[ceterum_censeo]

Doesn't the credit go to Tesla when it is leased?

[mikeash]

It goes to the bank that handles the lease.

[ceterum_censeo]

I guess that is my confusion, I thought Tesla was originating the lease.

[mikeash]

Tesla sells the car to a bank, and the bank leases it to the customer. For leases done through Tesla directly, Tesla just talks to the bank for you.

[ceterum_censeo]

Sorry, not trying to be difficult, but this doesn't clear things up for me. Are you saying that Tesla does not lease directly to the consumer?

[mikeash]

Yes, that's right. They present it as if it were direct, but they're really just acting as a front for a third-party bank. They don't have their own finance arm.

[ceterum_censeo]

Ok, got it now, thanks.

Any idea why they have to list automotive leasing as a separate line item on their report? If they are selling it to a bank who is then responsible for the lease, why list it separately?