Ty
Elio Addict
LOL... My last name IS Pope...
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Friday Blog Is Out
- Thread starter Johnny Acree
- Start date
Trusting
Elio Addict
Ty
Elio Addict
LOL... It's been a long time since someone's made that joke. I usually get things about the Vatican.Cool ! We might be related, my last name is POOP.
Johnny Acree
Elio Addict
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- May 12, 2014
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Gas Savings Add Up…
October 26, 2018
Happy Friday Elio’ers! When we talk about the Elio’s ultra-low base price, the conversation inevitably tuns to the topic of payment options. As we continue to focus on the next round of funding, this week’s Friday Blog from the archive is going to cover our unique financing plan. Just so we’re all on the same page, we’ll start out with the basics and then get into the nitty-gritty details.
The genesis of this plan is centered on the economics of the Elio (ultra-low cost and high mileage) and the average miles per gallon of a vehicle on the road today. The average vehicle on the road today gets around 21 MPG, on average, while the Elio is targeting over three times that amount. This means that the Elio should cost the average driver 1/3 of their current spend for fuel to drive the same miles.
Basically, we call this financing option “Have your gas savings make your payment.” If you choose this program, you will receive a special Elio Motors credit card when you pick up your new Elio. Each time you stop at a gas station, you will use the Elio Motors credit card to pay for the gas and the card. Your credit card statement, however, will reflect the gas purchase as 3 times the purchase amount. You are used to paying the higher amount for gas so you don’t feel it in your pocket, but you end up with a new, warrantied vehicle in the process!
So, for example, let’s say that you spend $20 on gas to fill up your tank. The card will be charged a total of $60. Why the $60? $20 is going to the oil company and the remaining $40 goes toward the balance of your vehicle. So, thus the name, the money you would otherwise be spending on gas is paying for your new ride!
Here are some great questions that frequently come in about the program:
Q: What kind of credit will I need to qualify?
We are focused on making the Elio, but the partner we choose to supply the credit card will make this determination. There, of course, will be some creditworthiness requirements, but we believe that with our ultra-low base price that a wide range of credit scores will qualify. We know logically that more people can qualify for $7,000 loan than for a new car costing over $30,000.
Q: Will there be a minimum payment?
Yes, there will need to be a minimum amount paid toward the loan amount every month, regardless of gas purchases. The minimum amount will depend on a number of factors and will be available in the coming months.
Q: Can I use the credit card when I fill up my other vehicles? What about other purchases?
That detail is yet to be finalized, but we anticipate the answer to be yes, you can use the card whenever you like! Important to note however that the card will work the same for all purchases. All purchases will be charged 3X the amount, with 2/3rds of the purchase going toward the payment of your Elio.
Q: Can I opt for different payment options, or even just pay in cash?
Absolutely you can pay in cash! Additionally, we will have traditional financing options available so you have options on how to best finance your Elio.
Thanks for your support and have a spectacular weekend!
October 26, 2018
Happy Friday Elio’ers! When we talk about the Elio’s ultra-low base price, the conversation inevitably tuns to the topic of payment options. As we continue to focus on the next round of funding, this week’s Friday Blog from the archive is going to cover our unique financing plan. Just so we’re all on the same page, we’ll start out with the basics and then get into the nitty-gritty details.
The genesis of this plan is centered on the economics of the Elio (ultra-low cost and high mileage) and the average miles per gallon of a vehicle on the road today. The average vehicle on the road today gets around 21 MPG, on average, while the Elio is targeting over three times that amount. This means that the Elio should cost the average driver 1/3 of their current spend for fuel to drive the same miles.
Basically, we call this financing option “Have your gas savings make your payment.” If you choose this program, you will receive a special Elio Motors credit card when you pick up your new Elio. Each time you stop at a gas station, you will use the Elio Motors credit card to pay for the gas and the card. Your credit card statement, however, will reflect the gas purchase as 3 times the purchase amount. You are used to paying the higher amount for gas so you don’t feel it in your pocket, but you end up with a new, warrantied vehicle in the process!
So, for example, let’s say that you spend $20 on gas to fill up your tank. The card will be charged a total of $60. Why the $60? $20 is going to the oil company and the remaining $40 goes toward the balance of your vehicle. So, thus the name, the money you would otherwise be spending on gas is paying for your new ride!
Here are some great questions that frequently come in about the program:
Q: What kind of credit will I need to qualify?
We are focused on making the Elio, but the partner we choose to supply the credit card will make this determination. There, of course, will be some creditworthiness requirements, but we believe that with our ultra-low base price that a wide range of credit scores will qualify. We know logically that more people can qualify for $7,000 loan than for a new car costing over $30,000.
Q: Will there be a minimum payment?
Yes, there will need to be a minimum amount paid toward the loan amount every month, regardless of gas purchases. The minimum amount will depend on a number of factors and will be available in the coming months.
Q: Can I use the credit card when I fill up my other vehicles? What about other purchases?
That detail is yet to be finalized, but we anticipate the answer to be yes, you can use the card whenever you like! Important to note however that the card will work the same for all purchases. All purchases will be charged 3X the amount, with 2/3rds of the purchase going toward the payment of your Elio.
