What is the most economical car to get a loan

Today, most people agree that electric cars are better for the environment than petrol and diesel cars, on the other hand, there is much debate about which type of car is the most economical. We have therefore made a comparison of the best-selling cars in 2019: 4 gasoline cars, 4 diesel cars and 3 electric cars.

We have calculated an average for each car type and then compare these based on the expenses within categories such as fuel, car insurance and loss of value. This way, you can choose the car type according to the category that you prioritize the most.

What is the most economical car to get a loan

What is the most economical car to get a loan

It is not only the purchase price and car loan that must be included when the budget has to be set for the new occupant of the garage. There is a difference between how much the car types require from your purse after driving your first trips. Below you can read more about all the expenses examined and find out which type of car suits you best .

Find the cheapest car type within:

  • Cost
  • Fuel economy
  • Green ownership tax
  • Insurance
  • Valuation losses
  • Total expenses

The cost of car types

Electric cars are generally more expensive than similar cars running on fossil fuels. In Denmark, however, the registration fees for petrol and diesel cars are so high that there is no big difference between the final price at the dealer. If you import the car from abroad, this will also be far cheaper in the charge for an electric car than for both petrol and diesel cars. You can read more about the registration fee on SKAT’s website.

Ultimately , the battery is the deciding factor for the higher price of electric cars. However, the price of batteries has already fallen 85% since 2010 and, according to Bloomberg, will continue to fall due to optimized production. At present, the prediction is that the prices of electric cars will be at the same level as petrol and diesel cars within the next 10 years, due to falling costs of battery production.

In addition to charging at home, there are also some legal requirements regarding installations that you need to be aware of. You can read more about this in the Capital Region’s guide to procuring electric chargers for electric cars.

Fuel economy after 20,000 km

Fuel economy after 20,000 km

If we calculate the cost of fuel in relation to the distance traveled of 20,000 km, the electric cars are arguably the cheapest. The electric car costs about ⅓ of the petrol car per kilometer , or ½ of a diesel car. However, there may still be some extra costs associated with either having to drive longer to charge the electric car, or by being forced to charge it at certain places and times. Here, the advantage of gasoline and diesel cars is that there are gas stations throughout the country.

However, with a subscription to a charging stand, or with a personal charging stand at home in the garage, the price may be even lower. Charging operators will be reimbursed for their electricity tax, which means that, at least for the rest of 2019, a tax refund of between USD 88.4 and USD 1.14 per kWh is given, which the charging operators usually return to customers.

Green ownership tax on car types

Today, you will have to pay green ownership tax when registering the car. Since only a tax is payable on passenger cars registered before 1997, and vans registered before 2009, this is no longer an expense associated with the purchase of a new car.

The green ownership fees, especially for electric cars and plug-in hybrid cars, are much lower than similar cars with internal combustion engines. You pay with an electric or plug-in hybrid car approx. 1/4 in green ownership tax compared to a similar petrol car and down to 1/7 for a similar diesel car.

Car insurance against the purchase price

Car insurance against the purchase price

Electric cars are a little more expensive to insure at present than other types of car. This is because, in principle, electric cars are also more expensive in procurement than other types of cars. On the other hand, if we compare the price of insurance as a percentage of the new price of the car , the electric cars are actually a little cheaper to insure.

A new electric car costs on average 44% more than a petrol car, on the other hand, the insurance on an electric car represents only 75% of the insurance on a petrol car. However, if the electric car and the petrol car had the same new price, the insurance of the electric car would only cost 75% of the petrol car.

Benefits of servicing electric cars

  • Electric cars have neither gearbox, carburetor, catalytic converter, clutch, timing belt, spark plugs or exhaust.
  • Electric cars do not require changing oil or filters.
  • Electric cars brake using engine braking, so the brake pads last longer.

Disadvantages of servicing electric cars

  • There is only 8 years warranty on the battery.
  • A new battery costs up to $ 250,000.
  • Losses faster value due to battery wear than for example a petrol or diesel car.

Value loss in relation to the new price

Electric cars generally lose more value than petrol and diesel cars. However, as shown below, this is again related to the fact that the new price is also higher on electric cars than on the other types of cars. Compared to the new price, the electric car loses percent less than both petrol and diesel cars.

The supply in the used market for electric cars is even more limited, especially on newer electric cars with good batteries. This means that the used price of an electric car is very high. However, as the market becomes saturated, prices will fall.

It is also worth paying attention to the Ministry of Environment and Food’s increased scrap premium on diesel cars from before 2006. If you change your car, it is possible to apply for some extra money in your pocket if your old car is to be scrapped, and it meets the requirements.