Toyota launches subscription-style service for its new electric vehicle

Toyota Australia has launched a subscription-style service – dubbed the ‘Full-Service Lease’ (FSL) – for its new electric vehicle, the BZ4X.

However, the Japanese auto giant said it will have full ownership of the vehicle throughout the entire three-year leasing period, and buyers are eligible to upgrade to a new vehicle or have the option to re-extend their lease of the car once they’ve finished their term.

It is understood that used cars under the FSL program will be re-sold by Toyota through its dealer network.

This news comes amidst buyer concerns about the depreciation value of electric vehicles – with Toyota Australia’s sales and marketing boss Sean Hanley previously telling Drive depreciation was factored into the decision to launch this leasing program.

Toyota has not specified a specific cost for each monthly payment but has said its prices are subject to change depending on the buyer’s location.

For example, a buyer in South Melbourne (3205) looking to lease a white BZ4X would be charged $1834 per month, a total of $66,024 over the three-year lease, against a noted drive-away price of $71,622.

A buyer located in McMahons Point (2060) near Sydney will be paying $3 less per month ($1831) against a drive-away price of $71,521.

A chart shown on the Toyota Australia pricing configurator notes the vehicle rental payment for the South Melbourne (3205) example as 80.36 per cent of the total lease payment, making the $1473.80 monthly rental fee a total of $53,057 – or 74 per cent of the outright drive-away purchase price.

For comparison, using the Stratton Finance Calculator, a $72,000 car over three years at 6.5 per cent interest with a 40 per cent ($28,800) balloon payment would cost approximately the same, at $1480 per month.

However, the Full Service Lease covers scheduled servicing and maintenance, mechanical repairs, replacement tyres and roadside assistance. It does not include charging costs.

Per Toyota Australia, mandatory fees under the FSL approximately equate to an additional $49.45 per month – with an upfront $357.50 ‘establishment fee’ included in the financed amount.

Though included in the terms and conditions, Toyota retains the right to change the fees without the customer’s consent.

Mr Hanley said Toyota customers can purchase the BZ4X through traditional methods such as a novated or full-service lease – or purchasing the car outright as well as a standard financing program.