Buying Advice kubota L3560 - 2% upfront financing fee

[mangler]

Even though this may sound like BS, this may be nothing more than the cash price differentual. If he already have you the cash price, then it's been my experience they will tack on 1.5-2% for financed price.

It's really about the bottom line, is that a good financed price, did you shop around? The only thing that stinks here is the 20% cash down. If I am paying for the 0% financing anyway, 0$ ounds like a good cash down, at least if you're credit is godd/very good.

In Ontario, Kubota was 10% down and I walked. Kiotii is doing 0$ down right now, but I already had it agreed to before the offer.

 

[old and tired]

If you have a cash price that's different from the "0%" finance, IT'S NOT 0% FINANCING :mur:

 

[chevy]

Some companies make the dealer contribute to the longer term 0% financing. Some dealers roll the fee into the sales price, some dealers absorb it & others openly pass it on to the buyer.

 

[rScotty]

New Hampshire. I keep reading the notes as well. Over the phone he said it was a 2% upfront charge to get the 84 mo 0% financing deal but on the paperwork he wrote up is is written as DP Fee - $640. I am assuming DP means dealer processing fee now that I'm looking at it more closely.......

What if you need some warranty work done? Is this the kind of dealer you want? You want to feel good about this tractor, a good one lasts most of a lifetime..

With all this going on I'd take some time to think about it. This "deal" doesn't sound like one that is going away. So take a breather.....and while doing that it might be worth looking at some other dealers just to see what's out there.
rScotty

 

[mangler]

If you have a cash price that's different from the "0%" finance, IT'S NOT 0% FINANCING :mur:

The price is the same, but you get a "cash back discount" when you buy with cash or standard financing.

Either way, the 0% financing has a higher cost to the OEM, and that is usually reflected in the offers.

 

[HKUSPnut]

Why didn't they just tell you it was a processing fee? It makes more sense than an upfront % on 0%!! I'm curious to find out which NH Kubota dealer you are working with. Not many to choose from here.

Agreed. I don't want to call the dealership out publicly without giving them a chance to explain a little further. With COVID-19 this whole process has been over the phone. I think that negotiations are far more effective in person, so it's been an interesting experience.

 

[HKUSPnut]

Dealer knew I would be financing from the start. 0% isn't necessary, but I want to put cash down to keep payment reasonable.

 

[HKUSPnut]

What if you need some warranty work done? Is this the kind of dealer you want? You want to feel good about this tractor, a good one lasts most of a lifetime..

With all this going on I'd take some time to think about it. This "deal" doesn't sound like one that is going away. So take a breather.....and while doing that it might be worth looking at some other dealers just to see what's out there.
rScotty

Good advice, thank you for the input.

 

[Peter 315]

Did you get any other prices / quotes ?

 

[HKUSPnut]

Did you get any other prices / quotes ?

Yes, all were very close....... until you add in the 2% financing fee which I don't know if other dealers would have charged. Barlow's was about $1,200 cheaper ($1,800 now with the $640 fee), but I know there is value to buying local and building a relationship with a nearby dealership.