What’s the catch with 84 months 0% APR?

[n423]

My SIL got a new Toyota Highlander a few years ago for 0% interest and after a few years paid it off. Just read the fine print and make sure if there are penalties for skipping a month ,etc. The catch might be only those with excellent credit will qualify for 0% interest. Or like mentioned, require you to buy insurance. It's a marketing tool.

 

[OK Corgi Rancher]

We have a VA loan on our house that's at 2.14 percent. I actually enjoy getting cold calls from mortgage companies that tell me they're gonna get me re-fi'd into a better loan and "save me money". I try to waste as much of their time as I can before telling them they gotta beat 2.14%. I'm easily entertained.

 

[Bigdawg90]

Gotchya. Thanks guys. I felt good at the dealership. The guy was super cool and open, I just sat there thinking, how are they making their money. We don’t finance much, and I didn’t expect to buy new. So such a good deal sounded too good to be true.

Never even bought a new car. Always bought older and fixed up, but the used tractor market is ridiculous. Especially any tractor with a loader.

My wife and I have been blessed so I always try to be a good steward of what we have. Looks like I’ll be coming home with a new Kubota pulled by an 02 Duramax. Lol

 

[OK Corgi Rancher]

Congrats! Don't forget pictures.

 

[PanhandleGlocker]

Gotchya. Thanks guys. I felt good at the dealership. The guy was super cool and open, I just sat there thinking, how are they making their money. We don’t finance much, and I didn’t expect to buy new. So such a good deal sounded too good to be true.

Never even bought a new car. Always bought older and fixed up, but the used tractor market is ridiculous. Especially any tractor with a loader.

My wife and I have been blessed so I always try to be a good steward of what we have. Looks like I’ll be coming home with a new Kubota pulled by an 02 Duramax. Lol

Good choice on the Kubota. For smaller tractors I think they are better than John Deere.

 

[rawhide]

Ask Tractor Mike on YouTube has a video addressing your question.

I ran into the same problem trying to find a $5k, then $10k tractor. I ended up spending a lot more, but found a nearly new at a good price and JD financed tractor and equipment for less than 3% and annual payments.

The insurance is very good and cheap, but you have to maintain the financing to keep the insurance.

My experience and advice is to choose the dealer over the brand.

 

[Okie_dave]

Do the new Kubotas use DEF? I have heard bad things about the regen process.

I bought a Kubota L3800 10 years ago on 0%. They make you buy insurance but that's not bad. Paid it off early and still keep insurance on it.

Best investment I made. After this wind storm in Tulsa 3 wks ago. I am REALLY glad I have it. The Grapple has saved my back.

 

[OK Corgi Rancher]

I don't think many small tractors use DEF. A lot of people confuse DEF with a DPF...which is a filter. The regen process just burns the particulates out of the DPF. DEF, the fluid, is injected into the exhaust of a diesel engine to create a chemical reaction that cleans up the exhaust.

There are HP "tiers" where emissions requirements get more restrictive. Over 75hp requires DEF. 25 and under Tier 4 engines already meet the emissions standards so there's no extra emissions equipment. That's why I bought the tractor I did. Even though the regen process is usually pretty transparent to the user it still makes for a far more complicated engine.

 

[OHJEEZE]

I was helping a buddy out that was looking for a tractor, and we was at a Deere dealer.

Salesman at the dealer said that diesel particulate filter costs $6000 to buy a new one!

My buddy made the right choice and bought a 3320 (with the tier 3 engine), package deal for a song from a private seller.

Had like 250 hours on it!
Probably paid half price compared to the current model and included implements!

 

[Pstmstr]

It’s good that you thought about it and looked at the possible problems with the loan. 0% is a way a lot of people get themselves in debt with stuff they can’t afford. Looks like you’ve lived and spent wisely so enjoy it. The only downside I see is the $900 financing charge and missing the $500 cash discount. 5.6 % on a $25000 loan. That is if you would purchase insurance on it either way.