Scotiabank Making Eco-Friendly Vehicles more Accessible for Customers in Mexico

Read Scotiabank’s 2016 Corporate Social Responsibility (CSR) report ​

With a population of over 21 million people (and growing), more people than ever rely on cars to move around Mexico City. Due to limited public transportation and jobs spread throughout the city, Mexico’s capital is now the most congested city in the world according to Tom Tom’s 2016 Traffic Index. This congestion is causing great havoc in the city.

Legislative actions

The Mexican Government has worked for decades to mitigate Mexico City’s air pollution problems with legislation. But pollution in Mexico City is a complicated problem. Mexico City lies in a high-altitude area with concentrated air pollution as a result of the number of cars in the city. Additionally, scientists have shown how warming trends harm air quality — especially in Mexico City, where average temperatures are rising. Legislation alone hasn’t been able to solve the problem. In March of 2016, the Mexico City Government declared an emergency due to unsafe ozone levels in the air.

Looking for the silver lining

Aureliano Arturo García Valenzuela, Automotive Credit Director in Scotiabank México, sees an opportunity within this situation: “We have a big problem with pollution, and displacement in Mexico City. So we said, ‘Well, our city has a problem. What can we do to help?’”

That question has inspired the CrediAuto’s Green Credit for eco-friendly vehicles.

Similar to many other regions in the world, the price of a hybrid or electric vehicle in Mexico is higher than a traditional car. However, the price of the vehicle is not the only cost associated with owning a car. Aureliano explains, “We wanted to create in the customer’s mind the idea that it is not that expensive to have a green car — the savings a customer will see in taxes saved and lower gas purchases at the end of 36 months will be higher than what they would save if they bought a gasoline car.”

To offset the difference in the initial cost, CrediAuto’s Green Credit program offers a great deal of benefits to customers who want to buy an eco-friendly car, including a preferential rate and a cash-back “environmentally friendly bonus”. Along with fuel savings and government incentives, the program seeks to make owning an eco-friendly vehicle accessible to more people.

Changing attitudes

Buying a car is a very important financial decision — and many customers are still somewhat wary of buying a hybrid or electric vehicle because of the additional cost. As green technology moves toward mass acceptance, Scotiabank is playing a vital role in this shift toward a greener future — helping reassure customers who are still in the process of deciding what kind of car to buy.

“The future in the automotive industry is going toward electric and hybrid cars. Five or ten years from now, electric cars are not going to be a trend, but the standard. We see a great opportunity here”, says Aureliano.

“So when a customer calls Scotiabank to ask about this credit or about cars, we answer all of their doubts. Whether they go with a gasoline car or electric car, we respect their financial decision.”

“But if they have at least some interest in buying an electric car, we will give them as much information as possible. We will let them know where they can charge their cars and how much electricity they will use if they charge them at home. We really want to make them feel confident that they are making a sound financial decision”, he explains.

Making customers better off

As customer attitudes change, the CrediAuto Green Credit is one of the ways Scotiabank is supporting its belief that every customer has the right to become better off. As Aureliano explains, the green credit is an important way to serve environmentally minded customers. “The customer that is interested in buying this car is interested in living in a better world, in a world that is less polluted — that’s what ‘better off’ means to them. By making these vehicles accessible, I think that we are making life for customers of green cars better every day.”

Read Scotiabank’s 2016 Corporate Social Responsibility (CSR) report