Can you trade-in tractors that are financed?

[RollingsFarms]

I was having a conversation with a friend the other day and he was wanting to upgrade his tractor to a larger model. He asked me if I knew if dealers took in trades that were financed, I told him I didn't have a clue. I guess it would depend on the dealer and if the tractor was financed through the make of tractor they sold? For example, say he bought a brand new Kubota from the local dealer that sold Kubotas and he financed it through Kubota Credit, could he trade it back in to the same dealer and upgrade? I didn't want to tell him yes or no because I didn't have any idea, I did say that I doubt tractor dealerships worked that way because tractors aren't titled like cars. I did tell him to talk to a dealer and maybe he could put it on his lot for sale and pay so much to the dealer that sold it, but again, with the tractor being financed that could be a no-go too. I figured someone on here had to have been in a similar situation and could give advise, or maybe a dealer could explain how they do trade-ins that are/aren't financed.

 

[murphy1244]

I was having a conversation with a friend the other day and he was wanting to upgrade his tractor to a larger model. He asked me if I knew if dealers took in trades that were financed, I told him I didn't have a clue. I guess it would depend on the dealer and if the tractor was financed through the make of tractor they sold? For example, say he bought a brand new Kubota from the local dealer that sold Kubotas and he financed it through Kubota Credit, could he trade it back in to the same dealer and upgrade? I didn't want to tell him yes or no because I didn't have any idea, I did say that I doubt tractor dealerships worked that way because tractors aren't titled like cars. I did tell him to talk to a dealer and maybe he could put it on his lot for sale and pay so much to the dealer that sold it, but again, with the tractor being financed that could be a no-go too. I figured someone on here had to have been in a similar situation and could give advise, or maybe a dealer could explain how they do trade-ins that are/aren't financed.

I'm sure you can. Just need to know the final pay out would be. People trade in stuff all the time.

 

[Luke'sScreenName]

I think it's very common. Especially if it's say kubota financed at a kubota dealer.

 

[RollingsFarms]

I think it's very common. Especially if it's say kubota financed at a kubota dealer.

I thought so but wasn't 100% sure so I didn't want to say. I just had never heard anyone on here mention doing so.

 

[streamin]

Yea the bad thing is about no titles is you can sell the tractor without disclosing that, privately but not sure about a dealer. had some financial problems long time ago and did that. took me another year or so to pay off a tractor I didn't have. Not recommended!

 

[RollingsFarms]

Yea the bad thing is about no titles is you can sell the tractor without disclosing that, privately but not sure about a dealer. had some financial problems long time ago and did that. took me another year or so to pay off a tractor I didn't have. Not recommended!

So you traded in a tractor that you had financed or you just sold it to the dealer and they offered you less than what you owed on it? I told him he should sell it on Craigslist but since he still owed on it I wasn't sure how many serious buyers he'd get.

 

[streamin]

I sold it out right, I think on craig's list as a matter of fact. I didn't tell the buyer I owed on it(kubota credit)...that's not the way I do things but I was in a desperate situation and I knew I could at least make the payments to pay it off later.

 

[jcbGM]

Yea the bad thing is about no titles is you can sell the tractor without disclosing that, privately but not sure about a dealer. had some financial problems long time ago and did that. took me another year or so to pay off a tractor I didn't have. Not recommended!

Although not a title, there is a Uniform Commercial Code (UCC) filed against your tractor to indicate a the lenders interest in your tractor. You can pay for access to this information (most larger dealers do).

 

[CDennyRun]

I sold my last tractor on CL, and still owed on it. It's very simple.. Pay the tractor off with your financial institution whether it's Kubota, CNHI, or your local bank, and finance your new tractor with whoever you choose. It should be a clean and free deal. I don't see how it could get complicated if you pay one bank off, and finance through the same or different bank.

EDIT: Trading tractors in with a dealer is extremely common. I've never talked to a dealer that wouldn't give me a price on a trade-in. Just expect to take a bigger hit. You're better off selling it private party. You could save literally thousands.

Chris

 

[Tractor Seabee]

Dealers I know around here do not take trades on small stuff; only large farm/construction type equipment. They will try to sell for you on consignment. Do not expect them to push your used item as they are in the business of selling their new stuff. Not like cars where used
is a separate profit center for the dealer.

Ron