Q: Can I opt for different payment options, or even just pay in cash?
Absolutely you can pay in cash! Additionally, we will have traditional financing options available so you have options on how to best finance your Elio.
Thanks for your support and have a spectacular weekend!
booboo
Elio Addict
Still waiting on new news is giving me the blues.
Made in USA
Elio Addict
One problem with their math is the assumptions they are making. First is that the Elio will average 84 mpg and your current vehicle gets 28 mpg average. If your current vehicle gets better mileage then you will end up paying more per month for gas with the Elio card to make the minimum payment.
raptor213
Elio Addict
I must correct the statement: "... that the Elio will average 84 mpg..."
Caveat: with the vehicle chassis, construction, materials, assembly processes, and even powerplant integration all called into question without the company publicly editing their quoted MPG targets, it's really anybody's guess at this point.
Let's assume, for sake of gleeful argument, that Elio nails their EPA city/highway MPG estimates of 49 city and 'up to 84' highway. My personal interpretation all along -- ever since I dropped money on an All-In reservation -- has been that I might experience an average MPG in mixed driving conditions in the 65-70 mpg range:
40% City / 60% Highway = 70.0 mpg Combined
50% City / 50% Highway = 66.5 mpg Combined
60% City / 40% Highway = 63.0 mpg Combined
Those are the fuel efficiency targets I had placed my bets on years ago.
raptor213
Elio Addict
Tying in my above statement into the debate surrounding Elio's proposed 'Let your gas savings make your payments' credit card financing option, let's say you average 63 mpg with a new Elio vehicle and you'd replaced anything offering 21 mpg or less (full-size pickup trucks, most if not all three-row large SUV's, some full-size sedans, many older clunkers). In this scenario, given a favorable credit score and tolerable interest rate, the math isn't far off.
Now, I personally would not advocate this method of purchasing a mode of personal transportation to anybody I know, as it pertains to sound financial planning decisions. Having said that, look at this from a business perspective.
-- The guy that started the McDonald's empire was savvy enough to realize he was not in the business of making and selling hamburgers; rather, his gold mine opportunity was in securing real-estate and collecting lease payments from gullible franchisees.
-- For all the flak Elon Musk gets in the media, his business model for Tesla relies as heavily on trading renewable energy credits and selling CAFE credits to legacy auto manufacturers as it does on the profit margin potential of actual vehicles rolling off his assembly lines.
Perhaps we as diehard Elio Motors supporters should read between the lines and see what potential may lie outside the obvious revenue sales of vehicles rolling out of Shreveport. Maybe Paul Elio is smart enough not to contract out the financing aspect to some big bank (Bank of America, JP Morgan Chase, VISA, PayPal, etc) and instead operate it in-house. Maybe there's more to the early fleet adopters than we know and there are ultimate plans for Domino's Pizza or Panera Bread or one of those grocery delivery services to order thousands of Elio's. Who knows. This is all hyperbole and pure speculation on my part, but I accept the reality that there have been plenty of boardroom pitches, presentations, meetings, etc that we have not been privy to. Here's to hoping that maybe, just maybe, Paul Elio has a surprise element in his business model that we are not aware of yet.
Now, I personally would not advocate this method of purchasing a mode of personal transportation to anybody I know, as it pertains to sound financial planning decisions. Having said that, look at this from a business perspective.
-- The guy that started the McDonald's empire was savvy enough to realize he was not in the business of making and selling hamburgers; rather, his gold mine opportunity was in securing real-estate and collecting lease payments from gullible franchisees.
-- For all the flak Elon Musk gets in the media, his business model for Tesla relies as heavily on trading renewable energy credits and selling CAFE credits to legacy auto manufacturers as it does on the profit margin potential of actual vehicles rolling off his assembly lines.
Perhaps we as diehard Elio Motors supporters should read between the lines and see what potential may lie outside the obvious revenue sales of vehicles rolling out of Shreveport. Maybe Paul Elio is smart enough not to contract out the financing aspect to some big bank (Bank of America, JP Morgan Chase, VISA, PayPal, etc) and instead operate it in-house. Maybe there's more to the early fleet adopters than we know and there are ultimate plans for Domino's Pizza or Panera Bread or one of those grocery delivery services to order thousands of Elio's. Who knows. This is all hyperbole and pure speculation on my part, but I accept the reality that there have been plenty of boardroom pitches, presentations, meetings, etc that we have not been privy to. Here's to hoping that maybe, just maybe, Paul Elio has a surprise element in his business model that we are not aware of yet.
Mel
Elio Addict
I'm ready to be surprised!
RSchneider
Elio Addict
Since Roush did the Domino’s DXP car, they can make the Elio into another fleet special. Something like a station wagon version that has a warming oven in the back like the DXP. The rest of the pizza places would be all over it. Roush has pizza experience, so maybe that’s why Paul went with them.
https://www.roush.com/what-we-do/case-studies/dominos-vehicle/
https://www.roush.com/what-we-do/case-studies/dominos-vehicle/