Buying a used tractor that was financed through Kubota Credit

design · Oct 1, 2007

Has anyone purchased a used tractor from someone who financed the tractor? I am looking for advice. What steps should be taken to make sure the tractor is free and clear?

-design

art · Oct 1, 2007

The county court house should have a UCC-1 filed if the tractor is still financed. A UCC-3 is filed when the dept has been paid.

MessickFarmEqu · Oct 2, 2007

you could also just call Kubota and ask.

RonR · Oct 3, 2007

Curious about the county issue; I bought my Bota in another county from the dealer there, so checking my home county, I'm not sure anything would be found. Maybe in the dealer's county???? Unless the dealer or Kubota filed it in my county.

I guess the other thing to look at is my 2003 had a five yr loan, so a buyer could speculate that I've still got a year or so to go. I suppose deals could vary......

ron

66gladiator · Oct 3, 2007

I am pretty sure that UCC forms are filed with the Secretary of State in the purchaser's legal state of residence, at least here in the SE.

Killer_B · Oct 4, 2007

If NH issues titles on tractors, you could ask to see the title. If KC is on it, give the seller a 2 party check to him and KC.

Here in Michigan, there is no such thing as titles on a tractor. I sold my B7610 with two payments left to go, and just paid them as usual. Not sure what they would have done had I not made the payments.

rpoage · Oct 4, 2007

Wow

this brings up a lot of interesting questions on used tractors and EBAY stuff? A UCC filling is a state based security agreement which ensures the filer is the first in line in case of a dispute. I was a manufactures rep for years and often used UCC fillings to secure inventory. When I checked out the Kubota financing there was a $100.00 fee for the UCC filling. I didn't use the financing so I can tell you for a fact that Pa. doesn't have a tractor title or at least I never got one.
I'm sure we will hear of this fraud in the future:
Customer A buys a tractor and/or attachments from Kubota and sells it to customer B without satisfying Kubota. Kubota contacts Customer A for payment and is informed the tractor is gone. Kubota files with the state and located the tractor and repos it leaving customer B to sue customer A. Add a coupe state line crossing in this and you have a real mess.

crazyal · Oct 4, 2007

Killer_B said:
If NH issues titles on tractors, you could ask to see the title. If KC is on it, give the seller a 2 party check to him and KC.

Here in Michigan, there is no such thing as titles on a tractor. I sold my B7610 with two payments left to go, and just paid them as usual. Not sure what they would have done had I not made the payments.

There was a couple a town over that did that with a Bayliner boat. Seams that they bought it with the 0% finace option then sold it to get a interest free loan. The finace company didn't much care for it and the couple didn't much care for the jail cell either.

design · Oct 4, 2007

Customer A buys a tractor and/or attachments from Kubota and sells it to customer B without satisfying Kubota. Kubota contacts Customer A for payment and is informed the tractor is gone. Kubota files with the state and located the tractor and repos it leaving customer B QUOTE said:
.... with out tractor.

This is why I asked the question.

I asked the seller to see a current print out from KCC on the tractor loan and gave him a check made out to KCC for the amount owed on the loan.
I ended up paying the owner cash for the difference between our agreement price and the current loan amount.
Just to make sure the check went out, (I trusted the guy, but this is cheap insurance) I gave him a Fedex envelope from my office that I would be billed for personally.
This extra $20 on my part gave both the prior owner and me a way of tracking the check to KCC. Now to wait on KCC for the payoff notice.

-design

AMR · Oct 9, 2007

The potential for dishonesty appears to be pretty high here. I just traded my BX23 with about 6 payments left for my new B3030. The dealer never even so much as asked me about any balance due for the tractor, I paid the balance off before I received the new tractor and gave him a bank check for the B3030 but on delivery day he just loaded up the BX23 and drove away, he could have driven away with a $3,000 dollar balance owed on the machine and I could have simply claimed it to be part of the deal. I am a pretty simple person, I can imagine the machinations that others might come up with.