Financing Tesla vehicles in Canada

[CharlesQc]

Hey! New future owner here.

I ordered this afternoon and filled the credit application. Got approved when I checked back around 8pm tonight.

I’m with RBC @ 2.6% for 96 months with only the $2500 as cash down.

I thought it would take at least one or two days, glad it’s all set up!

 

[Flash9]

Hey, another future owner here. I found it helpful seeing what financing others were getting so i'll provide what I was offered.

We proposed a down payment of $10000 (on top of 2500) and our first offer was from Scotia with our desired 72 months @ 2.15%APR, but the down payment was only $5000.

Accepted and we will lump sum pay later if desired.

 

[twtestw]

Hey, another future owner here. I found it helpful seeing what financing others were getting so i'll provide what I was offered.

We proposed a down payment of $10000 (on top of 2500) and our first offer was from Scotia with our desired 72 months @ 2.15%APR, but the down payment was only $5000.

Accepted and we will lump sum pay later if desired.

That’s the going rate right now. 72 months and below is 2.15%. 84 & 96 months are at 2.6%.

Doesn’t look like there will be a rate change for September.

important to note that car loans are front loaded so a lump sum payment may not gave the impact you want it to have.

Based on my situation, I’m strongly thinking about leveraging both the revolving and fixed portion of my HELOC. Will lock in a fixed amount on a term portion (sub 2%) over 5 years, and handle the rest via the revolving portion so I can take better advantage of both temporary and permanent lump sum situations (e.g. have a bit of CAD sitting after clearing out some stock. Better it sits in my HELOC until I’m ready for it vs. my cash account)

 

[canadianeh]

72 months, 2.15% APR
I'm putting $20,625.53 down cause I like a smaller'ish car payment.
Approx $750 monthly - Tesla Model 3 LR AWD

Since I always wished for more details here to see how things actually play out, here is the full breakdown I like how the Tesla tool lets you play with things once you have a rate secured.

Amount Due $20,625.53
Includes taxes, fees, and payments

Pricing Details
Car Price $64,880.00
Autopilot Included

Dual Motor All-Wheel Drive Included
All Black Premium Interior Included
Pearl White Multi-Coat Included
Premium Interior Included
Supercharger Network Access + Pay-as-you-go Included

Model 3 $44,999.00
18’’ Aero Wheels Included
Long Range All-Wheel Drive $18,601.00
Delivery & Final Inspection Fee $1,280.00

Taxes & Fees $8,865.09

Sales Tax $8,448.70
Federal Air Conditioner Tax $100.00
OMVIC $10.00
License Fee $200.00
PPSA Fee $106.39

Order Deposit -$2,500.00

Amount Financed -$50,619.56

 

[DoubleDD]

Hey! New future owner here.

I ordered this afternoon and filled the credit application. Got approved when I checked back around 8pm tonight.

I’m with RBC @ 2.6% for 96 months with only the $2500 as cash down.

I thought it would take at least one or two days, glad it’s all set up!

Can you confirm that I will be directed to the financing page after selecting my M3 and paying the $2500?

 

[gauravk17]

Can you confirm that I will be directed to the financing page after selecting my M3 and paying the $2500?

yes, you will get 3 options - tesla financing, self-financing or cash.

 

[I ASH I]

yes, you will get 3 options - tesla financing, self-financing or cash.

If I take the Tesla financing what all documents do they ask for, do they ask about the SIN and pay subs. Generally asking because I never had a car loan before.

 

[anandoc]

If I take the Tesla financing what all documents do they ask for, do they ask about the SIN and pay subs. Generally asking because I never had a car loan before.

None. It is all done by your credit score/history. Assuming you have decent credit.

 

[CharlesQc]

I’m picking up on Wednesday. Do I have to bring a void cheque or do I have to arrange preauthorized withdrawals directly with RBC?

 

[anandoc]

I’m picking up on Wednesday. Do I have to bring a void cheque or do I have to arrange preauthorized withdrawals directly with RBC?

Your SA should be providing you with all this info but you should bring a void check (for direct monthly withdrawals) as well as a bank draft for the remainder of your downpayment.

 

[CharlesQc]

Your SA should be providing you with all this info but you should bring a void check (for direct monthly withdrawals) as well as a bank draft for the remainder of your downpayment.

Thanks

Nothing from my SA yet, 4 days before pickup. I’ll bring one then.

 

[canadianeh]

If you look at the Scotiabank Agreement, it doesnt say the loan if front loaded but it does say the total loan obligation is balance + 2.15% APR over 72 months.

I.e. my loan is 50K plus about 4K in interest. If I want to pay out the loan a week after deliver, I still need to pay the 54K.

Seems no sense to pay off early in that case.

 

[anandoc]

If you look at the Scotiabank Agreement, it doesnt say the loan if front loaded but it does say the total loan obligation is balance + 2.15% APR over 72 months.

I.e. my loan is 50K plus about 4K in interest. If I want to pay out the loan a week after deliver, I still need to pay the 54K.

Seems no sense to pay off early in that case.

That is simply not true. The Scotiabank/RBC financing for Tesla is just like any other 'open' car loan. You can pay it off in full at any time without any penalties. You only accrue interest for the outstanding principal in your account and if you pay off the principal in full, you don't accrue any interest and hence you don't pay any of the interest you don't accrue.

