Kubota still offering 0 percent financing

[rScotty]

I don’t know how the US ever returns to manufacturing of cheap consumer goods; high end manufacturing yes. I can give some examples of great US products I own that will never be economically feasible as a mass product: I buy Whites boots (completely US made) for $500. I own several Pendleton wool shirts at $125 each. This is the cost of US made goods. I love these products and am proud to continue to support these companies, but I think they will always be a niche market. The US cannot compete in the mass market with affordable prices.

I hope you are right. I would be glad to be able to buy superior quality US products and understand that they are going to cost more.
But the ones I have now - shirts and shoes and tools and machines - were are built in an older version of this country. I'm not sure we have the ability or the will to match that sort of product quality.
rScotty

 

[2manyrocks]

Covid had the effect of reducing supply while the stimulus payments dumped a lot of money into the economy. More money chasing fewer goods=inflation.

As an abstract statement, low interest rates do not create inflation if the rates are simply a reflection of market forces. However, if low interest rates are artificially set low by the central bank, it's effectively another form of stimulus leading to more money chasing fewer goods=inflation.

Some of the real estate price increases are due to market forces, but so much of it is due to the central bank throwing money at the economy since 2008.

Here's the rub. There's a limit to how long and how much of this they can pull off before market forces overtake them. Along comes something they can't control like high gas prices and then they're like the Wizard of Oz when Toto pulled the curtain back.

 

[jyoutz]

I hope you are right. I would be glad to be able to buy superior quality US products and understand that they are going to cost more.
But the ones I have now - shirts and shoes and tools and machines - were are built in an older version of this country. I'm not sure we have the ability or the will to match that sort of product quality.
rScotty

There are still many high quality US products such as those I named. But they aren’t cheap.

 

[jyoutz]

Covid had the effect of reducing supply while the stimulus payments dumped a lot of money into the economy. More money chasing fewer goods=inflation.

As an abstract statement, low interest rates do not create inflation if the rates are simply a reflection of market forces. However, if low interest rates are artificially set low by the central bank, it's effectively another form of stimulus leading to more money chasing fewer goods=inflation.

Some of the real estate price increases are due to market forces, but so much of it is due to the central bank throwing money at the economy since 2008.

Here's the rub. There's a limit to how long and how much of this they can pull off before market forces overtake them. Along comes something they can't control like high gas prices and then they're like the Wizard of Oz when Toto pulled the curtain back.

There’s no doubt that fixed rate, sub 3% mortgages have increased home valuations. And these rates were pretty easy to find until recently.

 

[DonaldP]

Financing had caused inflation of vehicles. If financing went away over night, prices would come to reality.

Isn't that the bare truth!!!!

 

[DonaldP]

I totally agree with Hay Dude. I/we watched as asia became our candy maker. I saw the gigantic ships up close loaded with all the neat plastic for us to enjoy. Myself being no exception. But always in the back of my mind that little voice saying ‘something is wrong with America’. Wal mart and the likes found their sweet spot without regard for their own. Money talks and BS stands watching…

Dare i say i am on the side that believes it was a normal election…but again - probably way off topic.

Randy

Randy ,

Yes, we should all "DARE TO SAY IT!!! "

This is reality. People expressing their beliefs and not being treated as less than viable citizens for expressing that.

It seems that everyone (both the left and the right) is full tilt on getting everyone onto their side of the boat... all at the risk of sinking!

It used to be there was real discussion and debate to support one's premise on everything from farming to right to life or right to choice.

Today it's not that way.

It seems that if you aren't mounting a confederate flag to the bed of your truck and driving through town waving a loaded pistol out the window along with a copy of your 2nd amendment rights and then breaking into the capitol building to "express" your dissatisfaction with an election,

OR,

If you're not burning down police stations and asking for dismantling the police force by actively breaking windows and burning cars on the streets all while expressing that babies can be aborted at 8 months and 25 days because they aren't to be considered a human life until they take their first breath...

Well I think everyone should get the point. We are being forced to reside on one side of the ship or the other and that's not necessarily how this country or our ideals (as individuals or as a country) was built to move forward.

I appreciate your viewpoints...
We should appreciate all viewpoints.

 

[DonaldP]

Randy ,

Yes, we should all "DARE TO SAY IT!!! "

This is reality. People expressing their beliefs and not being treated as less than viable citizens for expressing that.

It seems that everyone (both the left and the right) is full tilt on getting everyone onto their side of the boat... all at the risk of sinking!

