Bank of America to offer Tesla financing

With a Tesla — like a Ferrari — if you have to ask how much it costs, you can't afford it. Starting at $109,000, the all-electric Tesla Roadster would hardly appear to be the car for the financially responsible among us. But now, thanks to Bank of America, there is a financial path into the electric sports car market.

The Charlotte, N.C.- based banking behemoth, long a leader in auto loans, will begin offering financing for the purchase of a Tesla. Qualified borrowers will be eligible for a loan of up to 75 percent of the value of the car and can have up to five years to pay it off.

According to San Carlos-based Tesla Motors, that means for just $20,000 down, you can buy a Roadster.

Of course, that number isn't exactly accurate. It includes a $7,500 tax credit that you don't get until you file your taxes next year. It also doesn't account for $10,628 in sales tax and an estimated $1,300 in registration fees you would pay depending on what county you live in. Sadly, the new car sales tax deduction included in this year's stimulus bill doesn't apply to cars that cost as much as a Tesla.

So, in reality, for $30,237.50 down — or about the sticker price for a Ford Mustang Premium GT, you can buy the Roadster.

Then you get to make monthly payments, which Tesla suggests could run at around a 5 percent annual rate, or $1,700 a month. At the end of the day, you'll have paid just shy of $12,000 in interest

With a Tesla — like a Ferrari — if you have to ask how much it costs, you can't afford it.

Starting at $109,000, the all-electric Tesla Roadster would hardly appear to be the car for the financially responsible among us. But now, thanks to Bank of America, there is a financial path into the electric sports car market. San Jose Mercury News