 

[gauravk17]

any idea on how long does RBC take to send loan documents at home after delivery? When I asked the SA for signing up for RBC online account, she said you will receive documents at home etc

 

[anandoc]

any idea on how long does RBC take to send loan documents at home after delivery? When I asked the SA for signing up for RBC online account, she said you will receive documents at home etc

It took 3-4 months for RBC to send me the letter with the loan account number so that I could add it to my online banking profile.

 

[atkar83]

I purchased my Model 3 SR+ yesterday. I'm paying a large portion down, and getting a loan from Tesla (RBC/Scotia) for the remaining $19,793 or so (until my current car is sold to pay it down further). I went with a 48 month term in the payment quote, but the monthly payment estimate seems wayyy off. Here's a quick breakdown,

Car price: $54,180 (includes delivery fee & alternate color option)
+ PST & AC Tax $6613
- EV Incentives $8000
- Order Deposit $2500
- Down payment $30,500
= $19,793 remaining

But its telling me the 4.25% APR for 48 months would be an estimated $692.08/month? That's over $33,000 after 4 years. When I did the loan calculator prior to purchase it wasn't anywhere near that high. I'm assuming this is a bug in their calculations because if I put a lower down payment, the monthly payment also went down (and vice versa). Checking online for a few car loan calculators, it looks like it should be closer to $448 or so ($54,180 purchase price + 12% tax - $41,000 in incentives/deposit/down payment at 4.25%APR for 48 months).

Should I just send the loan for approval and get the real numbers? I'm assuming whatever RBC/SB comes back with is going to be closer to $448/month. If I'm wrong somewhere with my numbers then this car will probably be out of my budget.

Anyone else had issues with their loan calculator recently?

 

[atkar83]

I purchased my Model 3 SR+ yesterday. I'm paying a large portion down, and getting a loan from Tesla (RBC/Scotia) for the remaining $19,793 or so (until my current car is sold to pay it down further). I went with a 48 month term in the payment quote, but the monthly payment estimate seems wayyy off. Here's a quick breakdown,

Car price: $54,180 (includes delivery fee & alternate color option)
+ PST & AC Tax $6613
- EV Incentives $8000
- Order Deposit $2500
- Down payment $30,500
= $19,793 remaining

But its telling me the 4.25% APR for 48 months would be an estimated $692.08/month? That's over $33,000 after 4 years. When I did the loan calculator prior to purchase it wasn't anywhere near that high. I'm assuming this is a bug in their calculations because if I put a lower down payment, the monthly payment also went down (and vice versa). Checking online for a few car loan calculators, it looks like it should be closer to $448 or so ($54,180 purchase price + 12% tax - $41,000 in incentives/deposit/down payment at 4.25%APR for 48 months).

Should I just send the loan for approval and get the real numbers? I'm assuming whatever RBC/SB comes back with is going to be closer to $448/month. If I'm wrong somewhere with my numbers then this car will probably be out of my budget.

Anyone else had issues with their loan calculator recently?

Just got a call from my Tesla rep (ordered it yesterday, pickup day is this Sunday which surprised me), he said that yeah, Tesla's loan calculator is incorrect at this moment. My guestimated numbers above are more accurate. Once the website is back up I will send in the loan application.

He also confirmed that once I sell my car and put it against the loan, the payment total drops, but the monthly payments would be the same. Just an FYI if anyone else has the same thought.

 

[canadianeh]

That is simply not true. The Scotiabank/RBC financing for Tesla is just like any other 'open' car loan. You can pay it off in full at any time without any penalties. You only accrue interest for the outstanding principal in your account and if you pay off the principal in full, you don't accrue any interest and hence you don't pay any of the interest you don't accrue.

Help me understand this.

Page #1 Total Balance I MUST pay is Balance + Full Interest

Page 2 0Next page says I promise to pay the $50K owing plus $3380.44 in interest.

Are you saying if I pay it out right now, I don't have to pay any of that interest or only the interest accrued in the past 2 weeks?

 

[anandoc]

Help me understand this.

Page #1 Total Balance I MUST pay is Balance + Full Interest

Page 2 0Next page says I promise to pay the $50K owing plus $3380.44 in interest.

Are you saying if I pay it out right now, I don't have to pay any of that interest or only the interest accrued in the past 2 weeks?

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You're completely ignoring the "72 months" portion on that document while making your argument. The loan document is making the assumption that you're going to be paying back for the full term of 72 months, in which case you are responsible to pay back the principal ($50,619.56) and the interest accrued over that term ($3,380.44).

If you pay off the remainder of the balance right now, you're not going to be paying all the interest that would have accrued over the 72 month term. You can call Scotia directly to verify this.

 

[canadianeh]

You're completely ignoring the "72 months" portion on that document while making your argument. The loan document is making the assumption that you're going to be paying back for the full term of 72 months, in which case you are responsible to pay back the principal ($50,619.56) and the interest accrued over that term ($3,380.44).

If you pay off the remainder of the balance right now, you're not going to be paying all the interest that would have accrued over the 72 month term. You can call Scotia directly to verify this.

I'm not making an argument! I'm just saying how I read the document.

TOTAL BALANCE YOU MUST PAY (in big caps) its a bit misleading then.