Financing 0% financing

Anonymous Poster · Apr 8, 2003

FYI For anyone contemplating buying through the 0% interest. Kubota charged me $445.23 for insurance for the life of the loan. This is understandable when financing this much cash; however, I just wanted other folks to have this info. I just didn't think of it and it added a bit to the loan. I also wanted to know from other buyers if this was what you paid and if there is cheaper insurance which Kubota would agree too. I asked the dealer but they didn't have an answer. The insurance covers fire, collision, upset, theft, and (other risks?)?.

Anonymous Poster · Apr 8, 2003

Kubota undoubtedly requires the insurance because so many folks do not take out insurance specifically on their tractors and the Kubota finance types need to secure their interest in the loan. For automobiles, insurance is easier to deal with as at least the liability portion is required by laws and it's easy to "insure" that collision and comprehensive coverages are added in favor of the lien-holder--they just tell your carrier to add them on and adjust the coverages if they are not up to the lender's minimum requirements.

If you had the ability to shop for the insurance, that would make it possible for a potentially lower premium. It would be worth someone asking Kubota Finance about that! (Not that there are large numbers of insurers just waiting for your business...)

thcri · Apr 8, 2003

I am sure they have to have some kind of protection. When I bought my TC21D New Holland they asked for my insurance agent and policy number. When I traded my TC21D in before the contract was up they asked again for my TC29D. But I didn't have to put any money out for it. I wonder if Kubota would waive that if you showed proof of insurance?

just snooping in the Kubota Section.

murph

Anonymous Poster · Apr 8, 2003

My Experience... My M4900 w/FEL costs about $180 per year for Kubota Insurance. I got 72 month financing--not the 0%. I called my Homeowner Policy to see about adding it on. They would do it for $300 per year. My understanding from the Dealer that the Kubota Insurance covers almost anything that could happen to the Tractor (guess they want to make sure they get their money).

Didn't bother to call around to other insurance companies. I could probably get a good policy from one of the Farm Outlets in our area.

frank_f15 · Apr 9, 2003

all i had to do was give them a copy of my homeowners ins. and that the machine was covered.

Anonymous Poster · Apr 9, 2003

</font><font color="blue" class="small">( all i had to do was give them a copy of my homeowners ins. and that the machine was covered. )</font>

Same here.

surfran · Apr 9, 2003

I don't know how to link another thread from the forums, so I will just throw in you may want to look at the thread titled "Insurance Help Needed" in the Kubota owning/operating forum. Good discussion on this and shows many differences to policies and what coverage is needed.

Mark_in_NH · Apr 9, 2003

The loan insurance from NH on my TC35D added about $12 a month to my payment. Total is around $900 for the 72 months. My local insurance carrier wanted in the vicinity of $25 per month. or $1,800 for the 72 months. At the time, NH didn't care where or how it was insured, only that it was and with the required coverage..

theboman · Apr 9, 2003

It's a very common thing and most places (banks, GMAC, etc) require the insurance to be sure they get the loaned money paid back.
Would you loan somebody you don't know your brand new tractor? Would you loan somebody $25,000 and have no clue on the person's health?
I bet if Kubota gave you 6% APR, you'd still have to have the insurance policy.