It used to be there was real discussion and debate to support one's premise on everything from farming to right to life or right to choice.

Today it's not that way.

It seems that if you aren't mounting a confederate flag to the bed of your truck and driving through town waving a loaded pistol out the window along with a copy of your 2nd amendment rights and then breaking into the capitol building to "express" your dissatisfaction with an election,

OR,

If you're not burning down police stations and asking for dismantling the police force by actively breaking windows and burning cars on the streets all while expressing that babies can be aborted at 8 months and 25 days because they aren't to be considered a human life until they take their first breath...

Well I think everyone should get the point. We are being forced to reside on one side of the ship or the other and that's not necessarily how this country or our ideals (as individuals or as a country) was built to move forward.

I appreciate your viewpoints...
We should appreciate all viewpoints.

I remember when newscasters would leave the commentary to the people that walked in the shoes of the specific issue being discussed. I think Walter Cronkite and David Brinkley were on the air. Yes, there were no color TV's back then ... it's true!

They would have real guests comment on the state of current affairs, not fill the airwaves with themselves spouting truths or falsehoods or half truths or half falsehoods. That was the real deal.

Today all the major news shows spout their own garbage which is like having a 5 year old tell us that eating candy for dinner is better than a full square meal.

Or many that even pad their lineup of guests to include 90% that are for their viewpoint and a 10% guest that's only put there to appear as if they are giving the other side some commentary time. In reality they are there to be ridiculed and cut off (and they're paid handsomely to take that abuse in front of us!).

Look at infowars... or most of the far right or far left channels on the tv or the radio. Who listens to them? Certainly not those that disagree!! So who are they preaching to? Well of course it's the choir!!! He he he . They aren't saying anything that makes a difference to those they would like to compel to move to their side, because they aren't listening!. It's just insane ....

 

[2manyrocks]

The lack of journalism today is demonstrated by the absence of questions that one would normally ask. It is further demonstrated by one website after another repeating the same story lacking in any real substance. It's pretty sad when foreign newspapers have more informative content on US news than US newspapers.

 

[arrow]

I think where Kubota makes up for the 0% finanacing is the requirement to buy KTAC insurance. It’s good insurance, but not cheap. And the odds are always with the insurance company.

They make up the zero percent with upticking the msrp which nowadays should just be called mrp.

 

[jyoutz]

They make up the zero percent with upticking the msrp which nowadays should just be called mrp.

Yeah, but it’s the same price for cash (or a very small difference), so no incentive to buy with cash.

 

[arrow]

Yeah, but it’s the same price for cash (or a very small difference), so no incentive to buy with cash.

Exactly. Otherwise It would present the "zero percent" as the scam that it is. In reality, it is "captive" financing.
What if I didn't want to finance and pay $3000 less for the tractor? I and others simply do not have that choice with "0"%.
Everyone is doing it because it is a rather ingenious marketing ploy.

 

[Hay Dude]

I don’t know how the US ever returns to manufacturing of cheap consumer goods; high end manufacturing yes. I can give some examples of great US products I own that will never be economically feasible as a mass product: I buy Whites boots (completely US made) for $500. I own several Pendleton wool shirts at $125 each. This is the cost of US made goods. I love these products and am proud to continue to support these companies, but I think they will always be a niche market. The US cannot compete in the mass market with affordable prices.

Whew mr big spender! Govy payin big bucks!
The reason they can no longer compete is extremely high union wages, excessive regulations and for a long time high corp taxes.

 

[Lineman North Florida]

Yeah, but it’s the same price for cash (or a very small difference), so no incentive to buy with cash.

I just purchased a Kubota skid steer and after we negotiated the price the salesman told me if I qualified I could get 0% financing for up to 48 months so after running my credit he said I was good if I wanted to finance thru them, at that point I asked him what if I wanted to pay cash what could they do? He didn't bat an eye and told me $2700 more off the price on the model that I ordered, so not a lot but every little bit helps.

 

[Hay Dude]

I just purchased a Kubota skid steer and after we negotiated the price the salesman told me if I qualified I could get 0% financing for up to 48 months so after running my credit he said I was good if I wanted to finance thru them, at that point I asked him what if I wanted to pay cash what could they do? He didn't bat an eye and told me $2700 more off the price on the model that I ordered, so not a lot but every little bit helps.

Just goes to show that the $2700 is the financing cost. Probably even higher since that was his first offer to you. Who knows, he might have gone to $4000.

