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 Party Girl
Posts: 12293
   
Location: Buffalo, Wyoming | Who does everyone have their LQ's financied with? Do you use a bigger company or a smaller bank in your town?
Trying to do some research and see what my best options would be. |
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Elite Veteran
Posts: 1094
Location: Idahome | I don't have a LQ, but with anything else I have ever dealt with on financing I would stay away from the big banks. They seem to be a pain in the azz to work with. I know it's different, but we are working on buying a new home and the smaller bank here in my town has been so much easier to work with. The gal that is helping us is constantly calling with updates on the interest rates, different programs that would work for us, etc. It seems they care more about YOU and want to help anyway they can. |
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 Tough Patooty
Posts: 2615
Location: Sperry, OK | It probably would depend on how long you needed to finance it for. Your local smaller bank will probably only loan on it like a vehicle (5 yrs or so), but if you finance through the dealer (who they use), you can probably get it stretched out quite a bit longer to get the payment down.. if need be. That would be where I started to look, based on my payment needs. |
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 Veteran
Posts: 260
Location: Oregon | I've had better luck with credit unions rather than larger banks. Check into your employer as well. My mom's company has kindof an internal/employee credit union that she was able to finance hers through with SUPER low interest. I believe mine is actually financed as an "RV" to get a longer loan term, rather than just a horse trailer. |
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 Accident Prone
Posts: 22277
Location: 100 miles from Nowhere, AR | Mine is financed through our locally owned bank. |
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  Friendly horse swapper
Posts: 4122
Location: Buffalo, TX | Horse trailers are considered recreational vehicles in the financial world, so the rules are different than a vehicle....Local banks are easier to deal with and less paperwork, but they don't know much about trailers, so they are scared to finance more than 5 years or so, and on a big LQ, that's a HUGE payment.....for older non-LQ's, or steel trailers, they are a good choice...
We use the big banks like Boulevard, Bank of America, First Internet of Indiana, USAA, Medallion, Marine One, etc...they know trailers and will offer 15 years on LQ's and 10 years on aluminum non LQ's depending on year...over 10 years old and the term drops significantly, and the interest goes up....they have more paperwork....you are a number, not a person....but they are fast and have great terms for average to great credit scores....
Boulevard offers the best interest rates if you have a good credit score and you can get 4.5%-4.95%.....Medallion and Marine One are special lenders if you have credit challenges and will still lend the money for a trailer, but with different tiers of interest rates from 9.9%-18.95% depending on your situation to help you get credit re-established....they are hungry and will even loan to recent bankruptcy customers, but no one with tax liens or back child support gets a loan from anyone....
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 That's White "Man" to You
Posts: 5515
| Look at it this way:
Say you borrow $40,000
Rate should average about 6% based on current market conditions.
5 Year term: Payment: $774 and $6,398.72 in interest
10 Year term: Payment: $445 and $13,289.84 in interest
15 Year term: Payment: 338 and $20,757.69 in interest
So it just depends on how much you really want to pay for the trailer. I would go as short as term as possible.
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Friendly horse swapper
Posts: 4122
Location: Buffalo, TX | Whiteboy - 2014-04-15 2:51 PM Look at it this way:
Say you borrow $40,000
Rate should average about 6% based on current market conditions.
5 Year term: Payment: $774 and $6,398.72 in interest
10 Year term: Payment: $445 and $13,289.84 in interest
15 Year term: Payment: 338 and $20,757.69 in interest
So it just depends on how much you really want to pay for the trailer. I would go as short as term as possible.
Correct!....but most people don't keep a trailer for 10 or 15 years...at least in my experience.....and they consider the payment part of the cost of having horses and being able to haul them around.....plus, if you take good care of the trailer and keep it maintained, it will hold it's value pretty good....
You can't really look at principal plus interest or you'd go nuts....you just look at the payment you can afford and figure it's part of the expense of what you like to do do...if you tried to get these things paid off in 5 years, the average person could never afford to go anywhere and use what you have....that's why they are called RV loans and set up for long term recreational use.... |
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 Veteran
Posts: 275
| We used our local credit union. They offered 2% less than what the banks the dealer was working with could do. Even our salesman was impressed. |
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 Veteran
Posts: 101
Location: would like to be where it does not snow | Southeast financail is really good to work with we have bought two trailers through them. You can find them on Horse Trailer World. |
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Accident Prone
Posts: 22277
Location: 100 miles from Nowhere, AR | Whiteboy - 2014-04-15 2:51 PM Look at it this way:
Say you borrow $40,000
Rate should average about 6% based on current market conditions.
