JD 5100 Interest rate confusion

[rdam]

The JD website only includes financing rates for the 5100 series tractors in agricultural use. The finance pages are confusing to navigate.

If I use a 5 acre plot of land for nothing more than hay or "tree farming", does that constitute "agricultural use" as far as JD is concerned?

I have 3 seperate 5 acre lots. two adjoin, one solo. 2 of the 3 will have residential structures. 1 will be unimproved pasture for........hay or trees if it gets me a good rate. Otherwise it will be 5 acres of close cropped bahia.

 

[F350Lawman]

I think they are pretty loose with the "agricultural" designation that gets you the financing and no state sales tax. You have to sign a paper that is filed with the state for no sales tax in NY.

Here in NY boarding a horse is an agricultural pursuit. It works for me.

Now I suppose an individual could finance a tractor for 'agricultural" use and then voluntarily pay the sales tax so as to stay out of trouble but still get the better % rate. /forums/images/graemlins/wink.gif

You just need to pay the sales tax with your yearly income tax. Hey you were going to open a farm but the deal fell through. /forums/images/graemlins/grin.gif

I don't think JD has the 'agricultural use police", do they? /forums/images/graemlins/smirk.gif

 

[rdam]

Prior to 07-31-03, 5000 series tractors were included in the "general" finace offers. Now, the only place I can find it is under the ag use (farmers and ranchers) section
/forums/images/graemlins/confused.gif
www.deere.com/en_US/jdc/special_offers/ag/5000.html

 

[Dahammer]

This is just a guess, and I could be wrong, although that hasn't happened in a while... /forums/images/graemlins/grin.gif JDeere usually has two financing promotions going on, one for personal use and the other for AG or Ranching. If when you fill out the loan papers for JD (if you dare /forums/images/graemlins/shocked.gif) and your income is from say, working at Walmart, you probably will not qualify for the special rate. If on the other hand you have a couple of years of tax returns showing your profit on your farm or ranch, then you qualify for the special rate. Why this makes a difference I have no clue, but most likely the rate is subsidized somehow for farmers and ranchers, and that is why you have to be "in the business". Note that often the "personal use" rates that are available are maybe a point higher but usually out to 84 months so it really is a non-issue.

 

[rdam]

Moot point. The JD financing website page is updated.

"Offers available August 1, 2003 through October 31, 2003.

Choose one of the following options on all new 5000 TWENTY Series (45- to 65-PTO-hp), 03 Series (44- to 64-PTO-hp), and 05 Series (40- to 48-PTO-hp) Tractors:

0.0% fixed-rate financing up to 36 months
2.9% fixed-rate financing up to 48 months
3.9% fixed-rate financing up to 60 months
4.9% fixed-rate financing up to 72 months "

/forums/images/graemlins/grin.gif

 

[Wannafish]

<font color="blue"> </font> If when you fill out the loan papers for JD (if you dare ) and your income is from say, working at Walmart, you probably will not qualify for the special rate. If on the other hand you have a couple of years of tax returns showing your profit on your farm or ranch, then you qualify for the special rate. <font color="black"> </font>

FYI
So far this year, I have purchased a new JD 4010 cut for personal use as well as a used JD 4020 for the farm we are starting this year. I got the 0% financing on the 4010, and 4.3% on the used. Dealer said the 4.3% is a special rate for farm use on used equipment. I do not have any prior farm tax returns, so, at least in MY case the only "qualifying" I had to do was state the 4020 was for "farm use" in order to receive the special "farm" rate.
I don't know this is the same for every state, but it worked for me. I also checked with my accountant who confirmed the "farm use" tax exemption is fine.

Wishing all of you a safe and prosperous week,