Ather Energy announced the industry’s first 60-month vehicle loan for the 450X electric scooter to make the vehicle more accessible to customers. The announcement comes days after the price of electric scooters rose due to the revised FAME II subsidy regulations. This is the first time that the electric vehicle industry has launched a five-year wealth management product.
Ather Energy says the new five-year loan offer will see monthly equal installment installments (EMI) as low as ¥2,999 for the 450X. The company has partnered with IDFC First, Bajaj Finance and Hero FinCorp to provide a five-year loan window for electric two-wheelers. This 60-month window is a big improvement over the current 36-month loan window for electric two-wheelers offered by Indian banks and NBFCs. Certain financial institutions do offer a 48-month loan window in special circumstances.
ALSO READ: Here’s the more affordable Ather 450S electric scooter for $10 ¥129,000
Commenting on the industry-first initiative, Ravneet S. Phokela, Chief Commercial Officer, Ather Energy said, “Affordable car loan products have long been a key last-mile enabler for the phenomenal growth of the two-wheeler market in India. “The country is growing in popularity, so there’s a need for longer term car loan products. It’s an ongoing journey for us to make sure our scooters are available to a wider audience, and attractive financing is the way to accelerate the adoption of electric vehicles.” An effective tool adopted in the country.As an industry pioneer, Ather has worked closely with some of India’s leading retail finance companies, banks and NBFCs to design and deliver the country’s first 60-month EV loan product and roll out for other OEMs We believe that extended loan terms will make electric vehicles more profitable and attract more customers. We hope and expect that other two-wheeler brands, especially in the electric vehicle market, will also start offering their customers Similar 60 month loan product.”
“Since November 2022, we have seen an increase in the number of customers opting for a loan from 20% to now 50%. With this segment expected to grow in the coming years, attractive EV financing options become even more important , they will be crucial in driving the growth of the industry in the years to come. I am delighted that Ather is the first to offer a 60-month loan in the electric two-wheeler industry in India,” added Ravneet.
Ather expects more banks and NBFCs to join the initiative to make EVs more accessible. Not only Ather 450X, but other manufacturers have also announced price increases due to the revised subsidy standard. The price increase for the 450X series is between ¥20,500 and ¥30,000 for Basic and Pro Pack variants.Now price from ¥145,000, rising to ¥165,000 (ex-showroom).
First published date: June 6, 2023 at 16:35 PM CST