Golden rules to follow when financing the purchase of an EV

Golden rules to follow when financing the purchase of an EV

Posted on July 22, 2022

We have put together the golden rules Canadians should follow when buying an EV. Just about everyone in Canada needs a vehicle to get around.

The public transportation system in Canada will never meet the needs of everyone; the country is just too large. So your options are walking or buying a car.

Fossil fuels are getting expensive, like really expensive!

While some reports claim we have enough oil in the ground to meet our growing needs for the next 500 years, the Trudeau Government has decided that carbon is a bad thing and has started to levy carbon taxes on every drop of Texas T that comes out of the ground.

While Alberta is reporting record profits from the sale of Bitumen on the world market, Canadians are having to make tough choices between putting gas in the car to commute to work or buying food.

During the pandemic, most people worked from home, and gas prices were reasonable. Now that we are learning to “live with covid”, employers are insisting that people come back to the office, at least in a hybrid capacity.

Since gas prices have nowhere to go but up, you should consider buying an EV.

At least the prices of electricity are regulated by various utility boards throughout Canada, so you will have some price consistency.

The EV you choose is important

You’ve probably heard of Tesla, and there are upstarts in China like BYD, but here in Canada, when buying an EV, you should stick with companies that have a track record of being consistent. Companies like Ford come to mind.

While there are some growing pains that come with the latest EVs produced by Ford, they will make it right and stand behind their work, Afterall Ford has been around for generations and will be around for generations to come.

Range anxiety is no longer a major concern

A primary reason why most Canadians are reluctant to buy an EV is range anxiety. You don’t want to be driving down the street and have your vehicle come to a complete stop because there are no charging stations nearby.

Provincial and municipal governments throughout Canada are installing level 3 charging stations every month; you will see new facilities come online.

Petro-Canada has also installed charging stations throughout its extensive network of gas stations.

If you install a level-2 charging in your home (this can be done for a nominal fee thanks to rebates being offered by car makers and government rebates), you will be able to keep your vehicle charged.

Financing the purchase of your new EV

You could go through the numerous websites that are touting easy auto financing, but you should give those websites a pass. Some of those websites are nothing more than identity theft rings trying to get your personal data.

Even if the websites were legitimate, they would not be able to get you the most competitive terms.

If you want to secure the best financing terms, and you want to because the Bank of Canada has increased interest rates, then you need to go through a local car dealership. The dealership can get you approved for a competitive EV loan, even if you have credit issues.

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