As automakers experience slow sales due to high gas prices, Chrysler introduced an incentive on Monday that is sure to appeal to those worried about increasing fuel prices. Chrysler is offering new car buyers a card good for gas purchases that will lock in the price at $2.99 a gallon for three years.
The fuel card is linked to your credit card, so when you go to fuel-up, you only pay $2.99 a gallon, while Chrysler picks up the rest of the tab.
The incentive is part of Chrysler’s month-long program, "Let’s Refuel America". The cards come with most new Chrysler vehicles except the new Dodge Challenger, all SRT performance models, the Jeep Wrangler and a few other niche models.
USA Today reports that the total amount of fuel that can be bought at the locked-in price will be computed on the basis of the new vehicle’s federal miles-per-gallon rating and 12,000 miles of driving a year. The card is good for purchases of 87-octane regular gasoline, E85 gas-ethanol blend or diesel fuel.
So how much money will Chrysler customers save from this incentive? Let’s look at the Chrysler 300 for example. It gets 13/18 MPG. At 12,000 miles traveled per year and 18 miles per gallon, you would use approximately 667 gallons of gas. At $4 a gallon, that would cost you $2,668 to fill the tank for one year. At the new incentive $2.99 price, you would pay only $1,994 for one year’s worth of gas.
In one year, you would save $674. In three years, you would save $2,022.
The offer is good for Jeep, Chrysler and Dodge vehicles purchased through June 2. Chrysler’s fixed fuel price also comes with up to $3,000 in bonus cash, depending on the model.
Will this incentive give Chrysler a leg up on the competition? Don’t be surprised to see other automakers introducing similar gas incentives, as gas prices are one of most consumers’ biggest factors when buying a car now.