The benefits of leasing an electric vehicle

A successful executive speeds from one meeting to the next in a premium sedan – until quite recently, this is the image that many people conjured up when they thought about a typical leasing client. The reality is rather different, though. Although fleet leasing remains very popular since it offers a host of benefits for companies, such as tax deductibility and liquidity protection, this form of financing is also an attractive option for private individuals.

The fixed monthly installments offer a high degree of planning security, which allows leasing clients to calculate the running costs with precision. In addition, differing contract terms make leasing a particularly flexible solution. Terms of anything from 12 to 60 months are possible depending on requirements.

Leasing clients can also avoid the hassle of repairs in many cases, since the need for costly work on a new vehicle is quite rare, and it is also possible to conclude maintenance agreements that cover all the costs for servicing and wear.

What makes leasing particularly attractive is that you are always driving the latest models. This is made possible by the relatively short contract terms, which allow drivers to switch to a new model after a few years. "Leasing means you can be sure you're staying up to date with the latest technology," says Peter Steiner, a leasing expert at BANK-now.

This is what makes leasing a particularly interesting option in the electric mobility sector. Electric vehicles are constantly evolving. From generation to generation, battery performance improves and the range increases. With leasing, switching up every few years to take advantage of the latest technology is a simple process. "When the lease period comes to an end, someone else takes care of putting the vehicle to another use," says Peter Steiner. This is a big advantage, particularly for people who feared that they might not be able to sell on a technologically outdated vehicle. "You simply never know whether, in four years from now, there might be a battery that provides much, much better performance in terms of range," says Steiner.

So when you lease an electric vehicle, you don't need to worry about the resale value. But even if you opt to buy outright or finance the purchase with a car loan, the risk in this regard isn't that great. Being stuck with a three- or four-year-old electric vehicle is unlikely to be much of an issue. "Used electric vehicles sell like hotcakes," says Peter Steiner. For the simple reason that demand currently far outstrips supply.

It is also important to note that leasing means drivers can embark upon their electric mobility adventure without the need for significant startup capital. This is particularly important, since the latest new vehicles in this category are still significantly more expensive than combustion-engine vehicles. Finally, those who lease an electric vehicle can benefit from the same national subsidies and from discounts in certain cantons as those who purchase one.