| Frequently Asked Questions |
 |
|
|
|
|
|
This material is intended to provide general information current at the time of first publication. The contents do not constitute legal and/or professional advice and should not be relied upon as such. Formal legal and/or professional advice should be sought in particular matters.
We've taken your most frequently asked questions and provided the answers. We want you to be able to get answers to your questions any time, day or night. Our experienced customer service reps continue to be available to answer your more complex questions.
How can I get a finance quote?
The Special Offers section of this Web site displays credit offers currently available on John Deere equipment.
For a quick no obligation quotation you should contact your local John Deere dealer using the dealer locator.
back to top
How can I tell which finance product will best fit my needs and what are the tax implications?
This will depend on the specific circumstances of your business. Generally speaking you should bear the following points in mind:
- With hire purchase you can claim writing down allowances against any taxable profits, but with finance and operating lease you cannot.
- With finance lease and operating lease the lessor can claim the writing down allowances.
- With a finance lease you cannot own the equipment. However, at the end of the primary rental period you can continue using the equipment and pay a nominal secondary period rental. Alternatively you can arrange to sell the equipment for the lessor and receive a 100% refund of the sales proceeds.
- With hire purchase you can offset the interest element of finance payments against taxable profits. With finance lease and operating lease you can offset the full rental against taxable profits.
- If tight cash flow or minimization of capital employed is critical for your business, consider an operating lease or contract hire option. You only pay for what you use rather than the full cost to acquire the equipment. That means lower payments and no concerns about capital depreciation. The John Deere Credit contract hire option also includes a professional dealer maintenance contract allowing even greater equipment cost control.
back to top
What is the position on VAT with different finance products?
With hire purchase you have to pay the full VAT due on the equipment at the outset. With finance and operating lease options you pay VAT as you go, on each rental.
back to top
Why finance with John Deere Credit?
Point of sale asset financing is a very convenient way to obtain the equipment for your business needs. It also represents a more practical and cost effective way to fund equipment acquisitions than overdraft finance that is really designed to fund working capital purchases such as seeds, fertilizer or sprays.
back to top
How do I apply for financing and how long does an approval normally take?
Your local dealer is able to guide you through a quick and straightforward credit application process once you have selected the equipment and the financing solution that best suits your needs.
Whilst same day credit approvals are possible, we aim to respond within 24 business hours. Often the approval can be quicker than if you approached your own bank, although response times will depend a lot on individual circumstances. For further information please contact us.
back to top
How long should I finance for?
You should seek a finance term that:
- Ensures affordable payments, in relation to the annual cash flow of your business.
- Matches the frequency with which you replace your equipment.
back to top
Can the finance payments be timed to fit my cash flow?
Absolutely. Depending on the deposit you are paying, the nature of your business and it’s cash flow cycle, we can tailor repayments to fit your specific requirements.
back to top
What fees do you charge?
We charge an administration fee of £50+VAT at the outset of the agreement. Unlike some other lenders, we do not charge an option to purchase fee upon completion of a hire purchase agreement.
Additional fees may be applicable where we receive a request to reschedule or otherwise alter the terms of the original finance contract. For further information please contact us.
back to top
Can I settle my finance contract early?
You can settle your contract early; dependant upon the type of agreement you have and the number of months that have lapsed, you may be given a rebate of interest for early settlement. If you are rolling the outstanding financing into a new finance contract for the acquisition of new John Deere equipment, then you may be given additional early settlement rebates. For further information please contact us.
back to top
Can I change the payment profile once the finance has started?
We will consider requests to restructure the repayment profile of your contract if your circumstances change. A rescheduling fee is chargeable. For further information please contact us.
back to top
Is the financing recallable?
Unlike a bank overdraft, which is recallable on demand, as long as you abide by the terms and conditions of your agreement, the financing cannot be recalled.
back to top
Who is responsible for servicing and repairs?
Unless you have a dealer maintenance contract or PowerGard™ repair and servicing plan with your financing, you are responsible for maintaining your equipment in good repair. Operating lease and contract hire contracts define the condition in which you should return equipment at the end of the rental period.
back to top
If I have a question who can help me?
For any questions that you have about the products and services that we provide to help you invest in John Deere equipment you can find a full list of contact options in the customer service section of this Web site.
back to top
|
