Kubota interest rates

nhman · Nov 12, 2002

Thinking of purchasing a new kubota in the next month ors so. Any chance Kubota will lower their interest rates with the recent rate cut? I could hold off for a month or so if the rates were going to drop. Anyone got any info? New Holland has the best rates now; sure hope Kubota matches them or I will go blue instead of orange!

nhman

WoodnSteel · Nov 12, 2002

I asked the same question. I noticed last month that interest rates were locked in until October 31. Then about October 15 or so they dropped and a new date of Dec 31 showed up. So much for being locked in. Of course this was for the better. I believe it dropped 1/2 percent. I calculated my change in cost and for my loan is was about 2 dollars a month. Crazy isn't it how interest rates don't change the equation much. I called my dealer and he of course said nothing would change until Dec 31. He felt they would go up at the new year. Now keep in mind, he is also the one who told me one week prior to Oct 15 when they dropped that the rates would in no way go down any further. So, if I was you and you can hold off, why not gamble, nothing to lose. Of course starting Jan, who knows. Kubota isn't runned by out gov't so I could only guess. I am in the same boat at you, lets hope for a decrease.

JATO_RaT · Nov 13, 2002

What is the difference in interest rates? How much financing are you considering? How long of a period, 36, 48, 60 months? With the help of a financial calculator like Quicken has, I think you can make a much smarter decision. At relatively modest loan amounts and for short periods like 5 years, the difference in monthly payments is often a few dollars. For example, a loan of $15,000 for 5 years at 6% and 4% would have a monthly payment of $289.99 vs $276.25 dollars respectively. Its your call then if that amount of difference in a monthly payment warrants purchasing a different tractor. Personally, I would opt for what I want. Rat...

Alan L. · Nov 13, 2002

Good call Rat. The slight differences in rates between manufactureres should be little incentive for picking one over the other. Just not enough money to worry about.

Anonymous Poster · Nov 15, 2002

Rumor I've heard is that Kubota wants to get aggressive and grow by taking market share from other manufacturers. They already are very good. They should be a tougher competitor with the introduction of new models, attractive financing rates, good prices. I hope so. I'd like a new tractor!

Rick Jay · Nov 15, 2002

nhman,

If you like the blue better than the orange then buy the blue. Vice-a-versa with the orange. Of all the reasons for choosing one brand over another, I would think finance rates would be one of the least important. Comfortable seating position, "feels right", "your favorite color", good dealer, etc. would all rank far above finance rates. If a few dollars a month matters that much to you, then maybe you should get one that is money colored./w3tcompact/icons/smile.gif

That said, I hope that which ever model you want also has the best rates./w3tcompact/icons/smile.gif

Good Luck,

~Rick

gusg · Nov 16, 2002

I wouldn't let the interest rates hold you back. If you go to a payment calculator and look at the difference in payments even a full point makes (e.g., 5% vs. 6%) it isn't that much. For a $15,000 loan for 5 years the difference between the 6% ($290) and the 5% ($283) is only $7. In fact if prices increase for some reason and the rate does go down it may be a wash. I wouldn't let interest rate be that big a factor. Now with a house over 15 or 30 years then that is a discriminator. I would get the tractor now. But of course when it comes to tractors I can't wait for anything. Have fun shopping and let us know what you get!