Tesla has extended its popular 0% interest financing offer for the Model 3 and Model Y to Canada, mirroring a similar promotion launched last month in the US. However, just like when that deal first launched, there is a catch, and it has to do with Full Self-Driving (FSD).
According to the fine print of the deal posted on Tesla’s website, this 0% financing option is available for loans up to 48 months and applies only to new purchases for “buyers with excellent credit.”
For terms longer than 48 months, you can still qualify for a low interest rate. A 60 or 72 month term will get you 0.99%, while 84 and 96-month terms can have a rate as low as 1.99% and 2.99% respectively.
To qualify, customers must also take delivery before January 1, 2025.
There is also another requirement for these low interest rates however. Canadian customers must purchase the FSD package, a feature with a current price of C$11,000 . FSD offers features such as Autopilot on city streets, highway driving, automated lane changes, and more advanced driver assistance functions compared to the standard Autopilot feature included in all Teslas.
Tesla’s original 0% interest promotion in the US launched in early October also required the customer to purchase FSD, but has since been modified. Less than two weeks after it first appeared, Tesla updated the offer to allow buyers to access the 0% interest rate without adding FSD. Although there is no guarantee, if demand in Canada follows a similar pattern, it is possible Tesla may eventually drop the FSD requirement north of the border as well.
On the positive side, Tesla’s offer in the US requires a 15% down payment, while there is no such requirement in Canada.
This is the second time Tesla has offered low promotional interest rates in Canada recently. The first time was back in August, when Tesla offered 1.99% financing, but only on the Model Y.