So if you take $2700/48 thats approximately $56/month.

 

[jyoutz]

I just purchased a Kubota skid steer and after we negotiated the price the salesman told me if I qualified I could get 0% financing for up to 48 months so after running my credit he said I was good if I wanted to finance thru them, at that point I asked him what if I wanted to pay cash what could they do? He didn't bat an eye and told me $2700 more off the price on the model that I ordered, so not a lot but every little bit helps.

That seems to be a local dealer thing. I had quotes from dealers in TX, NM, and CO. One said no price difference, one offered $500, one said $650. I took the 0%.

 

[jyoutz]

Whew mr big spender! Govy payin big bucks!
The reason they can no longer compete is extremely high union wages, excessive regulations and for a long time high corp taxes.

My personal troll is back. Where have you been? None of those companies whose high quality goods I quoted are unionized, nor are shoemakers and clothing makers highly regulated. You’re just doing your typical political anti-government thing. The facts are that the cost of living, housing, etc… in this country require something better than $10/hour wages to survive. And most consumers will not pay those prices for US made goods. People like myself who use those products for our work see the value in those quality goods, but they aren’t mass market and the US isn’t going to see mass manufacturing of consumer goods again.

 

[rScotty]

I just purchased a Kubota skid steer and after we negotiated the price the salesman told me if I qualified I could get 0% financing for up to 48 months so after running my credit he said I was good if I wanted to finance thru them, at that point I asked him what if I wanted to pay cash what could they do? He didn't bat an eye and told me $2700 more off the price on the model that I ordered, so not a lot but every little bit helps.

Good for you. I wonder where the truth is on these prices and financing? Lots of guessing going on, but little real knowledge is my guess.

Many years ago I worked doing sales and busting wrenches for an importer who was a real shark. He was an importer, East & west coast distributor, AND a retail dealer (motorcycles) with several satellite shops. From that job I got a pretty good education in how manufactured goods traveled to the US.

It is still just amazing to me how little actual money is represented by a mass produced item like a motorcycle or tractor. Especially one manufactured in western Europe and delivered still crated to a loading dock in the middle of the USA. At that point it has already been sold at least 3 times although it is still unassembled and unviewed as an ID # in a shipping crate.

I grew up cutting wheat for farmers whose world-view started at the implement dealer & stopped when their mortgaged grain was weighed into the local Coop elevators. You could see the entire world from the platform of the combine (no cabs in those days) Later I harvested for extended family farms in North Dakota who not only owned all the local elevators, they also owned the land, and local tractor & implement companies, and were also involved in shipping. For there, who knows?

Certainly not me. All I know is that new tractors today seem affordable & used ones are amazing.
rScotty

 

[rScotty]

My personal troll is back. Where have you been? None of those companies whose high quality goods I quoted are unionized, nor are shoemakers and clothing makers highly regulated. You’re just doing your typical political anti-government thing. The facts are that the cost of living, housing, etc… in this country require something better than $10/hour wages to survive. And most consumers will not pay those prices for US made goods. People like myself who use those products for our work see the value in those quality goods, but they aren’t mass market and the US isn’t going to see mass manufacturing of consumer goods again.

Up with small business! I just hope we have retained enough craftsmanship and technical knowledge to be successful with small high-quality manufacturing.
I'm afraid it takes more than a single generation's "want to do".
rScotty

 

[jyoutz]

Up with small business! I just hope we have retained enough craftsmanship and technical knowledge to be successful with small high-quality manufacturing.
I'm afraid it takes more than a single generation's "want to do".
rScotty

I actually took a factory tour at Whites Boots one day. Yes craftsmanship is still alive. I saw both sides of the factory: new and repairs/rebuilding. On both sides there were craftsmen at benches hand cutting and sewing leather and hand lasting the boots. The only machines I saw were sewing machines and a few buffing wheels. That is old school craftsmanship and why the boots fit and wear so well. They will also personally measure your feet and create a custom fit record for you. There are plenty of examples of this type of small manufacturing craftsmanship in this country, but the cost assures that these will remain small niche businesses.

 

[Lineman North Florida]

That seems to be a local dealer thing. I had quotes from dealers in TX, NM, and CO. One said no price difference, one offered $500, one said $650. I took the 0%.

No sir this came straight off the Kubota web site, I had already done my homework before I went in and knew what the current programs were, but mind you this was on construction equipment/ skid steers, I just wanted to see if the salesman was going to be straight with me and he was, so he has a new customer.