Financing/Loans

[McDenny's]

Hello all,
I was wondering what some of the members might have used or could recommend for financing or loans from tractors. I bought my tractor back in March and used equity in my home to make the purchase because the tractor was used. The interest rate is low but sometimes I would like the equipment separate from my home. I was just wondering what other options are out there. I have researched a little but its hard with farm equipment. Let me know your thoughts.



Thanks,
Dennis

[kenmac]

I don't know if this will work for you or not . A friend of mine bought a new tractor with a credit card . Before he got a bill in from the credit card co. , another credit card company sent him a credit card app. in the mail. It stated if he transfered a bal. from another credit card to their's that , they ( the new credit card co. ) would give him 2 yrs at 0 % intrest & this was with no bal transfer fee ! I asked him what he would do if he doesn't pay it off in the 2 yrs & he said he gets those credit card offers in the mail all the time & will just transfer the bal. again.

[dknarnd]

Guess you did not buy at a dealership because if you did they could have gotten you a loan with decent interest rate but only if the tractor you bought is a brand they sell. See if you qualify for a personal loan, but your interest rate for that will be around 11% now days. You could borrow money against your 401K, but that's not good either. Personally I think the equity loan is your best way to go.

[jimmy1]

Originally Posted by dknarnd

Guess you did not buy at a dealership because if you did they could have gotten you a loan with decent interest rate but only if the tractor you bought is a brand they sell. See if you qualify for a personal loan, but your interest rate for that will be around 11% now days. You could borrow money against your 401K, but that's not good either. Personally I think the equity loan is your best way to go.

Agreed. I also think to stay with the equity loan.

[kenmac]

Originally Posted by jimmy1

Agreed. I also think to stay with the equity loan.

I just don't like anything tied to my home.
I guess The home equity loan would let you take a tractor off on taxes being tied to your home. I have never had a equity loan so I don't know how much all the fees would add to the total cost of the purchase but, I guess they would be tax deductable also

[jimmy1]

Originally Posted by kenmac

I just don't like anything tied to my home.
I guess The home equity loan would let you take a tractor off on taxes being tied to your home. I have never had a equity loan so I don't know how much all the fees would add to the total cost of the purchase but, I guess they would be tax deductable also

Yes I know what you mean. The only thing about any other loans is that they are likely more expensive. I quess it all comes down to an individuals comfort level on how to finance things. Good luck, hope you can work it out more to your liking.

[McDenny's]

No, I did not buy from a dealer, if I did I would say it would of costing me thousands more. I purchased the equipment from a gentleman who was retiring. The home equity loan isn't bad, I was just curious what some other members have done. I even looked into lease with $1 buy out at the end, but it is tough with farm equipment. Home equity usually does have the best interest rates. I purchased the following:

- MF 1445 Shuttle Shift 4 x 4 withs Ag's
- QA loader with QA 72" bucket
- 42" 3400lbs pallet forks
- Bradco 509 QA backhoe with hydraulic thumb
- Erskine 78" front mount pto snow blower model 780 - 1FM
- Normand 1920 1.5 ton hydraulic dump trailer
- Fransgaurd 4000 winch with 4 choker chains
- Bush Hog SQ 600R cutter with sheer pin
- LandPride LR2584 rake with casters and blade
- Patu C170 HFS chipper with hydraulic feed rolls
- American 25H splitter with 20gpm pump kit
- Auxiliary valve with 4 rear remotes

The tractor had about 260 hrs on it when I bought it.

[Doc_Bob]

Originally Posted by McDenny's

I purchased the following:

- MF 1445 Shuttle Shift 4 x 4 withs Ag's
- QA loader with QA 72" bucket
- 42" 3400lbs pallet forks
- Bradco 509 QA backhoe with hydraulic thumb
- Erskine 78" front mount pto snow blower model 780 - 1FM
- Normand 1920 1.5 ton hydraulic dump trailer
- Fransgaurd 4000 winch with 4 choker chains
- Bush Hog SQ 600R cutter with sheer pin
- LandPride LR2584 rake with casters and blade
- Patu C170 HFS chipper with hydraulic feed rolls
- American 25H splitter with 20gpm pump kit
- Auxiliary valve with 4 rear remotes

The tractor had about 260 hrs on it when I bought it.

WOW! Awesome.
Bob

[McDenny's]

I just couldnt pass up the deal Bob




Dennis

[plowking]

I got loan for my GC2310TLB thru Agco. It was treated as a loan to my business and not personal, as machine is used as an added feature to my regular business. plowking