Kubota still offering 0 percent financing

[WVH1977]

I am just going to brutally honest about financing and myself in general. First off, I am guilty/dumb/stupid/got to have it now/good credit/don't save enough category. I have never followed my grandparents/great aunts/uncles way of doing business or advice. They did not finance everything they owned. They SAVED their money. They also had money and did not make anywhere near the same amount of money yearly that I do or make splurge/got to have it now purchases.

I really want a new bigger/better tractor some kind of bad. I have a good salary and could go to any dealer and finance what I want today and come home with a new machine. I have great credit. However, I would be stuck with a 600 dollar a month payment for 6/7/8 years. I am FINALLY learning to be patient and try and save my money instead of financing something I really cannot afford. That is the secret, "financing is for buying things we actually cannot AFFORD". I know some folks can afford and finance anyway to save form dipping into savings but then that money is not being invested or saved.

I am the sucker for 0 % financing. I am the sucker for 2.9% financing new vehicle. I have wasted thousands on loans buying vehicles/boats/etc. All because I had to have it now. The other problem with our current generation. We don't want to wait and save for 5 years then buy whatever outright. Gotta have it now. Then, 3 years in, your like man 600 dollars every stinking month and still have 4 years to go. Then something like your AC breaks and you need 4 grand to fix. That 600 a month saved would have paid for that. Go get another loan. Folks might not admit it on here but I am sure a lot of us have had those big monthly payments and after a couple of years wished it would go away. I know personally I am working now to try and get out of owning the bank/lender/credit union money all the time. We are beholden to the financial companies. I am the sucker for 0%. I also know I can go to the credit union and get whatever loan I need. I AM ADDICTED TO BORROWING MONEY that is not mine!!! It is there to bring you in the door and buy the shiny new thing you really probably don't have to have and should not finance anyway. This is my truth on the matter of financing.

 

[hiddentacocatneddih]

Financing has allowed prices to inflate to ridiculous levels. just look truck prices. They keep making longer terms to allow manufacturers to raise pricing.

 

[jyoutz]

I am just going to brutally honest about financing and myself in general. First off, I am guilty/dumb/stupid/got to have it now/good credit/don't save enough category. I have never followed my grandparents/great aunts/uncles way of doing business or advice. They did not finance everything they owned. They SAVED their money. They also had money and did not make anywhere near the same amount of money yearly that I do or make splurge/got to have it now purchases.

I really want a new bigger/better tractor some kind of bad. I have a good salary and could go to any dealer and finance what I want today and come home with a new machine. I have great credit. However, I would be stuck with a 600 dollar a month payment for 6/7/8 years. I am FINALLY learning to be patient and try and save my money instead of financing something I really cannot afford. That is the secret, "financing is for buying things we actually cannot AFFORD". I know some folks can afford and finance anyway to save form dipping into savings but then that money is not being invested or saved.

I am the sucker for 0 % financing. I am the sucker for 2.9% financing new vehicle. I have wasted thousands on loans buying vehicles/boats/etc. All because I had to have it now. The other problem with our current generation. We don't want to wait and save for 5 years then buy whatever outright. Gotta have it now. Then, 3 years in, your like man 600 dollars every stinking month and still have 4 years to go. Then something like your AC breaks and you need 4 grand to fix. That 600 a month saved would have paid for that. Go get another loan. Folks might not admit it on here but I am sure a lot of us have had those big monthly payments and after a couple of years wished it would go away. I know personally I am working now to try and get out of owning the bank/lender/credit union money all the time. We are beholden to the financial companies. I am the sucker for 0%. I also know I can go to the credit union and get whatever loan I need. I AM ADDICTED TO BORROWING MONEY that is not mine!!! It is there to bring you in the door and buy the shiny new thing you really probably don't have to have and should not finance anyway. This is my truth on the matter of financing.

There is a lot of wisdom in your advice, but there are lots of differing circumstances. There is nothing wrong with low interest loans as long as the monthly cash flow provides adequate funds to cover the financing, savings, and other expenses. Pulling funds from higher earning investments to pay cash really isn’t a great strategy if lower interest is available.

 

[Torvy]

I know some folks can afford and finance anyway to save form dipping into savings but then that money is not being invested or saved.

The error here is that large enough amounts of cash to pay for new tractors or cars should be invested. Taking out a low/no interest loan allows those investments to keep earning money.

The problem is not the loans, it is with the poor use of assets and what you said about not being patient. I guess I learned those lessons in my late teens/early 20s. Made some dumb mistakes because I was impatient.

Another dumb mistake people make is buying the label/status. Wearing an Izod instead of the store brand polo. See the same thing here. People want a tractor that other people will instantly recognize and assume they got the best. Maybe yes, maybe no, but those dollars could be put to use elsewhere and grow.

 

[rScotty]

I am just going to brutally honest about financing and myself in general. First off, I am guilty/dumb/stupid/got to have it now/good credit/don't save enough category. I have never followed my grandparents/great aunts/uncles way of doing business or advice. They did not finance everything they owned. They SAVED their money. They also had money and did not make anywhere near the same amount of money yearly that I do or make splurge/got to have it now purchases.

