Hello friendly forum folks,
New Tesla Model 3 Long Range ordered on Sunday -- super excited to take delivery! My question relates to finance, and specifically the way Tesla calculates interest. I've queried it with Tesla but I'm not happy with their reply, as they haven't clarified it for me at all. So, here's a breakdown of my finance agreement, as taken straight from My Account:
___
Price Details
Model 3
£38,240.00
Black and White Premium Interior
£1,000.00
Long Range All-Wheel Drive
£10,760.00
Delivery & Documentation Fee
£935.00
FirstRegistrationFee
£55.00
Plug In Grant
- £3,000.00
Car Price
£47,990.00
Additional Charges
Cash Down Payment
£25,495.00
Financing Details
Amount Financed
£22,395.00
Monthly Payment
£350.27
Term
72 months
APR
3.99 %
Total Interest
£2,824.44
Total Cost Of Credit
£53,814.44
Payments Received
Order Deposit
- £100.00
All dates and times in UTC
Amount Due
£25,495.00
_____
I just don’t understand the Total Cost Of Credit at all, as it seems to be calculated against the cost of the car excluding the grant, which doesn’t make sense, as this additional £3000 is paid for by HMRC, not Tesla or the customer. This could be a clerical error, or it could mean the interest is calculated against the higher number, which would be unreasonable (and potentially unlawful), would we agree?
Advice from people who can do maths appreciated, as it's entirely possible I'm just reading it wrong
New Tesla Model 3 Long Range ordered on Sunday -- super excited to take delivery! My question relates to finance, and specifically the way Tesla calculates interest. I've queried it with Tesla but I'm not happy with their reply, as they haven't clarified it for me at all. So, here's a breakdown of my finance agreement, as taken straight from My Account:
___
Price Details
Model 3
£38,240.00
Black and White Premium Interior
£1,000.00
Long Range All-Wheel Drive
£10,760.00
Delivery & Documentation Fee
£935.00
FirstRegistrationFee
£55.00
Plug In Grant
- £3,000.00
Car Price
£47,990.00
Additional Charges
Cash Down Payment
£25,495.00
Financing Details
Amount Financed
£22,395.00
Monthly Payment
£350.27
Term
72 months
APR
3.99 %
Total Interest
£2,824.44
Total Cost Of Credit
£53,814.44
Payments Received
Order Deposit
- £100.00
All dates and times in UTC
Amount Due
£25,495.00
_____
I just don’t understand the Total Cost Of Credit at all, as it seems to be calculated against the cost of the car excluding the grant, which doesn’t make sense, as this additional £3000 is paid for by HMRC, not Tesla or the customer. This could be a clerical error, or it could mean the interest is calculated against the higher number, which would be unreasonable (and potentially unlawful), would we agree?
Advice from people who can do maths appreciated, as it's entirely possible I'm just reading it wrong