Auto equity loan of farm truck?

piaffepony · Jul 5, 2019

Long story short: self employed horse business owner that was unsecured debt free a year ago. Storm severely damaged my property and now I have CC debt again.

I own free and clear a 2012 Dodge 4500 4x4 6.7L Cummins, 12’ flat bed with 39k miles...
It’s worth a little over $30k.

I asked my credit union about doing an auto equity loan but they only do 2013 models or newer.

Anyone have experience doing this? Any recommendations? What’s typically the maximum loan amount and payment terms? My credit is in the 740’s according to credit karma...

Jstpssng · Jul 5, 2019

Find a different bank or Credit Union. Given what you say, you should be able to get an unsecured loan with low interest to pay off the high interest CC. I just looked at my CU's website and based on your post, they would charge 7.9% for what you are asking for.

4570Man · Jul 5, 2019

Did insurance not pay for the building?

piaffepony · Jul 5, 2019

4570Man said:
Did insurance not pay for the building?

They did! But that happened mid March, and it’s July. It’s been raining like crazy most of that time and I had damage to my outdoor arena as well so I haven’t been able to give many lessons... mean while horses still have to eat and bills need to be paid.

Also had to put down most of the insurance money received towards the deposit for the replacement cover and there’s a decent hold back till repairs are complete which doesn’t help when more than one thing needs to be fixed. Ugh.

drssg · Jul 5, 2019

Do you own the horse farm, or do you own a business that is operating out of that farm?

It seems like it would be more typical to get a loan based on real estate equity. I’ve never heard of using a vehicle for a loan, other than the initial purchase.

atsah · Jul 5, 2019

Title loans are common but not a good idea IMO. A credit union should help you I would think..

aczlan · Jul 5, 2019

drssg said:
Do you own the horse farm, or do you own a business that is operating out of that farm?

It seems like it would be more typical to get a loan based on real estate equity. I’ve never heard of using a vehicle for a loan, other than the initial purchase.

This is where an established operating line of credit and a good relationship with a banker can be helpful....

Aaron Z