Your car costs you 1100 francs a month

Switzerland is a country of automobiles: there is one car for every two residents. Mobile freedom is essential, but many also depend on a car for work and leisure. Surprising actually considering the cost. A comparison of 22 European countries makes it clear that nowhere to drive is more expensive than in Switzerland. According to the “Car Cost Index 2021” of Leaseplan.com, one of the world’s leading leasing providers, the total operating cost in Germany is 1138 Euros per month, equivalent to about 1100 Francs.

Total cost makes the difference

Therefore, it is important to calculate the total cost for your own car exactly. Because many drivers assume that the costs are too low, as a study by the University of Mannheim and Yale University in the USA shows. Car owners surveyed underestimated the cost of their cars by almost 50 percent.

In addition to the purchase price or monthly rental fee, the total costs should include fuel, depreciation, taxes, insurance and maintenance. Costs included in the monthly flat rate for a Carvolution subscription: additional costs are for fuel or charging current only. For example, the Ford Fiesta ST-Line X is available for as little as 449 francs per month.

As the examples below show, some mistakes and misconceptions persist about the running costs of an automobile.

Misconception 1: “I only have to pay for gas”

Even if you pay for your car in cash, you will have more costs than fuel. That’s because taxes, insurance, and service accrue throughout the year, but they need to be considered. And only if you factor in depreciation and amortization and set that amount aside, you can buy a car in the same price range again when you switch vehicles. Fuel or electricity accounts for 10 to 23 percent of total costs, depending on the type of driving, according to the “Car Cost Index 2021.” However, given the geopolitical situation, spending on gasoline, diesel or electricity can fluctuate greatly. New vehicles have a significantly lower consumption, electric cars are currently the best in terms of energy costs.

With a Carvolution vehicle subscription, all costs other than fuel or charging current are included in the monthly flat rate. Customers receive discounts on fuel or charging current with their Avia fuel card or evpass membership. Thanks to the partnership of MyClimate and Carvolution, emissions can also be offset free of charge if desired.

Myth #2: “My rental car costs me only 199 francs a month”

The rental price in the ad is tempting: owning a car can be very cheap. Various truths are concealed at the same time. The amount of the rental fee depends on the down payment made during the entire rental period, the agreed term and the mileage package. In addition to the leasing fee, there are costs for taxes, insurance, service and maintenance, and tires. Touring Club Switzerland (TCS) recommends multiplying the rental price by 3 to know the actual costs.

All costs excluding fuel are included in the monthly flat price of the Carvolution vehicle subscription. There are no extra costs. The mileage package can be adjusted monthly directly in the Carvolution app. This way, additional mileage costs can be easily excluded.

Myth #3: “After the rental, the car is mine”

This misconception persists: After the lease expires, the car is paid for. Of course that’s not the case. The advantage of leasing is that the capital expenditure is significantly lower than when buying a car, and the tenant does not have to worry about resale or residual value. That’s because the car eventually goes back to the leasing bank – and could possibly be bought as a used car. In most cases, the selling price corresponds to the market value of a used car. Installments were not paid for the car, but only for its use.

A Carvolution car subscription also corresponds to a long-term rental. But subscription is different from rental: insurance, taxes, service, maintenance and tire costs are included in the monthly flat rate. Maturities between 3 and 48 months can be selected. The mileage package can be adjusted monthly. No prepayment required, a one-time order fee of CHF 390 is required for new customers.

Myth #4: “A car subscription is expensive”

“Yes, subscription prices seem a bit high at first glance,” says Léa Miggiano. As one of the founders of Carvolution, he often faces this prejudice. This is because many car owners misjudge the total costs. “As a result, these are often underestimated and our monthly flat rates, which cover everything from insurance to taxes to tires and services, seem expensive,” Miggiano explains.

But as a test by the Comparison portal Comparis shows, the monthly subscription price on Carvolution is still cheaper than on leasing. “A car subscription is often cheaper than renting,” Comparis sums up, the high degree of flexibility making the subscription even more attractive. Automobile expert Ferdinand Dudenhöffer from the CAR Center in Duisburg said: “The car subscription is simple, transparent and inexpensive for the customer.”

Attractive prices thanks to lean processes

Vehicle and equipment selection in Carvolution is limited to around 70 vehicles of different makes and models compared to rental providers. However, Léa Miggiano emphasizes that thanks to lean processes and large volumes at purchase, Carvolution can offer attractive prices, which has an impact on the total cost of subscription cars.

So if you want to drive your own car instead of dealing with costs, purchases and paperwork, you will find the right offer with a car subscription. Vehicle subscription also offers great flexibility thanks to maturities between 3 and 48 months. “A car that you don’t need or doesn’t meet your needs is really expensive,” Miggiano says.

The road to your own car is easy thanks to the subscription offer – with full cost transparency. With Carvolution, everything can be done in one step, from comparing total costs and desired subscription configuration to selling the old car through its subsidiary, Farie.ch.

If you have any questions, the Carvolution team will be happy to assist you via live chat, on 062 531 25 25 or by email at [email protected].