Battery Financing Options
Having a battery leads to energy independence, energy security, cost reduction and reduced emissions.
Making a significant investment, whether in a battery or any other project, demands careful evaluation. If it’s an urgent necessity, and you lack the funds to proceed, financing becomes a wise decision. With an impressive average 7-10% ROI per year from batteries per year, they are a sound investment in the long run. This investment today will only further prove its worth as electricity prices continue to increase over the years to come.
With the recent increase of electricity prices ranging from 27%-30%, uncertainty surrounds future fluctuations. Financing a solar battery now will allow you to utilise the money you would typically spend on electricity bills to cover the cost of the battery.
Here are the possible options that you can consider if you want to consider financing.
1. Interest-free options
Interest free means “Interest free “not “fee” free. Whilst the interest is not being charged, there tends to be small fees and penalties if payments are not made on time.
Furthermore “interest free” is merely a technicality. It does not mean you are not paying more than you otherwise would. Where a vendor offers “interest-free” options, this is simply a product-different option that they offer you. In this situation, the Vendor is charged a vendor fee for providing this option.
Like any cost to their business, they have to add it into what they charge customers somewhere, so the products they sell will likely incorporate this often significant fee. Long story short…over time, you will pay significantly more for the same products bought “interest-free” than if you bought them from a vendor that didn’t offer interest-free and you financed it yourself.
So how can you finance it yourself?
2. Credit card balance transfers
Some credit card companies offer balance transfers with transfer fees from 0%-2% and zero percent interest repayments up to 32 months. You can check the list and the links to their website below:
3. Green loan
There are various financing institutions offering loans to finance the cost of environmentally friendly products such as solar panels, solar batteries, solar hot water systems and the like. You can check the list and the links to their website below:
Bank | Int Rate p.a. | Repayment | Link |
|---|---|---|---|
Brighte | 9.49% | 2-7 years | Brighte |
CommBank | 2.99% | 10 years | CommBank |
Community First Bank
| 5.24% | Up to 10 years | Community First Bank
|
Handypay | 5.79%
| Up to 10 years | Handypay |
Sample computation:
If you are paying a monthly electricity bill of $215 and above; and you purchased a battery system with 14.2 kw size that cost $16,000;
Assuming you acquired it through financing with an annual interest of 6% per annum and repayment term of 10 years; then your monthly repayment will be $213.33
So, if you got solar and are still paying a monthly electricity bill of $215 and above, your monthly repayment is still lower than your monthly bill. If there will be a 5% yearly increase in electricity costs, then you are better off with your financed monthly repayment rather than paying an actual bill.
We are still offering free electricity bill Saving Check
we will analyse it for you and let you know who to change to and how much you will save!
On average you can save $200-$500 per year, but there are instances that you can save up to $700 or $800, it depends on your energy usage and how much you feed into the grid. If you already have solar power
How? Just click here
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