, we can't afford a car loan either.
Tesla Motors now has a financing arm of sorts in Bank of America, and if you're looking to finance one, here's how a 5 year loan on a base Roadster might play out: following a minimum down payment of $20,000 (before taxes and net of the US federal tax credit) and assuming a 5% annual percentage rate (APR) on an $89,000 loan, monthly payments work out to about $1,679.
Photo courtesy Tesla Motors
If you merely multiply $1679 x 60 months and add $20,000, you arrive at roughly $121,000.
However, right now a loan rate of 5.0 is reserved for the people with sterling credit. The nationwide average auto loan rate as of mid-July 2009 is actually 7.36. At that rate, monthly payments come to $1777 and the total comes close to $127,000.
Meanwhile, this MSNBC report about auto loan delinquincies in 2009 won't do much for the idea of liberal lending at B of A.
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