Following receipt of severe criticism, Tesla Motors Inc owned by Elon Musk as revamped its financing strategies where their Model S electric vehicle is concerned. These changes include permitting buyers to take a total of 72 months as against 63 months to repay loans, while the company has also decreased monthly costs by over a quarter. Tesla Motors has also assured buyers that resale value of the Model S will surpass that of others in its segment.
This deal was launched in a bid to ensure that Model S electric sedan was more attractive to buyers. The vehicle starts at a price of $70,000 with a tax credit of $7,500 thus making the vehicle more affordable. Critics viewed the company financing plan adversely, while the company also received negative feedback for placing resale value of the Model S against that of Mercedes S Class sedans.
Model S is rated by auto magazine ‘Motor Trend’ and others as being the best car in 2013. Hence critics contend that it should therefore have a highest resale value which has made Tesla Motors ensure that resale value of Model S will be higher than that of luxury vehicles from Lexus, Jaguar, BMW, Audi and Mercedes Benz.
Tesla Co-founder & CEO Elon Musk said, “We appreciate the feedback from a number of journalists and customers that the first version of our financing product wasn’t quite right.” “They were right, so we are fixing it and, moreover, upping the ante by providing the best resale value guarantee in the automotive industry. The Model S is rated by Motor Trend, Automobile Magazine and many others as the best car of 2013, so it should naturally therefore have the highest resale value.”