Act Fast: EV Tax Credit Expiring, Save Big & Finance Smart
How to Prepare for the EV Tax Credit Expiring September 30, 2025
The clock is ticking on the federal electric vehicle (EV) tax credit, and soon, significant savings on your next EV could vanish. With the credit expiring September 30, 2025, it’s time to act. Explore how RadiFi can help you seize the savings, and secure low-rate financing before the deadline hits. Explore RadiFi Credit Union’s competitive auto loan rates to see how affordable your EV purchase can be.
How to Maximize Your EV Savings Before the Credit Disappears — and How Our Credit Union Auto Loans Can Get You There
Why September 30, 2025 Is the Critical Deadline
A recent change in federal law has moved up the expiration date for the EV tax credit, ending all eligible credits for new and used electric vehicles on September 30, 2025. Originally slated to last until 2032 under the Inflation Reduction Act, this shift gives buyers a short amount of time to take advantage of thousands in potential savings. If you’ve been thinking about making the switch to an EV, now is the time to make it happen.
How Much You Can Save — and How It Works
- New EVs: Up to $7,500 in federal credit.
- Used EVs: Up to $4,000, or 30% of the sale price — whichever is less.
Since January 1, 2024, buyers have been able to transfer the tax credit directly to the dealer at the point of sale, lowering the price instantly, or they can still choose to claim it later when filing their taxes. You can find full eligibility details on the IRS official EV tax credit page.
Estimate your EV payment with our auto loan calculator to see what your monthly costs could be.
Who Qualifies — and When You Must Take Delivery
To qualify, your income must be within the set limits (based on your modified adjusted gross income), and the vehicle must meet certain criteria, including final assembly in North America and maximum manufacturer’s suggested retail price (MSRP) caps. The DOE’s EV tax credit eligibility list provides an updated database of qualifying models and manufacturers. Remember, eligibility is determined by the year the vehicle is delivered, not when it is purchased — meaning your EV must be delivered by September 30, 2025, to qualify. Get pre-approved for your EV loan today so you can shop with confidence.
Industry Reaction & Market Trends
With the EV tax credit expiring September 30, 2025, many buyers are rushing to place orders before the deadline to secure maximum savings. Popular models are facing longer wait times, and industry analysts expect a final rush to buy followed by a possible slowdown once the credit expires. If you’re shopping now, review the top EV models to consider in 2025 to help narrow your options before inventory tightens.
What’s Next — Alternatives After the Expiration
Once the credit ends, buyers may still be able to save through other incentives. A new federal deduction allows qualifying buyers of domestically assembled vehicles to deduct up to $10,000 in auto loan interest from 2025 through 2028, depending on your tax situation. While this won’t provide the same upfront discount as the tax credit, it’s worth exploring if you plan to purchase after the deadline. Learn more about this alternative in our blog post 2025 Auto Loan Interest Deduction: How to Qualify And Save with RadiFi.
Act Now, Save More
Don’t wait until the last minute—when the EV tax credit expiring September 30, 2025 is gone, so is your chance to combine it with our low-rate financing.
Apply for your EV loan today and drive home your new electric vehicle with confidence — and thousands in savings still in your pocket.
EV Tax Credit Expiring September 30, 2025: Frequently Asked Questions
With the EV tax credit expiring September 30, 2025, many car buyers are asking how to qualify, what vehicles are eligible, and how the credit works. We’ve answered the most common questions below to help you maximize your savings and prepare for your electric vehicle purchase.
Yes. Since January 1, 2024, you can choose to transfer the credit directly to the dealer at the point of sale. This instantly lowers your purchase price instead of waiting to claim it on your tax return.
Estimate your EV payment with our auto loan calculator.
The credit is worth up to $7,500 for qualifying new EVs and up to $4,000 (or 30% of the sale price, whichever is less) for qualifying used EVs. You can review the full details on the IRS official EV tax credit page.
Estimate your EV payment with our auto loan calculator.
Income limits vary depending on filing status:
- Single filers: $150,000
- Head of household: $225,000
- Married filing jointly: $300,000
You can confirm your eligibility on the IRS Clean Vehicle Credit income requirements page.
If you purchase after the deadline, you will no longer be eligible for the federal EV tax credit. However, you may still qualify for other savings, such as the new federal auto loan interest deduction of up to $10,000 for certain domestically assembled vehicles (2025–2028). Explore our auto loan rates to see how affordable financing can help you save even without the credit.