Jeep recently presented its small SUV, the Avenger, a 100% electric model that shares several technical elements with the Peugeot e-2008, among others. The one that should quickly become Jeep’s bestseller in Europe is already showing advantageous monthly payments and an LLD at less than 200 euros per month. But is it really a good deal? Decryption.
Jeep is finally taking the big leap in electrification. After several plug-in hybrid models, the American manufacturer, a member of the Stellantis group since the merger between PSA and FCA, presented its first 100% electric production model last year, the Jeep Avenger.
It should obviously allow the brand to increase its sales in Europe, but also to begin a major overhaul of the range and gradually move to 100% electric.
The all-electric Jeep Avenger marks the debut of the STLA Small platform, one of four electrified platforms on which Stellantis will build its new lineup. The model shares some elements with the Peugeot e-2008 and other DS 3 E-Tense, and it is already displayed at advantageous monthly payments via a long-term rental. Indeed, in France, Jeep communicates on an offer from 199 euros per monthenough to arouse our curiosity.
The Jeep Avenger offered at 199 euros per month
As with the majority of “starting at” financing offers, this is the basic model. At Jeep, it is the trim level which is simply called “Avenger” which takes on this role. Below is the list of the main standard equipment of the model concerned:
- 16-inch steel rims;
- Uconnect on 10.25-inch touchscreen with wireless Apple CarPlay and Android Auto;
- Automatic air conditioning;
- Autonomous emergency braking with pedestrian and cyclist detection.
Jeep offers three other trim levels above called “Longitude”, “Altitude” and “Summit”, three finishes that incorporate more standard equipment, but which, obviously, are more expensive and therefore increase the monthly payments considerably.
Overall, for a basic model, the level of equipment is not really exceptional, but the essentials are there, such as Apple CarPlay and Android Auto, essential in a car today, or even steel rims and not simple sheet metal rims with hubcaps.
However, we would have liked to find the reversing radars or the 10.25-inch instrument cluster as standard, but this equipment is either optional or available with the finishes of the upper level. The base color is rather nice since it’s “Ruby Red”, and not a traditional white which is more akin to a commercial car.
The car has a 54 kWh battery associated with an electric motor of 156 hp and 260 Nm of torque. The Avenger claims a range of 408 km according to the WLTP cycle, and even up to 550 km in purely urban use. This powertrain is new and is gradually being fitted to the 100% electric models of the Stellantis group, such as the Peugeot e-308.
What are the conditions to be eligible for the Jeep Avenger LLD offer?
This is a long-term rental offer on 24 months and 10,000 kilometers per year, i.e. 20,000 km in total. Jeep indicates that the offer at 199 euros per month is subject to a first rent of 4,000 eurosafter an ecological bonus of 7,000 euros and a conversion bonus of 2,500 euros.
Be careful, because Jeep is playing on a small tax detail in this year 2023. The maximum ecological bonus has fallen to 5,000 euros at the start of 2023, but it can still be 7,000 euros under certain tax conditions. Indeed, the bonus can reach 7,000 euros (within the limit of 27% of the purchase price) for households with a taxable income per unit of less than 14,089 euros. In other words, it did not concern the majority of buyers.
Another condition to be met is that of the conversion bonus. To qualify for this bonus, you have to scrap an old diesel or petrol model. The old scrapped vehicle must be a car or a van with a gross vehicle weight not exceeding 3500 kg. The date of first registration must be before 2011 for diesels and before 2006 for petrols.
The vehicle must have belonged to the beneficiary for at least one year, while the reference tax income per unit indicated on the tax notice of your income for the previous year must be less than or equal to €13,489.
How much will the Jeep Avenger LLD cost you?
Over two years of long-term lease, your all-electric Jeep Avenger will cost you €8,776. Jeep displays his car from €36,500 on its site, an ecological bonus of 7,000 euros and a conversion bonus of 2,500 euros not deducted. Always considering that you are entering the right tax regime. Thus, once all the aid has been deducted, we arrive at a price of €27,000.
Starting from this price, you will pay over the two years of the rental 32.5% of the price of your car. This is more or less the discount over two years for this type of car, especially for electric cars where demand continues to increase, thus implying a certain price stability. As the offer is not an LOA, there is no option to buy back the vehicle. It will therefore be necessary to return the car at the end of the financing.
Beware of repair costs, these can be high at the time of return. We advise you to do it before at a bodybuilder, it will cost you less than at your dealer in general. If you take a vehicle back to your dealer after your LLD, he will also be a little less careful about the costs of repairs.
Should we favor the LLD or a classic credit?
Few new cars are purchased today without any means of financing, through one of the captives attached to the manufacturer, or through its own banking establishment. And precisely, between the LOA and the LLD offered by the manufacturers and a classic credit that you can find in the bank, which product is the most interesting?
Even if the rates have increased in recent months, they are still quite attractive, especially if you buy an electric car. For example, Crédit Agricole, thanks to the “Green Vehicle Loan” and its APR at 1.50% over 24 months and without administration fees, there is a way to achieve more attractive monthly payments compared to a conventional car loan. .
So, by funding €23,000 (ecological bonus of 7,000 euros, conversion bonus and contribution of 4,000 euros deducted), still over 24 months, we arrive at monthly payments of €973.28, without insurance. The total amount due is €23,706.24the credit will therefore have cost you €706.24.
Note that Crédit Agricole is not the only bank to offer this type of loan for electric cars. For example, at the national level, the CIC offers a rate of 2.75% for the financing of a zero-emission car.
Things to remember
From a financial point of view, conventional credit in a bank is not the best solution, at least in the short term since the monthly payments are much higher compared to the LLD offered by Jeep. On the other hand, with a bank loan, it is possible to adjust the duration of financing to reduce the monthly payments. For example, going from 24 to 48 months, rents drop to around 490 euros.
But why is there such a big difference? This is explained by the fact that with a conventional loan, you finance the entire car and, at the end of 24 months, this one belongs to you, not to mention that you have no limit for mileage. In LLD you only pay for part of the car and at the end of the two years you have to return the car and pay a fee if you exceed the mileage limit.
| Jeep Avengers | LLD | Bank credit |
|---|---|---|
| Bring | €4,000 | €4,000 |
| Maximum mileage | 20,000km | No limits |
| Duration | 24 months | 24 months |
| Monthly payments | 199 euros | €973.28 |
| Cost of financing | – | €706.24 |
| Total cost | €8,776 | €23,706.24 |
Even if the totality of the monthly payments corresponds globally to the natural discount of a car, the LLD solution is interesting only if you want to change cars regularly, without bothering you with resale. Let us also recall that in the LLD, maintenance and warranty are included throughout the duration of the financing. With a classic credit, the guarantee is the basic one, namely two years.
The LLD is interesting if you do not really have visibility concerning the second-hand price of your car and you already know that you are going to resell it. With this type of financing, you know in advance the total cost of ownership of your car. On the other hand, in cash or on credit, you cannot know this price, since it will depend on the resale value.
With regard to this LLD, however, it requires conditions that are difficult to combine, in particular with the maximum bonus subject to income conditions or the conversion bonus. What’s more, the 4,000 euros of contribution claimed, even if the monthly payments are rather low, are indigestible for an LLD over only two years. Most manufacturers now offer free offers for their electric cars by including the bonus directly in it.
Between the consumption observed in real life, those published by the WLTP certification cycle or even those announced by the manufacturer, there is sometimes a world. We will try to see a little…
Read more
Do you use Google News (News in France)? You can follow your favorite media. Follow Frandroid on Google News (and Numerama).