Financing Fees w/JD 0% Financing?

[425awstojd2320]

HI all, I am looking at financing a new 2320 and the dealer says there is a 2% fee of the amount financed. I have talked to 2-3 dealers that say there is no extra charge to finance but then there have been 2 that say there is a charge. Anyone have any insight?? Thanks.

 

[RickB]

It is likely the dealers who say there is no fee are collecting and pocketing it. Fees of that nature are quite common.

 

[nmu98]

Some of the financing deals will add cost to the tractor or add a percentage of cost to the dealer. Not all of the deals will. Most of the time the longer term deals at zero percent will add 1 or 2% to the cost for the dealer. I do not think that the dealers are not telling you the truth as most dealers do not tell that to the people buying tractors.

 

[Duffster]

The last thing I bought with Deere Credit had a 2% surcharge for the finance special.

That was in '02 though

 

[jenkinsph]

I think you have to consider the bottom line price out the door and the financed amount to make sure you get a deal you can live with. Long term that is what is important.


Steve

 

[thatguy]

I did not have any sort of fee when i financed 2 yrs ago - that I know of.. He could have rolled it into the price for what I know as well..

Brian

 

[ISU DEERE]

I just purchased a 2320 in Feb. 09 and at that time they had the 0% for 48 months and I paid 2% to go with the 0%. That applied to the amount financed. I put some money down and I think it was a couple hundred dollars to use their financing after all said and done. Still cheaper that paying interest for the life of the loan.

 

[Double Orange]

There is NO 2% Fee for finacing thru J.Deere.
I Just purchased a Gator XUV 520i Camo.6/12/09 Thru JDeere and NO Fee!

 

[Duffster]

There is NO 2% Fee for finacing thru J.Deere.
I Just purchased a Gator XUV 520i Camo. Thru JDeere and NO Fee!

They may have just built into the pruchase price

 

[Double Orange]

They may have just built into the pruchase price

Will find out in 1 Hr.
I'm calling the Head Honco Know!

 

[Double Orange]

They may have just built into the pruchase price

Just got off the phone with JDeere Finace .
There is NO 2% Fee!

 

[Uncle Wayne]

I purchased a 4320 this past June 2nd with 0% financing. Each dealer has what JD calls "discretionary money" they can use in their area of service. Most use it to offset the 0% financing fee of up to 3% depending on the length of the financing. At that time JD was offering 0% for 36 or 42 months with a 2% fee and a 3% fee for 48 months.

My dealer said he could only use the discretionary money in the 3 county area JD has specified as "his;" the 3 surrounding counties next to his dealership.

I checked with 5 different JD dealers in my area and each one told me the same thing. The dealers who served my county could (or would) use the discretionary money to offset the fee, those who didn't serve my county could (or would) not.

 

[The Dougster]

Let me see if I understand this correctly... 0% financing is offered but they charge you a 2% fee? I dunno folks but that sounds pretty screwy to me...

It reminds me of a time I was buying an above ground swimming pool... big sign on the wall offering 90-days same as cash.... when I sat down to sign the papers they said I was going to be charged $150 for the convenience... We had a short conversation about that and I got the 90-day deal without paying any kind of fee... Sheesh!

 

[Ivan1547]

Massey had the same thing last year when I bought my 1547.

They had 2 starting prices, one for cash, and the other for the 0% financing.

I went for the cash deal.

Ivan

 

[vic654]

i bought my 3720 in january with the 0% 48 month and dealer didnt charge me any extras for using finance.i got 5 different quotes from different dealers and only one said there would be a difference from cash and finance price.The dealer i bought from had the best price and no charge on finance it was never even mentioned.

From the dealings i had it seemed like the one dealer was just trying to make a few extra $ from me.I read the fine print on the JD finance agreement and did not see any mention of a 2% or any % charge for the use of financing.I think the bottom line is shop around and be aware of who your dealing with.i felt comfotable with dealer i went with and the price they gave didnt hurt either.

 

[two_bit_score]

I purchased a 4320 this past June 2nd with 0% financing. Each dealer has what JD calls "discretionary money" they can use in their area of service. Most use it to offset the 0% financing fee of up to 3% depending on the length of the financing. At that time JD was offering 0% for 36 or 42 months with a 2% fee and a 3% fee for 48 months.

My dealer said he could only use the discretionary money in the 3 county area JD has specified as "his;" the 3 surrounding counties next to his dealership.

I checked with 5 different JD dealers in my area and each one told me the same thing. The dealers who served my county could (or would) use the discretionary money to offset the fee, those who didn't serve my county could (or would) not.

That's why if you go to a dealer to price any tractor or implement the first question they ask is where you live or where the tractor will be delivered.

If you live outside their protected area they can't or won't give you the 'best' price.

I was told that a JD dealer could get in 'trouble' from JD if they violated this 'rule'.

 

[Duffster]

That's why if you go to a dealer to price any tractor or implement the first question they ask is where you live or where the tractor will be delivered.

If you live outside their protected area they can't or won't give you the 'best' price.

I was told that a JD dealer could get in 'trouble' from JD if they violated this 'rule'.

One of my Deere dealers told me that they would have to pay the proper dealer the profit of the sale.

Some of local dealer obide by this and some don't.

 

[nmu98]

Let me see if I understand this correctly... 0% financing is offered but they charge you a 2% fee? I dunno folks but that sounds pretty screwy to me...

It reminds me of a time I was buying an above ground swimming pool... big sign on the wall offering 90-days same as cash.... when I sat down to sign the papers they said I was going to be charged $150 for the convenience... We had a short conversation about that and I got the 90-day deal without paying any kind of fee... Sheesh!

The dealer gets assessed this fee. He might pass it on to you in a higher negotiated price, but this is a fee that the consumer would never see.

 

[425awstojd2320]

Thanks for all the quick replies. I think uncle wayne must have it right because the 3 dealers that said there was no fee were local and the 2 than did were out of my state. I am getting a new 2008 2320 w/200cx loader for $11800 (not including tax and the 2% financing fee and $500 shipping cost), which comes out about $2000 less than my local quotes were, even after paying shipping. I am basically getting a 2320 for the price of a 2305 as far as I see it. Now I just need to find a deal on a mmm. Not sure if I can expect to get the same price for just the mower as compared to when it is priced together w/the tractor and fel. It also seems as though a tooth bar is a necessity for the loader but $300 seems like a lot. Thanks to everyone. This whole board has been great for aiding me in my decision between a x749/2305/2320 and other brands. . My new tractor should be here tomorrow!!!!! Now what to do w/my JD 425aws.....Such difficult decisions.

 

[greenxblue]

I just bought a 3520. Apparently, I must have bought it from the least informed dealer out there. At first, he told me that there was a fee for the 0% financing but said that I could finance at 2.4% for free. He also gave me a price on my tractor and attachments that was well above what they should have been. (He told me it is standard practice for a dealer to make a profit of around $500 per attachment). Unfortunately for me, I had not researched enough with other dealers to see what I should have been charged. Anyway, after already signing the purchase order, I was contacted by a TBN member who gave me the real scoop on what I should have been charged. I went back to my dealer and he "magically" discovered that he had mistakenly forgot to give me nearly $1,000 in discounts. He also "magically" discovered that he could offer the 0% financing to me at no charge. He said that he would have to use a deal offered in a neighboring state but that I could finance through that deal. He also then "magically" offered me an attachment at no cost. He prepared a different purchase order based upon the new deal and tore up the old one.

I am eternally grateful to the TBN member who set me straight. This was my first tractor purchase and, because I went back to the dealer armed with the information that the TBN member gave me, I saved over $2000 when it was all said and done.