- 23/01/2025

Electric or traditional: what kind of engine for your new car?

2 min

Warning: borrowing money also costs money.

Are you finding it hard to choose between an electric, hybrid or traditional car? Currently, you’re still free to choose the type of engine that suits you. To make the right choice, you’ll need to consider all the pros and cons, and the costs as well.

What’s the best choice today?

Europe has committed to going 100% electric by 2035. But not everyone is ready right now. Are there enough charging points in your neighbourhood or at your workplace? Can you afford an electric car? What’s the minimum range you need? For many people, a rechargeable hybrid car is a good temporary solution before switching to a 100% electric vehicle. But there are other options.

• A second-hand petrol car can be a good choice. A recent second-hand car in good condition is often cheaper and more environmentally friendly than a new car. And it gives you a bit more time before switching to electric. BNP Paribas Fortis offers attractive interest rates on loans for second-hand vehicles that are less than three years old*.
• If you live in the city, can you do without a car? Bicycles, hoverboards, electric scooters and car-sharing are all sustainable alternatives for more environmentally friendly travel.

Electric is the future

The big advantage of an electric car is that it’s better for the environment. A 100% electric vehicle (EV) doesn’t have a traditional engine and so doesn’t emit any CO2. From 2035, it will no longer be allowed to sell cars with a combustion engine – including hybrids –in the European Union. And from 2030, many cities will be banning diesel cars. Until then, it's up to you to decide when to switch to electric.

How much does an electric car cost?

A "green" car is generally more expensive to buy, but it offers financial benefits too. Taking everything into account, the average monthly cost of an electric car is not always higher than that of a traditional car. The following factors should be considered when assessing the average monthly cost of a car.

• Since 2018, BNP Paribas Fortis has charged lower interest rates on loans for buying new environmentally friendly vehicles*. In line with European standards, these reduced rates have been reserved for vehicles with CO2 emissions of less than 50g/km since 2023. 
  
• Arval’s Private Lease offers many benefits. It’s a leasing agreement that allows you to pay only for the annual use of the car (maintenance, insurance and taxes included). You don't have to worry about any unexpected costs or the resale of the car. The agreement includes a fixed mileage allowance.
  
• AG offers discounts insurance for electric and hybrid vehicles.
  
• Maintenance costs, registration tax and vehicle tax are lower for an electric car.
  
• An electric vehicle depreciates more slowly than a traditional car.
  
• Fuel costs are lower for an electric car, especially if you have your own charging point and solar panels.
  

How do you charge your electric car?

With an electric car, you always need a charging point. However, it's not always easy to park near one. Moreover, the network of public charging points is still relatively small in Belgium, especially outside cities. Ideally, you should have your own charging point. You can include the cost of a charging point in your loan for a new environmentally friendly car* if you buy it at the same time as the vehicle. If you order the charging point later, you can take out an active travel instalment loan*. Since 1 September 2024, tax incentives for individuals installing a charging point in their home have no longer been available.

Range, charging speed and driving experience

The range of an electric car is still quite limited: between 100km and 500km. The charging speed should also be taken into account, and it depends on the model and the charging point. Generally, it varies from 30 minutes (fast charger) to between 5 and 10 hours (normal charger). But overall, these drawbacks are quite manageable. According to a survey of 2,000 Belgians*, the majority of EV drivers are satisfied with the driving experience (75%), range (68%) and charging time (67%).

*Survey conducted by Profacts on behalf of BNP Paribas Fortis

What are the benefits of a rechargeable hybrid?

Cars with a traditional engine are still the most widely used means of transport in our country. But they are destined to disappear from our roads because of changing environmental standards. In the current transition phase to 100% electric, rechargeable hybrids have a lot to offer. You can drive in electric mode and recharge the battery at home using your charging point. And because they have a combustion engine as well, their range is comparable to that of a traditional car. But don't overestimate their environmental benefits. In practice, they emit more CO2 than the official test results indicate. In fact, many drivers don't recharge their car often enough and their range in electric mode is limited. However, you may be able to get a reduced-rate loan* (if the car emits less than 50g of CO2 per km) and a reduction in your insurance premiums if you buy a rechargeable hybrid.

