Tesla Partners with US Bank, Lowers Lease Cost By 25%

Whether it’s a Gigafactory, legislative battle or their decision to sell used cars, Tesla Motors always finds their way into national headlines. This time its because they announced a new leasing option, which brings with it a big partnership and lower monthly rates. Tesla has teamed up with US Bank to offer leases that are reportedly up to 25% lower than before. They also provide what is called the “Tesla Happiness Guarantee.”

On the Tesla Motors website, the cost of leasing a base model 60 kWh Model S now runs approximately $777 per month. The company also adds “gasoline savings” of $209 per month for a more attractive $568 per month lease price. That gasoline savings assumes that the buyer would pay $4.90 per gallon at 20 MPG. Tesla also requires the first month’s payment, a $5,000 down payment and a $700 acquisition fee, and upon return, a $300 disposition payment. Those costs don’t include tax, title and license. The cost of insurance is also to be considered in the overall cost of a vehicle. According to an anonymous national insurance company, the insurance cost for a 30-year old single male to insure a baseline 60 kWh Model S is about $120 per month.

As part of their leasing program, Tesla also reportedly provides the “Tesla Happiness Guarantee.” According to an official Tesla blog post by Elon Musk, “If you don’t like our car for any reason in the first three months, you can just return it and your remaining lease obligation is waived. The only catch is that you can’t then immediately lease another Model S.” The posting goes on to describe the leasing experience as being similar to any other “normal buying experience on the Internet.” In this case that means a Tesla order should take about “5 minutes,” and includes delivery to either a nearby Tesla store, or another address of your choice anywhere in the U.S.A.

First, Tesla decided to sell their own used cars and now they are working to lower the cost of a lease. Is Tesla Motors going to keep making a run at the average consumer, or will production costs keep them only available to a select few?