5 Year term: Payment: $774 and $6,398.72 in interest
10 Year term: Payment: $445 and $13,289.84 in interest
15 Year term: Payment: 338 and $20,757.69 in interest
So it just depends on how much you really want to pay for the trailer. I would go as short as term as possible.
Exactly! I budgeted so that with selling the old trailer plus some cash, we only had to finance for 3 years and we got a 3.5% interest rate. I can't bring myself to pay large amounts of interest for something that depreciates. |
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That's White "Man" to You
Posts: 5515
| I have also had lots of customers that "need" to go longer term to be able to afford it. Then several years down the road they are upside down when they want to upgrade the trailer but they are stuck with it. WWDD...What Would Dave (Ramsey) Do? |
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 Living within my means
Posts: 5128
Location: Randolph, Utah | UTAHCANCHASER - 2014-04-15 10:12 AM
Who does everyone have their LQ's financied with? Do you use a bigger company or a smaller bank in your town?
Trying to do some research and see what my best options would be.
I did my trailer through mountain America credit union. They were really easy to work with, even though mine is a living quarter they still did it as an RV loan. |
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 The Original Cyber Bartender
Location: Washington | CASH IS KING.....
did I win a prize Whiteboy?
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Friendly horse swapper
Posts: 4122
Location: Buffalo, TX | Whiteboy - 2014-04-15 3:14 PM I have also had lots of customers that "need" to go longer term to be able to afford it. Then several years down the road they are upside down when they want to upgrade the trailer but they are stuck with it. WWDD...What Would Dave (Ramsey) Do?
I hear ya....there are very few horse people out there that can afford to go short term on a trailer unless thay make good money or are good money managers....and you are right...if they trade within 5 years, they normally don't heve enough equity to come out good on the deal.....
In 10 years of selling and financing trailers, out of the approximate 200 trailers we sell per year, I seriously only encounter about 2 people each year who make huge down payments or finance for under 10 years on ANY aluminum trailer (LQ or not)....We even sell about 80 new steel trailers a year that sell for under $7500 and 95% of those are financed for 5 years....
Moral of the story....my theory is that the majority of horse people want disposable income for gas, entry fees, vet bills, feed, equipment etc. and they don't subscribe to the Dave Ramsey way of life....being debt free to them also means giving up too much of what they love....a double edged sword for sure....we live in a world of instant gratification.....I bet if you do a survey on here, you won't find very many who could budget their horses, trucks, and trailers into the Dave Ramsey program.....don't get me wrong, I like Dave Ramsey a lot....I'm just being realistic....
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That's White "Man" to You
Posts: 5515
| fatchance - 2014-04-15 3:22 PM CASH IS KING.....
did I win a prize Whiteboy?
 You got it!! |
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Friendly horse swapper
Posts: 4122
Location: Buffalo, TX | fatchance - 2014-04-15 3:22 PM CASH IS KING.....
did I win a prize Whiteboy?
It is for me personally.....I pay cash for everything except my rent houses....they are my only debt in life and it's for a reason....passive "cash" flow and all the tax perks of owning real estate.....I do NOT want anyone earning interest for me on trucks or trailers.....cash really is king..... |
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Rad Dork
Posts: 5218
Location: Oklahoma | I'm curious (and sorry if it's hijacking)...
To those of you with LQ trailers.... how long you plan on keeping them? Less than ten years? Less than five? How often do you trade up or trade to get something different? |
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 The Bird Lady
Posts: 6440
Location: The end of the Earth, SE AR | Longneck - 2014-04-15 3:54 PM I'm curious (and sorry if it's hijacking)...
To those of you with LQ trailers.... how long you plan on keeping them? Less than ten years? Less than five? How often do you trade up or trade to get something different?
We bought what we wanted, barely could afford and plan on keeping it til we both die. |
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 Shelter Dog Lover
Posts: 10277
| Longneck - 2014-04-15 3:54 PM I'm curious (and sorry if it's hijacking)...
To those of you with LQ trailers.... how long you plan on keeping them? Less than ten years? Less than five? How often do you trade up or trade to get something different?