Are you planning to buy a new car? Discounted financing and insurance are available if you opt for an environmentally friendly vehicle.

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Legal information

* Subject to acceptance of your application
Form of credit: instalment loan. The provisions relating to consumer credit as set out in Chapter 1, Title 4, Book VII of the Belgian Code of Economic Law apply. Subject to acceptance of your application by AlphaCredit SA/nv, lender, Montagne du Parc/Warandeberg 8/C, B-1000 Brussels, RPM Brussels, VAT BE0445.781.316. Tied agent: BNP Paribas Fortis SA/nv, Montagne du Parc/Warandeberg 3, B-1000 Brussels – Brussels Register of Companies – VAT BE 0403.199.702.

2. AG Insurance SA/nv – 53 Boulevard Emile Jacqmain, B-1000 Brussels – RPM/RPR Brussels – VAT BE 0404.494.849 – http://www.aginsurance.be/. Accredited insurance company licenced under code number 0079, under the supervision of the National Bank of Belgium, 14 Boulevard de Berlaimont, B-1000 Brussels.

Intermediary: BNP Paribas Fortis SA/nv – 3 Montagne du Parc, B-1000 Brussels – RPM/RPR Brussels – VAT BE 0403.199.702, registered with the FSMA, 12-14 Rue du Congrès, B-1000 Brussels, under code number 025879 and acting as a contractually appointed insurance agent on behalf of AG Insurance SA/nv. BNP Paribas Fortis SA/nv holds a stake of more than 10% in AG Insurance SA/nv.
The Private Lease offer is reserved for individuals who are customers of BNP Paribas Fortis and Fintro Retail Banking. Private Lease is a product offered by Arval Belgium SA, with the involvement of BNP Paribas Fortis SA, Montagne du Parc/Warandeberg 3, 1000 Brussels – RPM Brussels – VAT BE 0403.199.702.

2. A lease will only be offered after acceptance of your application by Arval Belgium SA and will always be subject to Arval Belgium SA’s standard terms and conditions relating to Private Lease.

* Prices are indicative and subject to changes in taxation and in the list prices of vehicles and optional extras, and also depend on the vehicle’s configuration and equipment. The stated monthly lease payment (VAT included) depends on the agreed term of the lease and mileage. The stated monthly lease payment includes maintenance, repairs, an unlimited number of summer tyres for normal use, registration tax, vehicle tax, depreciation, interest, VAT, European assistance, the Perfecta service – under which Arval Belgium SA covers the risk of damage, total loss and theft, although the lessee still bears some risk (fixed sum) in the event of a claim – and insurance** (third-party, legal expenses and driver's physical injury insurance). Not included in the monthly lease payment: fuel and/or charging costs, fines, winter tyres and a replacement vehicle. The winter tyre and replacement vehicle services can be added to your agreement. CO2 emissions are also indicative and subject to the options selected and the data provided by the manufacturer. At the end of the lease, a mileage calculation will be carried out according to the amounts stipulated in the agreement. In the event of early termination of the lease, a termination fee will be charged. No purchase option.

** Third-party, legal expenses and driver's physical injury insurance are included in the lease payment when they are taken out through Arval Belgium SA. However, this insurance cover can be taken out with the insurer of your choice. Third-party insurance is mandatory, while the other types of insurance are optional. The equipment and lead time of the vehicle depend on its availability with the manufacturer or importer and the chosen configuration.

Lessor: Arval Belgium SA, Ikaroslaan 99, 1930 Zaventem – RPM Brussels – VAT BE 0436.781.102, ancillary insurance intermediary, registered with the FSMA under number 047238 A. Subject to acceptance of your application.