KEY HIGHLIGHTS
- Tata Curvv EV and Nexon EV with 45 kWh battery packs to get lifetime warranty
- It also extends to the pre-existing customers of these cars
- Tata to launch Balloon Scheme, which we think Is similar to Buyback scheme
In a major customer-centric move, Tata Motors is set to offer a lifetime warranty on the Curvv EV and Nexon EV - but exclusively for variants equipped with the 45 kWh battery pack. The great part is, this benefit will also apply to early buyers, effectively upgrading their ownership experience. This strategic offering is expected to be officially announced soon. According to our exclusive information, this move aims to boost trust in Tata's mid-range EVs and bolden its presence in India's fast-growing EV market. Let's dive deeper into what this means for customers. In the meantime, make sure to join the 91Wheels WhatsApp Channel to stay updated with the latest automotive news.
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Tata Motors
Tata Motors is expected to make this announcement soon, and it is going to further solidify the trust among buyers of the Tata Nexon EV and Curvv EV who own variants with the 45 kWh battery pack. Currently, Tata offers 8 years or 1,60,000 km of warranty (whichever comes first) on this battery pack. After this move, there will be a total of three vehicles in Tata's EV lineup offering a lifetime warranty. As of now, it is only applicable to the newly launched Harrier EV.
Taking this exclusive piece forward, the scheme applies only upon the first registration of these models - Harrier EV, Curvv EV, and Nexon EV. From the second registration onwards, the warranty reverts to the existing format: 8 years or 1,60,000 km (whichever comes first) for the Curvv EV and Nexon EV, and 10 years or 2,00,000 km for the Harrier EV.
This move is also aimed at boosting the resale value of these EVs, ensuring first owners can get a better price when selling. As we know, the resale value of EVs in India is currently very low, mainly due to lack of demand.
Balloon Scheme
Another step Tata is planning to take to increase its EV market share is the introduction of a new special Balloon Scheme. Designed in collaboration with ICICI Bank, this financing structure aims to align the monthly outflow of an EV buyer with that of an ICE vehicle buyer.
While official details are yet to be confirmed, here's a rough idea of how it works - customers will pay a fixed EMI for up to 59 months (4 years and 11 months), and then a large final "balloon" EMI is paid in the 60th month. That's why it's called the Balloon Scheme. Now, we believe this scheme is what is commonly known as a Buyback, where at the end of the last payment, the automaker buys back the car at a pre-agreed value, quoted to the customer at the time of purchase. This allows customers the chance to own a relatively expensive vehicle for a limited period, while also significantly lowering the EMIs - effectively reducing the impact of the higher upfront cost.
Well, this last point is just an extension of what could be offered, but it seems like Tata is heading in that direction.
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Verdict
Tata, after launching the Harrier EV and revealing its blueprint, is soon going to drop another exciting news, which is definitely a massive one as it has multiple positive effects. First of all, it's great news for existing Nexon and Curvv EV customers, plus the older warranty will be offered at the 2nd registration time. Clearly, Tata wants to solidify and cement its position as the number 1 EV seller in the country while also taking care of the second-hand market. Kudos to the brand.
