New Tractor Sales Are Declining

[CloverKnollFarms]

With interest rates going the way they are, I wonder when Kubota will curtail their 0 percent financing?

Depends on how robust sales are…..?

 

[Cahaba Valley Farm]

It was never zero percent but that is a whole another matter entirely.

 

[rScotty]

It was never zero percent but that is a whole another matter entirely.

Never say, "never". Our Kubota was purchased at zero percent, so the program did exist. I have no knowledge about what kind of deals that other people do.
rScotty

 

[jyoutz]

Never say, "never". Our Kubota was purchased at zero percent, so the program did exist. I have no knowledge about what kind of deals that other people do.
rScotty

My Kubota loan in December 2021 was also at 0%. But I believe that the company makes up for these loans by requiring KTAC insurance on financed units.

 

[Cahaba Valley Farm]

I have a question for you guys, do you believe in free shipping?

 

[Hay Dude]

I have a question for you guys, do you believe in free shipping?

You have to believe theres a “free lunch” if you believe in free shipping & 0% (free) financing.

 

[2manyrocks]

Kubota still had the 0 interest program when I purchased in April, 2022. I got the last L2501 that my dealer had in stock. Other dealers said they didn't have them in stock or that they were selling out quickly. It didn't make sense to me at the time that Kubota would be offering 0 interest when they apparently couldn't keep up with demand. Am I misunderstanding their 0 interest program? Is it really a money maker for them?

 

[ovrszd]

Never say, "never". Our Kubota was purchased at zero percent, so the program did exist. I have no knowledge about what kind of deals that other people do.
rScotty

His point, which I believe, is that the finance charge was written into the markup of the product.

No Corporation is going to lend you money free.

 

[ovrszd]

Kubota still had the 0 interest program when I purchased in April, 2022. I got the last L2501 that my dealer had in stock. Other dealers said they didn't have them in stock or that they were selling out quickly. It didn't make sense to me at the time that Kubota would be offering 0 interest when they apparently couldn't keep up with demand. Am I misunderstanding their 0 interest program? Is it really a money maker for them?

Yes.

 

[jyoutz]

His point, which I believe, is that the finance charge was written into the markup of the product.

No Corporation is going to lend you money free.

I think the finance charge is hidden in the required KTAC insurance. The cash discount isn’t very much, so Kubota can’t hide too much in the purchase price. Unless the cash buyers are subsidizing the people who finance?