SNIP

That's right, but circumstances were different.

I'm from that generation - maybe a little bit older than your grands and greats. I'm getting onto yur great grandparents age now....and let me tell you that getting old is weird.

For one thing there were a lot less people in your grandparent's generation. Food, clothing and housing was a lot less expensive - I'm figuring that by how much of a paycheck each staple item consumed. So the grandparents were able to save and pay off a starter house in 5 or 10 years, a car in 2 or 3. That's a huge advantage.

And they fixed or patched stuff. Pre-TV and internet gave people a lot more spare time. Reading is cheap, but so is doing maintenance and repairs on the house you own as a sort of half entertainment and half way of life. "Ka-ching" goes the cash box as another (silver) half dollar is saved..... and as tiresome to hear about it as it is, they really did do a lot of things they boast on now. Things that many people pay to have done now.

Flying for vacation? Walking to work? AIR CONDITIONING!! AC hadn't been invented yet for my generation. Teenagers worked the fields and and played sports in south Texas in the hot summertime. It wasn't a hardship; it was fun. Summer was sweaty, but we couldn't miss what hadn't been invented - except that we missed out on having to pay for it.

Don't beat yourself up too much. Us grandparents weren't saints. The world really was different. Simpler and more friencly. Your generation has a lot more choices as well as a whole lot more challenges & expenses.

To me it looks like credit is a free ride to funville. Yes, I saved and did well - but if I was your generation I would be maxing out the credit cards in all directions. Why not?
Go for it! Have fun! Enjoy!
and be kind.

rScotty

 

[WVH1977]

I'm from that generation - maybe a little bit older than your grands and greats. I'm getting onto yur great grandparents age now....and let me tell you that getting old is weird.

If you are in your in your hundreds you are definitely an old man. LOL. All my grands are passed on. I really miss that older generation. They knew things and took care of business. I am really fortunate to have been around them for as long as I was. Learned a lot from them. Just took me a few decades for it to sink in.

 

[PreacherM]

I am just going to brutally honest about financing and myself in general. First off, I am guilty/dumb/stupid/got to have it now/good credit/don't save enough category. I have never followed my grandparents/great aunts/uncles way of doing business or advice. They did not finance everything they owned. They SAVED their money. They also had money and did not make anywhere near the same amount of money yearly that I do or make splurge/got to have it now purchases.

I really want a new bigger/better tractor some kind of bad. I have a good salary and could go to any dealer and finance what I want today and come home with a new machine. I have great credit. However, I would be stuck with a 600 dollar a month payment for 6/7/8 years. I am FINALLY learning to be patient and try and save my money instead of financing something I really cannot afford. That is the secret, "financing is for buying things we actually cannot AFFORD". I know some folks can afford and finance anyway to save form dipping into savings but then that money is not being invested or saved.

I am the sucker for 0 % financing. I am the sucker for 2.9% financing new vehicle. I have wasted thousands on loans buying vehicles/boats/etc. All because I had to have it now. The other problem with our current generation. We don't want to wait and save for 5 years then buy whatever outright. Gotta have it now. Then, 3 years in, your like man 600 dollars every stinking month and still have 4 years to go. Then something like your AC breaks and you need 4 grand to fix. That 600 a month saved would have paid for that. Go get another loan. Folks might not admit it on here but I am sure a lot of us have had those big monthly payments and after a couple of years wished it would go away. I know personally I am working now to try and get out of owning the bank/lender/credit union money all the time. We are beholden to the financial companies. I am the sucker for 0%. I also know I can go to the credit union and get whatever loan I need. I AM ADDICTED TO BORROWING MONEY that is not mine!!! It is there to bring you in the door and buy the shiny new thing you really probably don't have to have and should not finance anyway. This is my truth on the matter of financing.

You are choosing a wise path. Keep it up!

Financing has allowed prices to inflate to ridiculous levels. just look truck prices. They keep making longer terms to allow manufacturers to raise pricing.

Exactly. Far too many people only look at the montly payment cost. Getting the heated and cooled leather is only a couple dozen bucks a month, so it's considered a cheap luxury. They forget to multiply by 72, 84 or whatever the number of payments.

There is nothing wrong with low interest loans as long as the monthly cash flow provides adequate funds to cover the financing, savings, and other expenses.

So what happens when the economy takes a dip or you suddenly lose that large salary?

 

[jyoutz]

You are choosing a wise path. Keep it up!

Exactly. Far too many people only look at the montly payment cost. Getting the heated and cooled leather is only a couple dozen bucks a month, so it's considered a cheap luxury. They forget to multiply by 72, 84 or whatever the number of payments.

So what happens when the economy takes a dip or you suddenly lose that large salary?

I still have my cash investments that have grown. And diversified so some is invested risk free.

 

[PreacherM]

I still have my cash investments that have grown. And diversified so some is invested risk free.

Then you are working the system to your advantage. I'll wager that not many Americans under the age of 40 are managing their money that way.

 

[jyoutz]

Then you are working the system to your advantage. I'll wager that not many Americans under the age of 40 are managing their money that way.

I would never pay cash if I could finance at a lower rate than I can make investing the cash