Thinking About Buying an Electric Vehicle? Here’s What You Need to Know Before the Federal EV Tax Credit Expires

If you’re considering making the switch to an electric vehicle (EV), now’s the time to plug in — literally and financially. The federal EV tax credit of up to $7,500 is set to expire on September 30, 2025.

Here’s what you should know before the deadline — and how Embold can help you save even more.

What Is the Federal EV Tax Credit?

Right now, qualifying buyers can receive up to $7,500 in federal EV tax credits when purchasing a new electric vehicle, or up to $4,000 for used EVs. These credits reduce your federal tax bill and help lower the total cost of going electric.

To qualify, your vehicle must:

• Be manufactured in North America
• Meet price limits ($55,000 for most cars, $80,000 for SUVs and trucks)
• Be purchased by September 30, 2025

Why Is It Expiring?

The EV tax credits were originally set to last through 2032, but a recent change in federal law moved up the expiration date. After September 30, 2025, these credits will no longer be available.

What Happens After?

After the credits expire, EV buyers will lose access to the $7,500 federal EV tax credt incentive — and vehicles may become more expensive for many buyers. A new federal loan interest deduction may become available, but it won’t deliver the same upfront savings.

How Embold Helps You Save More

We’re proud to support members who choose electric vehicles. In fact, eligible EV, PHEV, and Hybrid vehicles qualify for a 0.25% rate reduction at Embold.¹ Not sure if the car you’re looking at qualifies? Click here to verify! That means even more long-term savings when you finance with us.

Whether you’re shopping for your first EV or upgrading your ride, we make the process fast, local, and easy.

EV Buying Tips

• Make sure the model you’re considering qualifies for the federal credit (check FuelEconomy.gov)
• Consider total ownership cost — charging, maintenance, insurance, and protection products like GAP coverage and Mechanical Repair Coverage (MRC) to safeguard your investment
• Embold can also help finance your EV charger — up to $2,000 can be included in your loan to cover the cost of installing a connector at home
• Start your loan pre-approval early to avoid delays before the deadline

Bottom Line

If you’re even thinking about buying an EV, now is the time to act. Between Embold’s rate discount and the federal tax credit, you could save thousands — but only if you move before the deadline.

Call us at 503.656.0671 to talk about your EV loan options, or apply online now!