How to Sell tractor that still has balance on loan?

[Sprinklerman]

Ok heres another angle , you have 0% financing for 5 years . Sell the tractor to a private party , take the money and invest it in something with high returns . Keep making the payments . Give the new owner a bill of sale . The tractor is security for your loan , as long as you make the payments , it is a non issue . make provisions if something happens , the tractor is paid off .

 

[TomSeller]

nothing wrong with borrowing from your 401k. You pay yourself back with interest. Also, this would be only a short term loan that you pay off once you sell the tractor.

I think it is a temptation not worth doing. Not everyone has the discipline that you would.

 

[TomSeller]

Ok heres another angle , you have 0% financing for 5 years . Sell the tractor to a private party , take the money and invest it in something with high returns . Keep making the payments . Give the new owner a bill of sale . The tractor is security for your loan , as long as you make the payments , it is a non issue . make provisions if something happens , the tractor is paid off .

Now we're talking. That 0% loan can be a good thing at this point. The penalty is a moot point now.

 

[rbarker]

Ok heres another angle , you have 0% financing for 5 years . Sell the tractor to a private party , take the money and invest it in something with high returns . Keep making the payments . Give the new owner a bill of sale . The tractor is security for your loan , as long as you make the payments , it is a non issue . make provisions if something happens , the tractor is paid off .

The buyer would need his head examined if he agreed to a deal like this. The tractor that you don't own anymore is security for your loan? The buyer depends on you to continue to make payments on the tractor that he bought and paid for so that Kubota doesn't come and repo it? No thanks!

Sent from my iPad using TractorByNet

 

[peterc38]

I think I have the tractor sold. The first two people that looked at it want to buy it and both are ok with the 2 check method. I'm thinking this is the way it will go as I talked to my bank and they would help facilitate. The payoff to Kubota would be wired to Kubota in the presence of the buyer so he would know that the lien had been satisfied. In the bill of sale, this would be documented and I would also release any ownership.

 

[Fallon]

I think I have the tractor sold. The first two people that looked at it want to buy it and both are ok with the 2 check method. I'm thinking this is the way it will go as I talked to my bank and they would help facilitate. The payoff to Kubota would be wired to Kubota in the presence of the buyer so he would know that the lien had been satisfied. In the bill of sale, this would be documented and I would also release any ownership.

Sounds good. It should protect everybody involved.

 

[David Devuono]

Keep a copy too so if you go to the same dealer he will feel comfortable. If Kubota still offers 0 % then I would ask for a cash price vs financing price. Might be better this time to arrange your own loan. Otherwise you really do pay the financing cost, only you pay it all on day one vs arranging your own loan, getting the tractor cheaper, then avoiding a lot of interest making additional payments. (Otherwise I never follow my own advise, too impulsive when buying tractors.

 

[vtsnowedin]

(Otherwise I never follow my own advise, too impulsive when buying tractors.

Ayup! they are like long legged women with come-and get-it smiles,you just can't say no.

 

[peterc38]

Sold the tractor this AM and everything went fine.

Let the new tractor shopping begin in earnest

 

[k0ua]

Sold the tractor this AM and everything went fine.

Let the new tractor shopping begin in earnest

What are you going to get?