EVs on the rise among car loan customers, says CommBank
Electric vehicle (EV) adoption is on the rise in Australia.
New CommBank data shows a 37 per cent increase in EV purchases amongst its car loan customers in the last six months (to February 2024) compared to the six months prior.
Furthermore, over the last 12 months, one in five (around 23 per cent) new vehicle car loans with CommBank were for EVs and hybrid models.
In addition, 17 per cent of its total lending for cars (both new and used) was for EVs and hybrids.
On the back of this data, CommBank says EVs are becoming a more attractive proposition for more people. Among its customers, Tesla Model 3 and Tesla Model Y are the most popular EV choices and make up more than 70 per cent of EVs financed by the bank.
Comparing costs and car loans
Greater interest in EVs and hybrid vehicles has prompted CommBank to create an EV cost comparison calculator. What’s notable about it is the inclusion of estimates on fuel and charging costs, as well as CO2 emissions.
As far as specific loan costs, Mozo also offers car loan customers calculators. For example, the Mozo car loan comparison calculator lets you plug in an amount and term length along with two different interest rates, helping you see the saving potential on a smaller rate.
Take a 35,000 car loan paid over 3 years, which you can compare with both a rate of 11.35% and 10.35%, for instance: The first rate gives a total interest cost (plus fees) of $5,864, as per the calculator, while the second rate gives a total interest cost (plus fees) of $6,460.
Therefore, the cheaper interest rate saves you $596.
If you’re considering an EV, a good place to start is how much it will cost. The right loan might make the task more manageable.