Prepay for M3?

  • SUPPORT THE SITE AND ENJOY A PREMIUM EXPERIENCE!
    Welcome to Tesla Owners Online, four years young! For a low subscription fee, you will receive access to an ad-free version of TOO. We now offer yearly memberships! You can subscribe via this direct link:
    https://teslaownersonline.com/account/upgrades

    SUBSCRIBE TO OUR YOUTUBE CHANNEL!
    Did you know we have a YouTube channel that's all about Tesla? Lots of Tesla information, fun, vlogs, product reviews, and a weekly Tesla Owners Online Podcast as well!

BigBri

Top-Contributor
Joined
Jul 16, 2016
Messages
1,087
Location
Toronto, Ontario
Country
Country
Tesla Owner
Model 3
#1
Hey everyone,

I was curious to see if there is anyone in a similar boat. I've been thinking over the last couple weeks how it'd be nice to be able to increase the deposit amount on the M3 (optionally). Since the reveal I've been putting money away for the car every week. I've wanted to do something with said money but any investment options would carry too much risk for me. Something like a GIC would pay almost the same as a savings account which seem

I got thinking how it'd be nice to pay into pre-purchasing the M3. Tesla has discussed how they'll need capital next year to keep going. Seems like it'd make sense to give reservation holders the option to put more money down. Hell maybe even an exclusive colour option if you've put down X amount by production.

Obviously there would be some issues. If the deposits are fully refundable they can't really spend said capital without having a large reserve but still I'd even be willing to agree to not get the money back until after production (if the reservation was canceled).
 

Michael Russo

MSM Team Founder, Midnight S≡R≡NITY rider
Moderator
TOO Supporting Member
Joined
Oct 15, 2016
Messages
5,821
Location
Pau, France
Country
Country
Tesla Owner
Model S
#2
Brian, I would go along this if this would move me up the line... Two to three months for every €1K down... Of course, this almost should turn the reservation into a (pre-)order...
 
Joined
Apr 8, 2016
Messages
122
Location
Los Angeles, CA
Country
Country
#3
I too have speculated about Tesla's need for cashflow in the coming months and how people are willing to start paying. That being said, I don't think it makes sense until two things happen, EVERYTHING is revealed and you know exactly what you're buying, also once you know your place in the queue. It costs money to move and process payments so anything going past a deposit should be less refundable than the initial 1k deposit.
 

jman

Active member
Joined
Aug 5, 2016
Messages
104
Location
shrewsbury, Ma
#4
It would be interesting to start paying on a vehicle that we don't yet have so that when we do get it, it will be partially paid for AND Tesla would get funds more quickly but I expect that would not happen. Some people would be interested in doing that however if they KNEW they would be getting their car in a reasonable time frame. I think more will be revealed in the spring and production will begin around early Aug. 2017. Maybe I am dreamer, BUT I know I am not the only one !!!
 

TrevP

TOO Founder / Administrator
Founder
Joined
Oct 20, 2015
Messages
7,146
Location
Toronto
Country
Country
Tesla Owner
Model 3
#5
I think it would be too complicated to account for and the lawyers would certainly get the panties in knot.

Best to put the money away into some kind of interest bearing account. I have a combination of a TFSA and "high interest savings account" (yeah right) to keep funds. Keep in mind, putting money down on the car is a good thing if you're planning on using the rebate to pay it down. Since its after tax it's best to pay the rebate up front out of pocket and repay yourself when you get the cheque. This way you're actively reducing the capital cost of financing. In the US it's a bit different since they have a tax credit and not a true rebate but the effect is more or less the same.
 

BigBri

Top-Contributor
Joined
Jul 16, 2016
Messages
1,087
Location
Toronto, Ontario
Country
Country
Tesla Owner
Model 3
#6
I think it would be too complicated to account for and the lawyers would certainly get the panties in knot.

Best to put the money away into some kind of interest bearing account. I have a combination of a TFSA and "high interest savings account" (yeah right) to keep funds. Keep in mind, putting money down on the car is a good thing if you're planning on using the rebate to pay it down. Since its after tax it's best to pay the rebate up front out of pocket and repay yourself when you get the cheque. This way you're actively reducing the capital cost of financing. In the US it's a bit different since they have a tax credit and not a true rebate but the effect is more or less the same.
I've had a pretty fortunate year business wise and have the m3 money ready to go. Never really believed in any debt beyond a reasonable mortgage. I've got it into an account that makes 1.5% provided you throw $200 a month into it. I get why Tesla would probably not do it but still..