Big Australian bank partners with Tesla on financial loans

Tesla’s website will allow buyers to access finance through Australia’s largest bank, but it isn’t the only loan available for those buying an electric car.

Buyers looking to purchase an electric car can now access a secured fixed-rate personal loan through the Tesla website.

Commonwealth Bank has announced it has partnered with Tesla to provide loans with a fixed rate of 5.49 per cent per annum (6.92 per cent per annum comparison rate), with the electric vehicle used as security against the loan.

The announcement comes after a study was conducted by Commonwealth Bank in August 2022, which claims 64 per cent of its customers would consider buying an electric or hybrid vehicle if there was a financial incentive involved.

While Tesla buyers can access the Commonwealth Bank’s fixed-rate loan through the car company’s website, eligible customers can access the same financial product for other electric and hybrid vehicles that meet the bank’s criteria.

So-called ‘green vehicle loans’ have become hot property in the banking sector in recent years, with Westpac being the first of the ‘big four’ banks to launch a specialised loan for electric and hybrid cars.

MORE: Loans for petrol and diesel cars to end, bank declares

Many smaller banks also offer discounted interest rates for zero- or low-emissions vehicles, including Bendigo Bank, Macquarie Bank, Pepper Money, Driva, and , among others.

In August 2022, Bank Australia announced it was planning to stop offering loans for petrol and diesel cars from 2025, in an effort to encourage its customers to purchase electric or plug-in hybrid vehicles.

It’s strongly recommended to shop around and speak with a certified advisor before making any financial commitment.

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