Financing confused about kubota financing

[LBrown59]

This just changed for Oct 1st actually. Kubota tractors and landpride implements can be financed at the promo rates, any other implements can be rolled in but you'll pay a more standard financing rate (8%-10%) for that piece. Its possible that a creative dealer can fit a low cost implement in the deal without blending the rates, but its not easy and the dollar amount will be very limited.

A change for the worst I might add.
The new offer is the same as the old offer except they reduced the rebate amount.

 

[Ed_C]

While 0% is good, doesn't Kubota require insurance on the machine before financing? How much does insurance add to the deal?

 

[TalonDancer]

While 0% is good, doesn't Kubota require insurance on the machine before financing? How much does insurance add to the deal?

Yes. Kubota does require insurance. In my case, the insurance amounted to roughly 2.6% of the total price, paid out over 36 months.

Of course the required insurance does reduce the absolute value of the $0 down 0% deal. But it also provides some value of its own, since I'm are pretty much guaranteed to have a fully working tractor for the first 3 yrs. even if I do something stupid

Talon Dancer

 

[LBrown59]

While 0% is good,
1*doesn't Kubota require insurance on the machine before financing?
2* How much does insurance add to the deal?

1*So if I finance somewhere else and pay interest I don't have to buy insurance?
2*Nothing

 

[LBrown59]

1*Of course the required insurance does reduce the absolute value of the $0 down 0% deal.
2*In my case, the insurance amounted to roughly 2.6% of the total price, paid out over 36 months.
3*Yes. Kubota does require insurance.
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Talon Dancer

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1*No it don't
2*So if you would have financed elsewhere and paid interest on that loan there would not have been any insurance premium rite.
3* So who doesn't require insurance???????

 

[LBrown59]

am getting ready to buy a bx, but am not sure if i read the finance deal properly? will have approximately 50% in cash. will i be able to get the 0% for 36 months on the remainder? thanks for your time and attention-shrekbelly

Yes but i would pay nothing down and earn money on kubotas dollars.

 

[LBrown59]

Subtract your down payment from the out the door price and divide the remaining balance by 36. If you can afford that payment, or more, for 36 months you're good to go. Really important to pay it off by the time the deal ends because if you don't, you'll have to pay all the accumulated interest. If it were me, I'd pay it off in 34-35 months just to be safe. They may ask for a smaller monthly payment, but that'll leave you with a big balloon payment at the end.

I paid the BX23 off 2 days early.
I could have paid it off any time ,but i wanted to earn all I could on their money.

 

[TalonDancer]

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1*No it don't
2*So if you would have financed elsewhere and paid interest on that loan there would not have been any insurance premium rite.
3* So who doesn't require insurance???????

The insurance Kubota requires reduced the value of the $0 down 0% Kubota financing for me because...

If I hadn't financed with Kubota, I would have paid cash and self-insured the tractor and all the implements. The only reason I financed was to take advantage of Kubota's cash and leaving mine earning dividends and interest

FWIW I have a simple rule -- With the exception of houses and cars, I self insure. If I can't afford to replace it, then I don't buy it.

Talon Dancer

 

[LBrown59]

1*If I hadn't financed with Kubota, I would have paid cash and self-insured the tractor and all the implements.
2*The only reason I financed was to take advantage of Kubota's cash and leaving mine earning dividends and interest
3*FWIW I have a simple rule -- With the exception of houses and cars, I self insure. If I can't afford to replace it, then I don't buy it.
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1*Most folks aren't in that position and if it weren't for the o% financing they would be paying 7 to 10% interest and the same insurance premium on top of that.
I never pay cash when I'm earning more on the money than I pay in finance charges even if the interest is 7 to 10 percent.
The sweet thing about the zero percent is I get to hold onto more of my return.
I'll borrow 10 dollar bills all day long and pay them back at 15 dollars each when I'm getting 25 bucks apiece out of them.
2* That's what I did on my BX23.
Investments can also fund the financing and insurance if desired.
3*Not everybody can do that or if they did they couldn't have or own much.
Although the BX 23 is now paid off I did not run out and cancel the insurance.
The way I look at it I paid for 3 years to protect Kubota and now it's nice to know if something happens to the tractor I'm the one that gets the money.
I protected Kubota for 3 years so now I deserve the same.

 

[dieselmadman]

Most of the time, if you are a homeowner your homeowner's insurance is sufficient for Kubota financing. The insurance payment to Kubota would have been around $11 a month for me over 36 months and I just thought that was money out the window. I provided my homeowner's insurance policy and that was good enough for Kubota. What's interesting is that if anything happens to it while on my property or if I destroy something using it while on my property or if it is stolen on my property it is all covered. Even if I am towing it on a trailer and I have an accident, my auto insurance will cover it. The only way it is not covered is if I have problems using it while NOT on my property(s). So, if you plan on using it on the road, you may want the Kubota insurance, which pretty much covers the machine no matter where it is...And I agree with everyone else, ALWAYS grab 0 percent when available, it is free money. What I was wondering at the time I bought mine was whether or not the dealers were jacking the prices up to make up for the financing, but I saw no evidence of that. When I asked my dealer if I could get it for any less if I paid cash, he said "no way." Not how the deal works...