Thoughts on financing

[Sparky Prep]

What if you don't need a 2nd mortgage, don't have a job, and don't have monthly payment.... still finance it?

I would say "yes". Simply because you can MAKE money on that cash in the time it would take to pay it off.

 

[GreensvilleJay]

re: What if you don't need a 2nd mortgage, don't have a job, and don't have monthly payment.... still finance it?
I fit all 3 of those conditions and I paid cash... Prefer to OWN outright everything from the getgo.

 

[fried1765]

I have.enough cash in the bank to buy 5 of these tractors. So no, there is no financial liability. If I were to lose my job, I would just pay off the tractor, and then decide if it would be financially advantageous to sell the tractor for possibly more than I bought it for.

Fortunately, your $ situation seems solid.
What Jay is pointing out is that if economic conditions should go sour, a tractor payment could possibly spiral into a major issue,..... for some.
Jay did pick a worst case scenario,...... but not an impossible scenario.

 

[dirtydeed]

Just to set the record straight, you do not need to have KTAC insurance when using Kubota financing. You just need to have the machine insured. Kubota credit will require all that insurance information prior to approving the Kubota credit application.

I did not elect to get KTAC on the excavator purchase using Kubota credit. The KTAC insurance was better that 4X the cost of adding the additional equipment coverage to my business policy. Yes, I may regret that decision some day but I wasn't about to pay the KTAC premium on top of an already inflated equipment price.

As far as 0% financing. I bought a new BX23 in 2006 with that very same credit offer. It's been around for a very long time.