11/18/2024: What Financing Options Are Available for Purchasing New Farm Equipment?

The right farm equipment is essential if you want to grow and be ready for the next step, taking full advantage of your land, the weather, and all the other factors that go into a successful Terre Haute, IN farm. Our farm equipment loans can help.

What Financing Options Are Available for Farm Equipment Loans?

The easiest and fastest financing options are available from us at Prospect Bank. We’re a local lender with a commitment to your needs and success, and we have various equipment loans that have all been structured to meet your cash flow realities. Our long-term financing options are available in Red, Green, Blue, Yellow, and Orange: for simplicity, you just review them, pick the color that matches your farm’s needs and cash flow, and we’ll take care of the rest!

We make certain promises to every farmer we work with:

  • We will always represent your interests
  • We will always ensure you get the highest level of return while maintaining your assets and decreasing your losses
  • We will always keep you abreast of the concepts of soil conservation and the overall maintenance of your farm
  • We will always provide administrative assistance, including accounting, record keeping, and compliance with government programs

 

How Does a Farm Equipment Loan Work?

Farm equipment loans are great because the equipment itself serves as collateral for your loan. You can get a loan for the purchase of any kind of equipment that you need, whether new or used, from tractors and combines to harvesters, dump trucks, and more. Loans are structured in a way similar to a business term loan. You’re borrowing from your lender, and you’re repaying it with interest over a specific period of time, usually somewhere between one year and 10, depending on the type of equipment.

Tips for Getting Your Loan

1. Think Through What You Need

Consider the type of equipment you need, how much it’s going to cost, and how often you’re planning to use it. The more specifics you have nailed down, the easier and faster it is to get a loan.

2. Check Your Credit

While your credit is not as big a deal on these loans because the equipment itself as collateral, it can still get you better terms if it’s good. If you can do anything to improve your credit score in the short term, go ahead and do it.

3. Get a Quote for the Equipment You Need

Once you’ve got an idea of where you stand and what you need, get several specific quotes on the equipment you want. Be sure to compare prices so you can find out where the best deals can be had, and don’t be afraid to consider used equipment.

4. Get Organized

The more organized you are when you apply for a loan, the faster things will go. Get together all the basic information about you and your business, your financial and tax documents, and any quotes and other information about the equipment you want.

Talk to Us in Terre Haute, IN Today

If you’re ready to get the ​equipment you need, get the ball rolling by reaching out to us at Prospect Bank today.