0% interest???

Discussion in 'Heavy Equipment & Pavement' started by Construct'O, Nov 9, 2008.

  1. Construct'O

    Construct'O LawnSite Bronze Member
    from Sw Iowa
    Posts: 1,387

    Well guys what do you think? Is the 0% percent interest here to stay or will it disappear with the bailouts and tight money?

    I see some is still going until Dec.31.The 0% interest has been making my discussion on things here lately right or wrong:confused:

    What is your thoughts and how has or will it affect your buying now and later?

    Well off to work winter is on the way here:usflag:
     
  2. AWJ Services

    AWJ Services LawnSite Platinum Member
    from Ga
    Posts: 4,276

    You will see it disappear for a short time.
    Take advantage of it and tax benefits for this fiscal year.
    Cat has 24 months 0% on attachments till the end of the year at my dealer.
    I plan on taking advantage of it .LOL
     
  3. SellingIron

    SellingIron LawnSite Senior Member
    from FTE
    Posts: 661

    Everyone should be 0% for the rest of 2008. Take advantage of Section 179.. I see it going until at least 1st qtr. of 2009. Bobcat has 0% @ 42 on S/N# attachments ($3K and up) and 0% @ 50 months on iron...
     
  4. AWJ Services

    AWJ Services LawnSite Platinum Member
    from Ga
    Posts: 4,276

  5. bobcat_ron

    bobcat_ron LawnSite Fanatic
    Posts: 10,099

    I'm definitely not buying anything new or used regardless of interest rates, it's just to good to be true and you know something is fishy at this time of year.
     
  6. RockSet N' Grade

    RockSet N' Grade LawnSite Silver Member
    Posts: 2,454

    Ive seen 0% interest and given it some thought. If I have signed up jobs and I need the implement for those jobs, I will consider it. I just bought a breaker for skid/ho and paid for 60% of it on two jobs I had lined up. I also balanced that with my taxes and it made bottom line sense for me to purchase.
    The hook I can see in 0% is that hides what the final purchase price really is......is the unit cost more with 0%? or the same? Anything on terms and conditions that prohibit you from shortening the payback time are also a consideration. Profit is packaged in there somehow with 0% being the sales "hook". Read the whole enchilada before being swayed by the promotions.
     
  7. bobcatuser

    bobcatuser LawnSite Senior Member
    Posts: 350

    I don't think the 0% will last much longer. If you have good cash flow buy now, I'm glad I did. All of my new stuff was bought when the Canadian dollar was at par with USD.
     
  8. Gravel Rat

    Gravel Rat LawnSite Fanatic
    Posts: 9,544

    Equipment dealers are no different than car dealers they flash around no payments or 0% for so many months. Get you all excited and roped into a contract then let the skarooing begin. Dealers never want to loose money they will always get you in the end. You not pay much at the start but longer into the deal they will make that money up.

    When ever you want to buy a machine you want everything laid out on the table. Your payments will be xxxxx amount of money per month till the machine is paid for. Your payments shouldn't change you get locked in at a fair interest rate.

    Equipment dealers are going to get really slow and sales are going to drop. For Finnings Canada (cat) they are going to see a huge drop with the Alberta tar sands are starting to slow down. The Tar sands cost too much money to extract the oil from the sand. They can't compete when the price of oil drops because oil from drilled wells is cheaper to produce.

    You will see new equipment prices drop this slow is just started.

    Caterpillar is going to be the worst one hit because they have the higher prices and the bad attitude.

    In my mind its always better to deal with your bank or a broker they won't play any funny games with you. The dealer gets paid outright so they have nothing they can do to squeeze more money out of you.
     
  9. all ferris

    all ferris LawnSite Bronze Member
    Posts: 1,307

    The interest rates might be 0% right now but trade-in values are way low.

    I just talked to the bobcat dealer about trading in my 2002 T200 on a S250. My machine is about as clean as a 1900hr machine can be, has the gold package, new OEM tracks, and had all new rollers and idlers put on about 400 hours ago. Dealer wanted to give me $12,000:dizzy::dizzy: I about fell over when he told me this. I told him to pi$$ up a rope. He must not want my business too bad because his numbers were terrible.
     
  10. SellingIron

    SellingIron LawnSite Senior Member
    from FTE
    Posts: 661


    What did you pay for the T200 new? Also, what kind of sales number did they give you on the S250...:usflag:
     

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