Hi. I’ve been told that certain lenders apply the $7,500 ev credit differently for leases. Some apply more of the credit to reducing the vehicle price than others and then pocket the rest. Can anyone provide advice on which lenders apply the largest portion to reducing the vehicle price? I’m looking at a Pacifica hybrid.
Thank you.
You can go on Edmunds Forum and check the lease cash/credit for each model you are interested in…they sometimes change monthly.
Typically if you lease, there is a leasing credit that the captive passes on to you (some/all/none). Edmunds forums can confirm current incentives along with residual and MF.
If you buy, you file for the Federal credit when you do your taxes, state and electric companies (as applicable). You finance that additional amount and pay interest on it.
So I spoke to the dealer and it’s pretty interesting. ALLY is the only bank that puts a portion of the tax incentive toward reducing the price of the car. They would put about $4500 toward the lease but they charge 8% interest so it more than negates the $4,500
Can you break this down. Interestingly enough financing EV credits negates the benefit no?
Thought in lease situation the lien holder (lesser) benefits from EV credit.
How did you figure that? How much interest can you possibly pay on $7500 to negate $7500? This is not a deduction, it’s a dollar for dollar tax credit.
That 8% is just for you because they appreciate you so much. Seriously, go and read on the forum we suggested. The MF was in Nov .00170 which is 4%. It looks like there are no incentives at this time for 2019 model so what you got is probably just dealer contribution.
Right: the original post was ambiguous about financing or buying, so I laid out what happens when one leases (captive can choose to pass on 0-100% as incentive) and then what happens if you finance (you also finance the amount of the forthcoming tax credit, which you pay interest on for the term). I prefaced both answers and even separated them with a lot of white space. 
Thanks
Just trying to gain more knowledge here and get ahead of things with proper planning for future purchase/lease as I’m currently working on an active lease deal.
What does Edmunds say the rv, MF, and incentives are for the Pacifica hybrid in your zip currently?
Hopefully not for this car…the lease deals have been from bad to super bad.
Hybrid Limited
Standard MF and 52% / 45% / 43%
No info on incentives
You do not get the $7500 as you are not the owner of the vehicle - the bank is
Gas Limited
27/12 - .00065 and 55%
39/12 - .00035 and 45%
42/12 - .00040 and 45%
$2800 incentives
This is a leasing website so I thought I did not need to explicitly state leasing when I OPed. If a purchase was the goal I would have explicitly stated. Just wanted to clarify.
Well, looks like Chrysler is pocketing those lease incentives right now then and offering lower general incentives to move them. I doubt you’ll see these leasing all that well anytime soon then.
People have bern able to get the $7500 tax credit applied through Chrysler Capitol. This post is from April
That appears to be a post about purchasing. I would be leasing.
Youre right, sorry about that
Heres one from 2018 where Chrysler put the $7500 towards a lease
Yes, they used to contribute more than they do now. It comes and goes…
Okay, so the Chrysler credit comes and goes, and Ally passes some on, but charges an arm and a leg in interest.
Is there a bank who passes on the full EV tax credit for every car they lease?
My question exactly. One of the Mods took my last post down because I made a thread specifically about this question - which finance companies pass on the largest amount of the credit without increasing the MF.