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Pay in advance

Pay in advance

If Tesla could guarantee that your Model ≡ would be delivered within 6 months, would you pay for it in full, knowing that you would be refunded if the unthinkable happened? How far in advance would you be willing to pay for your car?

s2rogerjackson | 16 octobre 2016

nice idea elon wont do it unless he get desparte

Red Sage ca us | 16 octobre 2016

Luckily, Tesla Motors is not desperate. Such ideas reek of the level of desperation that some would like Tesla to feel, though.

jamilworm | 16 octobre 2016

I'm not sure how financing would work out if that option were available. I doubt you'd be able to get a loan if you aren't going to have the car right away for collateral. If Tesla offered this only to people paying cash for their cars then it would give a bad impression of their "budget" car actually only being for rich people who have $50k cash lying around.

paolo | 17 octobre 2016

I agree pay for it in full is not a great idea, but other option are welcome like 1000$ (or 1000€ for us EU) after 6 month of the first reservation and other after 1 year, obviously voluntary and refondable
is important don't change the timeline next year I go for 50years... I convinced my wife to give model E to me for gift... it was no easy :-)

SoFlaModel3 | 17 octobre 2016

If they needed people to pay in full in advance ... you would question the long-term stability and thus question your purchase.

As a side note, they would alienate thousands of customers that queued up before they ever unveiled a car to throw down a deposit only to hear that they've been skipped in line by someone that doesn't need financing.

That plan would backfire horribly...

antfelici | 17 octobre 2016

I think we should be able to to make monthly payments now, if we would like to put it towards our down payment. This would help in lowering everyone's monthly payment.

jordanrichard | 17 octobre 2016

Tesla has enough on its hands bring the M≡ to market. They don't need to establish pseudo banks accounts or layaway plans.

cars | 17 octobre 2016

Why not just put that money aside, in a separate savings account if required, rather than giving it to Tesla? Then you will have saved up for a big down payment if that's what you want to do.

PhillyGal | 17 octobre 2016

Nope. I'm as big a Tesla fan as any, but I'll be buying my Model 3 in the traditional way: A trade-in for (hopefully) $13-15,000, and a loan for the rest.

I need my current car until then, and I don't see any car financing companies giving the loan without the collateral on the street.

gregcropper | 17 octobre 2016

I haven't decided if I will trade in my Chevy. I don't need to trade it in to be able to afford my Model ≡, but I won't have much use for it afterwards either.

paolo | 17 octobre 2016

I wanna speak frankly my friends... for the business cash is the king.. at now the amount of the price of the model E is in invested in TSLA SCTY .(I'm not US citizen.. I live in "Marchionne's nation" ..It's very hard for electric cars ). What can change my opinion to buy one Model E? "familiar or life problems" nothing else.. if is good for Tesla if I can, I'm proudly to give one hands (1KE) or two (2KE) for the company.. no discount, no priority lane .. only a gift is welcome (a T shirt or other is more than enought) .. we are not buy only a car, we are putting a foot in the future.. the life is short and fast...

leskchan | 17 octobre 2016

Paying in advance can only be used to secure your line in place or early delivery. It cannot be used to other cashflow needs. You don't have a sale order, just a refundable reservation. The $1,000 or any other advance payments need to be in an escrow account by law.

This is just like store gift cards. Gift card money is not a sale. Store cannot use the gift card money other operations.

leskchan | 17 octobre 2016

P.S.

What the 400,000 reservations x $1,000 can do for Tesla is to show to banks or wall street that they have "potential" sale. This raises Tesla credit with banks and buy-advice with equity funding.

jordanrichard | 17 octobre 2016

leskchan +1, I and others have been saying this ever since Tesla started allowing people to place a deposit. Many people, including Wall Street types were spouting off about this amazing, large cash infusion Tesla just got and how it should help them with their cash burn, blah, blah, blah. No, that $1K is not a cash asset, it's a potentially liability because they have to keep that money on hand in the event people cancel their reservation.

SoFlaModel3 | 17 octobre 2016

I keep seeing people saying I wish I could start making payments now.... WHY!!!?!?!?!! If you want to make payments now, why don't you just create a separate bank account where you transfer money on a monthly basis. At the very least you earn a small amount of interest and you control your own destiny.

Mind you I'm a TSLA shareholder, so now only do I want my Model 3, but I also want long-term success for Tesla.

It's just a crazy concept. Save money on your own and figure it out.

Red Sage ca us | 17 octobre 2016

I've wondered for decades why it is people can't seem to figure out that the best way to 'save money' is to not spend it.

ftarnay | 19 octobre 2016

Not a good idea to pay for anything in full ahead of time.

nils.poerner | 19 octobre 2016

I think it can be a good approach to pay more than the initial 1000,- Euro in a kind of savings account for the Model 3. In this case at least the final customer end price including tax and customs and the individual governmental sponsoring for the different countries should be fixed. In Germany the government pays 2000,- Euro provided the car manufacturer certifies and gives an additional discount on the list price of another 2000,- Euro.
More Info at the home page of the German government http://www.bafa.de/bafa/en/index.html
Here you can find the list of currently registered vehicles which are sponsored:
http://www.bafa.de/bafa/de/wirtschaftsfoerderung/elektromobilitaet/publi...

Rocky_H | 20 octobre 2016

@nils.poerner, Quote: "I think it can be a good approach to pay more than the initial 1000,- Euro in a kind of savings account for the Model 3."

You know what can also act as a kind of savings account? An actual savings account.

dd.micsol | 20 octobre 2016

This again. Elon tweeted me back about this and said asking people for full deposit before car is done with production is plain wrong and I won't do it - ever! Even if option prices are known-No we won't do this. You can only pay off your car when you receive it.