# heavy equipment loan terms



## xtreem3d (Nov 26, 2005)

evening guys,
to any of you who have bought trucks or equipment of something like 50K to $ 100,000 or more...do the terms get extended out more than say a vehicle loan ?
Steve


----------



## Superior L & L (Oct 6, 2006)

I'm not a heavy equipment guy. But a friend of mine has been buying some cat stuff and all his terms have been 60 month at most. His payment on his last excavator was over $3000 a month


----------



## Brian Young (Aug 13, 2005)

xtreem3d;2042310 said:


> evening guys,
> to any of you who have bought trucks or equipment of something like 50K to $ 100,000 or more...do the terms get extended out more than say a vehicle loan ?
> Steve


Nope. In fact I think the max is 60 months for any commercial type equipment, but I could be wrong. I just bought a new truck and it was a 60 month loan because it was used for commercial plowing.


----------



## xtreem3d (Nov 26, 2005)

Thanks guys....looks like buying new is a little out of my price range :crying:


----------



## Superior L & L (Oct 6, 2006)

Typically the manufacturer has great interest rates and even though it's a lot of money, it's cheaper than renting


----------



## JimMarshall (Jan 25, 2013)

Brian Young;2042319 said:


> Nope. In fact I think the max is 60 months for any commercial type equipment, but I could be wrong. I just bought a new truck and it was a 60 month loan because it was used for commercial plowing.


JCB has 0% for 70 months right now. Longest term I have seen.


----------



## Do It All Do It Right (Jan 24, 2005)

Mfg financing terms are usually longer. You can alos lease a machine from the manufacturer after the lease term either buy it or lease another. At that time you could take a used equipment loan and make payments around what your loan payments were. The only thing is you will be paying alot of coin on the financing l, but roll.it into your businesses plan. Some people just lease over and over again.


----------



## rob_cook2001 (Nov 15, 2008)

Most equipment loans are 4 or 5 years.. My bank II finance used equipment through will only go 4 years.


----------



## Derek'sDumpstersInc (Jul 13, 2014)

xtreem3d;2042310 said:


> evening guys,
> to any of you who have bought trucks or equipment of something like 50K to $ 100,000 or more...do the terms get extended out more than say a vehicle loan ?
> Steve


When I financed my truck (2012) through my bank, they set it up on a 66 month loan at 4%. Since you are also in MO, you might give them a try. I bank with UMB. Have been with them since 1989 and love them.


----------



## John_DeereGreen (Jan 2, 2011)

I've seen some commercial equipment loans go out to 72 months, but most stuff is 60. Get ready to swallow some big payments if you want the shiny paint.

We just bought another 244J Deere wheel loader, .9% for 60 months. Most of this stuff it takes at least 10% down to think about, generally closer to 20.


----------



## JD Dave (Mar 20, 2007)

I've never personally done it but have a friend that leased equipment for the first 4 or 5 years then bought out the lease and financed for another 4 or 5 years. It's a way to get you into the game on some high priced equipment.


----------



## grandview (Oct 9, 2005)

JD Dave;2046356 said:


> I've never personally done it but have a friend that leased equipment for the first 4 or 5 years then bought out the lease and financed for another 4 or 5 years. It's a way to get you into the game on some high priced equipment.


No real difference from leasing a car then buying it out. Lower payments at first then bumped up when you get a new loan on the remainder of it.


----------



## xtreem3d (Nov 26, 2005)

John_DeereGreen;2046180 said:


> I've seen some commercial equipment loans go out to 72 months, but most stuff is 60. Get ready to swallow some big payments if you want the shiny paint.
> 
> We just bought another 244J Deere wheel loader, .9% for 60 months. Most of this stuff it takes at least 10% down to think about, generally closer to 20.


Some of the dump trucks I saw were 160,000...gotta haul a lot of rock to make those kinds of payments with 60 month terms.
I am wanting to buy something nicer then what I currently have and I don't make my living driving the truck so I don't need a new one but loan company says it has to be at least a 2005. That probably sounds old to some of you but it puts me into a new price range. ( hoping to get a S/A 7400 already setup for snow).


----------

