Financing Downpayments with 30mo 0% financing?

Agentiron · Oct 21, 2005

What should I expect to pay as a down payment while getting 0% for 30mo's? I talked to a dealer that was fairly distant and he said 10%, while my local guy expects %20. This is without any knowledge of my credit. I was told a while back by the Kubota dealer that 0% meant nothing down. The price I gof for tractor and loader for the Kioti and loader was $1000 less for the dealer that is only %10 down. I just want to make sure that the local guy is being fair before I spend money with him.

Any thoughts?

Thanks
Jay

KiotiJohn · Oct 21, 2005

In my experience, it depends on your credit. It's a case by case call as far as I know. I do believe 10% is generally a minimum though.
John

Agentiron · Oct 21, 2005

Thanks for replying John!

I guess that seems reasonable. I had it in my mind that 0% ment nothing down, but 10% is not crazy. I was thinking 20% seems high if my credit is outstanding, which it is. The local dealer did not seem to think it would make any difference. My busy season is winding down, so the least I need to pay up front the better.

Thanks
Jay

gamble77 · Oct 22, 2005

Both Kubota & Kioti use AgriCredit for their financing. AgriCredit requires usually around 10% down. Good luck purchasing!

MessickFarmEqu · Oct 22, 2005

Kubota and Kioti might use agri-credt for financing, however they would not dictate the terms that they are offering. Kubota changes no money down at 36/mo - 0% right now.

LarryRB · Oct 22, 2005

Agricredit underwriting Kubota in new news to me. I can see a dealer using Agri if selling a used machine.. Kubota has their own in house financing.,. Why would they use Agri to underwrite it?

Agentiron · Oct 22, 2005

Thanks for the replys fellas, you are great as usual.

Well, I talked to the dealer today, but it was to late to submit the credit app. He sounded a bit more flexible on the down payment issue this time. I wanted to find his bottom dollar and he said with tax, the ck20 and loader would be $14250! I really thought he would come down some, but he would not budge. I can go out of state for a small fee and get the tractor and loader for $12500! I asked about the hoe, and the dealer said he could do it using the power beyond with a 16" bucket and would come in at $6600. He said to go the remote way and it would be $700 extra. The guy out of state said he could get me into the hoe with 16" bucket for $6035 and he could do the remote for $390! I could get a ck30 and bh for nearly the same price as the ck20 and hoe with the remote setup. I am really getting bummed. I want to support the local dealer, and want him there for me, but don't want to feel like I am getting hosed right off the bat.

Any thoughts on my mad rambling?

Thanks
Jay

LarryRB · Oct 22, 2005

I believe most everyone regardless of tractor brand, has gone or is going through what you experience now... For me, it was no big deal to buy 500 miles away. The particular dealer has roving service trucks, that helps in a big way.,. To save near ten thousand dollars on a machine and certain options, vs the almost ten G's more here at home, was an easy choice,, Now the machine I have, has been flawless. If something were to happen, worse case scenario is I wait 1 1/2 to 2 weeks before a repair.... For me, it works well and was well worth the initial savings to take this type of chance... Now that over a year has gone by, I wouldn't hesitate again and again to deal with the same dealer.... think it over, and make a decision which will suite your needs.... What I gather so far is you will save close to a thousand dollars including the backhoe... IS the distance between both dealers worth the thousand or not? Like cars of yesteryear, where they travelled (X) miles and needed tires or something of repair.,. those days are pretty much gone... I feel the same with tractors... I know guys feel and claim, service, service, and more service at a local dealer... I think tractors, regardless of most known brands anyway.,. are becoming like cars... They do perform for the most part with no or minimal problems....

Agentiron · Oct 23, 2005

"What I gather so far is you will save close to a thousand dollars including the backhoe... IS the distance between both dealers worth the thousand or not?

Larry

I believe I would pay $12,500 out of state for the tractor, no sales tax as it is out of state, or 14,250 at the local guy saving 1,750 bucks. The hoe savings would be around 900 more dollars in savings. I would have to pay 150 to 200 in fuel to pick up the machines. So to me it looks like between $2500 and $3000 in savings to have the inconvenience of dealer support.

I do lawncare and landscapeing, and would not think of having a servicing dealer that was not as close as possible as things break down with great frequency, in this area service is vital. As you point out, with a tractor perhaps things will not fail with any regularity, and if they do their imediate repair may not be as critical, at least for me.

There is another dealer with similar pricing at the local guy about 30 miles from me. I suppose I could get parts from them should I need them. I know the local guy will give me the run around if I try to get the machine serviced by him if I do not purchase from him. He made that clear concerning some other types of machines.

The dealer I am considering that is out of state is Little's. I am all for the local guy making a profit, but when you are 15 percent higher, I don't know if I want to reward you for potential service. I am sure Little would do a great job of servicing the units they sell at their reasonable rates.

Thanks for your thoughts
Jay

KiotiJohn · Oct 23, 2005

If you're buying the hoe at the same time as the tractor, even $6,000 is a lot of money for the KB2365. I paid less than $4500 for mine when I bought the TLB in 2004, jan. I know prices have gone up some, but not that much! I would think that hoe purchased with the tractor shouldn't be more than $5,000. That's my take.
John