That's how I understand it also. How many threads do you see come up where someone is comparing kubota to some 'other' brand. One of the 'pros' that almost always comes up for the Kubota is the 0% financing. Makes me wonder how many they'd sell without it.
Kubota still offering 0 percent financing
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Cahaba Valley Farm
Veteran Member
I'm glad you shared this because I have seen many of these same type of articles and the question I am always left with is how or why would any investor make a $10k investment in a company that they know nothing about and has no track record or history to it?
Very recently I was reading about a company out in Arizona called Enphase. It's a solar panel company that has skyrocketed in value over the last 10 years without much explanation other then a so called battery storage technology that they have supposedly come up with. And an article almost identical to yours was saying that if you had of made a 10k investment in the company 10 years ago it would be worth 25 million today. The problem is who in the hell would have picked an obscure solar panel company out in the middle of the Arizona dessert to make such an investment?? And if they did then why?? In case you haven't noticed, solar panels are not mainstream and I have never seen anyone out in my part of the country buying them. Then add to all this Solendra which went bankrupt...so why would anyone make such an investment?
This is where all this turns into a type of lottery. If you pick the winning stock then you could get rich. The problem is who knows what and where those stocks are going to be. Even with the article you sent me it has Monster at the top of the list. Dude, I have been seeing that brand for years in all the gas stations and they have many competitors in the same market as them such as Red Bull. Why would anyone have invested 10k in a energy drink company in 1995? There was no established market for energy drinks back then. The same is also true for Bitcoin. The few hundred people that bought shares in Bitcoin when it first went public had no clue that it was going to become the speculative circus that it has turned into. It was nothing more then a total crapshoot like pulling a level on a slot machine. There was ZERO investment strategy that went into that. But now the financial media will hold them as some genius investors which they weren't and still are not.
Cahaba Valley Farm
Veteran Member
It is built into the price depending on the term they approve you for.
Torvy
Super Member
I have done the math on many different combinations with Kubota. The cash and credit price difference, when present, still considerably favor using the credit IF you have excellent credit. Straight up, you will pay less with zero percent than you would paying the interest. That is an even better deal if you have the foresight to use safe investments. In reality, the cash 'discount' is just a reduction of the cash penalty to mollify the buyer who insists on cash. If you have less than excellent credit, you may be better off using cash...every lender defines excellent differently, but typically, 800+ scores (average the 3 big credit bureaus) will almost always get you there. I have not investigated Mahindra and based on what arrow says about this own employer, I would guess maybe they have a bigger difference cash vs credit? Even if the discount was exactly the same as the interest saved, you would still be better off with 0% ( again, if you have good credit). Maybe after I retire I will spend the time researching a brand I would never buy.
The deception is not there on the rate. They are up front about the credit worthiness requirements and the cash discount. Things get muddled when people fail to read disclosures and assume they have excellent credit, but do not qualify. My preference would be for them to put the possibility of 0% in the fine print rather than the other way around. That part is marketing and like most marketing, it tries to make any product sound more appealing.
Torvy
Super Member
You missed the point. Monster is just a part of the S&P. When you invest in this type of fund, you get all 500+ stocks, not just one. These span many industries and tend to be among the more stable companies. You are not going to get 35% on the whole fund. This just explains why the fund still makes 10% regularly, even if Disney (or whomever) has a bad stretch. I am with you on investing in individual companies. It can be done, but many are just rolling the dice. It takes a lot of knowledge and work to do it correctly.
Torvy
Super Member
I call it as I see it. You say things that are clearly false and continue to spread that falsehood here and to others. I am giving you the benefit of the doubt that you telling these things comes from a lack of understanding rather than a malicious attempt to smear the competition. Math is easy enough to do. The 0% is still a better deal than paying interest or paying cash (provided you have excellent credit).
As for Mahindra, you should probably report to yourself to Admin as an Advertiser. You have a horse in this race, I don't. I am only slightly more likely to buy Kubota because they are closer to me. Odds are good that I would not buy either.
Advertising expenses are baked into every product everywhere. Calling out your competition for doing so is not appropriate on this forum as you have a vested interest as an employee of their competition. Repeating your company's talking points about the competition as if you are just another tractor enthusiast is wrong. People sometimes complain about EA doing so, but at least they are upfront about their status as an advertiser.
arrow
Super Member
You wouldn't last two seconds on a logging landing and not for any physical prowess you may lack or are endowed with. You are far from "call it as i see it" type individual. Instead you are a "throw it at the window and see what sticks" type of person..
You are incumbent with innuendo and falsehood that is so full of bs that you make up as you go along, simply to give your nonsensical notions credence. I've called no one out and stated quite plainly previously in other threads, that I felt Kubota is one of the best tractor brands. But what else to expect from an individual that continues with deceit and elusive hints of non truths. You would shine as a politician.
The 0% continuum is not about competing rates of interest. It is to get people into the door on a false premise.
Continue to live the 0% lie anyway you wish.
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arrow
Super Member
Funny you should bring up Enphase. There is a facility in Arizona built in the 80's that relies on mirrors. I visited this facility when I had a stint as an energy manager for school systems and municipalities a few years ago. This entails pointing out energy waste and suggesting efficiency in energy product utilization.
At any rate, I felt we were juxtaposed to going the renewable energy route long before all of the election crap filling the airways at the time. Luckily, this direction happened to be solidified when Biden got in. However one feels about that point is not germane here.
It was simply pure logic. Knowing what I know about solar manufacturers and the plethora of companies building panels, I decided to go another route and that was not to invest in solar panel companies per se (especially after the Solindra debacle) but to invest in the company that makes regulatory controls for solar management instead. Weren't too many companies doing this and Enphase had a head start in the field.
It was sort of like not buying stock in the table manufacturers that hold the department store merchandize, but buying stock in the company that makes the brackets that hold the tables together. Everyone was making tables and using the bracket company to put them together.
Based on this, I purchased Enphase when it was $49 per share and have the inclination that a type such as "Torvy", would blame me for insider trading.
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Diggin It
Super Star Member
How many people do that? I'm guessing not enough and if more did, we wouldn't keep seeing these threads.
I laid it all out on a spread sheet. Compared every way I could think of across the three or four models I was looking at.
I even looked at various interest rates available at the time including JD's 0%. Once I saw the variable rate at AgDirect and found out I could qualify, that seemed to be the best for me. It saved money over the life of the term as well as giving me more each month that I could do something else with.
As it turned out, the rate went up a couple of points for a while then dropped to below what it was initially. It stayed low (just over 2%) for most of the term and only recently went back up to around 4 which is where it started. I kept making the same flat payment every month ... about $40-50 over the statement amount and with the interest drop, I was able to pay it off earlier than expected.
In my case, I came out ahead of the 0% rate from JD by quite a bit and I didn't have to pay their prescribed insurance rate on top of the payments.
Like so many other discussions here, there is no one answer that fits everybody. You have to explore options and work out what's best for YOUR situation.
Torvy
Super Member
Glad that you found a deal that worked for you. Variable rates can be risky. If you do them, you need to make sure the changes are infrequent and limited. I would definitely avoid them now given the inflation issue.