The true cost
Electric Car Finance Calculator
Work out monthly payments and the total cost on electric car finance for PCP, HP or a loan.
Monthly & total, side by side
Monthly
£501.75
Total payable
£43,084
Interest £8,084 · balloon £15,000
Monthly
£764.92
Total payable
£40,716
Interest £5,716
Monthly
£764.92
Total payable
£40,716
Interest £5,716
The lowest monthly is rarely the cheapest deal. Compare the total amount payable — that's the true cost.
How we work this out
Monthly = amount financed (price − deposit) × monthly rate ÷ (1 − (1 + monthly rate)^−term). On PCP the balloon (GMFV) is deferred to the end. Total payable = deposit + payments (+ balloon). EVs often carry a higher GMFV thanks to strong residual values.
Figures are estimates. EV residual values, charging costs and any grants change over time — check current figures before you commit.
Full method: how we calculate.
Electric car finance works just like petrol or diesel — PCP, HP or a personal loan — but EVs often come with lower running costs and sometimes lower rates. This calculator shows the monthly payment and the total amount payable on an electric car.
An EV can cost more up front but less to run, so the total cost matters. Enter the price, deposit, term, APR and any balloon above to see the monthly and the total together.
How does electric car finance work?
Electric car finance spreads the cost of an EV over monthly payments through PCP, HP or a personal loan — the same as any other car. PCP is popular because strong EV residual values can mean a higher balloon and a lower monthly.
Because many EVs hold their value well, the balloon on a PCP can be larger, which keeps the monthly down. You still need to weigh that against the total cost to own — see the trade-off on the PCP calculator.
PCP, HP or a loan on an electric car?
PCP suits drivers who want a low monthly and to change EV as the tech moves on; HP and a loan suit those who want to keep the car. Fast-moving battery technology makes flexibility worth more on EVs.
PCP lets you hand the car back at the end, useful while EV technology improves quickly. HP and a personal loan cost less overall and end with you owning the car — better if you plan to keep it for years.
A worked example on an electric car
A £35,000 electric car on PCP with £3,500 down, an £18,000 balloon, over 48 months at 7.9% APR costs about £442 a month — and around £42,698 in total to own. The same EV on HP costs more monthly but less overall.
Worked example
Electric car finance and running costs
An EV usually costs less to run — cheaper charging and servicing — which can offset a higher purchase price. Look at the finance and the running costs together to see the real total.
Add the finance and the running costs together on the total cost of ownership calculator to compare an EV fairly against a petrol car.
| Cost | Electric car | Petrol car |
|---|---|---|
| Fuel / charging | ≈ £600 | ≈ £1,500 |
| Servicing | ≈ £250 | ≈ £400 |
| Road tax | Varies | ≈ £190 |
Watch the residual value and the balloon
An EV's value depends on its battery health and how fast the technology moves, which affects the balloon and your equity. A high balloon keeps the monthly low but raises the risk of negative equity if values fall.
If you plan to keep the car, check you would not be caught by negative equity at the end. If values hold up, you may have equity to roll into your next car — work it out on the part-exchange calculator.
Was your electric car finance mis-sold?
EV finance from 2007–2024 can carry the same hidden-commission claims as any other car finance. If your rate was raised for a bigger commission, you may be owed redress.
The FCA's redress scheme follows the Supreme Court ruling of 1 August 2025. Estimate your position with the compensation estimator — an estimate, not a promise, and free to claim yourself.
Frequently asked
How does electric car finance work?
Is electric car finance cheaper?
What's the best finance for an electric car?
Do electric cars cost less to run?
What happens to the EV balloon if values fall?
Work out your next step
Independent calculators — pick the one that fits your situation.