Skoda Australia has announced the impending introduction of the Skoda Choice guaranteed future value program, which is designed to give customers peace of mind about the value of their vehicle at the end of their financing period.
Set to launch officially around May, Skoda Choice will be available across all model lines in the local range through the company’s in-house finance division.
Skoda Financial Services Australia managing director Frank Czarnetzki said Skoda Choice would provide new car shoppers with another reason to consider the Skoda brand.
“We believe in this car, we believe in this brand … and we believe in the future value of this car, and because of this, we designed a program called Skoda Choice, which guarantees the future value for the customer without any compromise,” Czarnetzki said.
“It’s all about peace of mind to give the mobility to the customer to enjoy the car without any risk of what will happen two years time down the road once the contract expires.
“The unique thing with Skoda Choice is that, as Skoda Financial Services, we are the only provider of such a product simply because we are Skoda, we know exactly what the car is, we know the value, and we are absolutely convinced of the future value of the car.”
Under the program, Skoda customers will have the option of financing the full on-road cost of the vehicle or placing a deposit at the time of purchase.
They will then select a term of 12, 24, 36 or 48 months, and nominate the kilometres they’re likely to travel per year, ranging between 10,000km and 25,000km.
Using the term and the agreed kilometre limit, a future value is calculated and agreed upon, which helps to set the fixed monthly repayments.
At the end of the contract, given the car has not exceeded the agreed kilometre limit and has been subject to reasonable wear and tear, the owner can either return the vehicle, choose to retain it and pay the balance or refinance with the intention of keeping it, or get a new Skoda by trading in the old vehicle and applying for a new finance package.
Guaranteed future value financing is still relatively rare among Australian car brands. Some of those already offering it include Audi, BMW, Lexus, Mercedes-Benz, Nissan, Peugeot, Tesla and Toyota.