Access ID:
Pay Online Button

CD Rates

Despite 'Dieselgate,' consumers not yet likely to flock to electric vehicles

Posted on Wednesday, November 11, 2015 at 4:32:00 PM

Volkswagen's recent diesel emissions scandal has had an impact on the company's sales. However, will the company's issues turn consumers off from diesel vehicles in general?

The Cheat Sheet recently speculated that Volkwagen's scandal may drive consumers to purchase electric vehicles, as the plug-in variety of automobile grows more popular and the diesel situation continues to cast the German car company in an unfortunate light. However, Christine Dikdan, assistant vice president of auto lending services from Home Loan Investment Bank doesn't think the scandal will sway car buyers all that much, at least in terms of diesel automobiles in general.

"In my opinion, this too shall pass," she said.

Dikdan explained that while "Dieselgate" is certainly "terrible," it is not the first time that the automobile industry has been caught being "less than truthful." She cited a friend of hers as saying, "if it bleeds it leads," but only until something new and sensational comes along to take its place.

"The major consideration for going electric versus clean diesel or plain gasoline will probably have to do more with price point end game for the consumer," Dikdan explained. "How much is this vehicle going to cost me and what is the monthly payment if financing. Also a consideration is what type of vehicles the car manufacturers produce. Green is certainly a good way to roll and better for the environment, however it is pricey. Keep in mind electricity is not free. In my opinion we will see the costs for that on the rise with increased demand."