Our first trailer was a 4 horse 7 ft LQ, had it 2 years then went to a 6 horse with 10' LQ, hauled it 5 years, girls quit riding, sold it and bought a used 4h 10' LQ. I have had it for 4 years, love it, it was a show demo trailer and has a nice LQ. It should be my last trailer. Paid cash for all the trailers and all are Cimmarons. |
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Expert
Posts: 2531
Location: WI | Longneck - 2014-04-15 3:54 PM I'm curious (and sorry if it's hijacking)...
To those of you with LQ trailers.... how long you plan on keeping them? Less than ten years? Less than five? How often do you trade up or trade to get something different?
I bought my first one 6 years ago and getting the itch for a new one. I owe about $5k less than what I think it is worth. Decisions, decisions... |
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 Expert
Posts: 2457
| Whiteboy - 2014-04-15 3:14 PM
I have also had lots of customers that "need" to go longer term to be able to afford it. Then several years down the road they are upside down when they want to upgrade the trailer but they are stuck with it. WWDD...What Would Dave (Ramsey) Do?
YES!!!!!!!!!!!!!!!!!!!!!!!
(another Dave supporter/follower over here) |
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Accident Prone
Posts: 22277
Location: 100 miles from Nowhere, AR | Longneck - 2014-04-15 3:54 PM I'm curious (and sorry if it's hijacking)...
To those of you with LQ trailers.... how long you plan on keeping them? Less than ten years? Less than five? How often do you trade up or trade to get something different?
I had my last one for 13+ years--bought it new and paid it off in 4 years. I upgraded to a bigger LQ last summer and had to buy a 2006 to get what I needed in an acceptable brand that was in my budget--this one will be paid off in 3 years. I'll keep it until it doesn't meet my needs or the wheels fall off. I don't want a car payment at the same time as a trailer payment; my car is over 5 years old with almost 100,000 miles and I plan to replace it after the trailer is paid off. Hopefully, it will cooperate.  |
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 Elite Veteran
Posts: 1062
Location: Probably On the Road to the Next Barrel Race! | WWDD...what would Dave do...love it, live it. |
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 Money Eating Baggage Owner
Posts: 9586
Location: Phoenix | The day I am able to pay cash for a big item like a horse trailer is the day pigs fly. I just can't see it. I'd LIKE to....but I'm so far away from that! Kudos for hose who can!!! |
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Meanest Teacher!!!
Posts: 8552
Location: sunny california | my truck was paid off so I went to the credit union and got a 1.9% loan on the truck and used that cash to buy a trailer plus had a little left over for fixing it up. |
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 Elite Veteran
Posts: 1053
Location: Arizona | Wells Fargo...they've been great. But yes, cash is best. Save first, then buy. Wish we would have. |
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That's White "Man" to You
Posts: 5515
| azleigh - 2014-04-16 11:37 AM Wells Fargo...they've been great. But yes, cash is best. Save first, then buy. Wish we would have.
Wells Fargo.....BOOOOOOO |
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Tough Patooty
Posts: 2615
Location: Sperry, OK | Whiteboy - 2014-04-16 11:44 AM azleigh - 2014-04-16 11:37 AM Wells Fargo...they've been great. But yes, cash is best. Save first, then buy. Wish we would have. Wells Fargo.....BOOOOOOO
I have my house through them.. and am almost to the same point.. BOOOO! |
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Extreme Veteran
Posts: 596
Location: Somewhere in the middle of nowhere | fatchance - 2014-04-15 2:22 PM CASH IS KING.....
did I win a prize Whiteboy?
This may seem like a dumb question but....we prefer to be debt free IF possible, so if we purchase a trailer for cash, how much difference in the price will that make? |
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Shelter Dog Lover
Posts: 10277
| nmeastplains - 2014-04-16 2:21 PM fatchance - 2014-04-15 2:22 PM CASH IS KING.....
did I win a prize Whiteboy?
This may seem like a dumb question but....we prefer to be debt free IF possible, so if we purchase a trailer for cash, how much difference in the price will that make?
I don't know that it makes that much difference in the purchase price other then the interest saved. |
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 Hot Dispatcher
Posts: 10185
Location: Utah | We financed ours through our credit union as an RV loan. |
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 Expert
Posts: 1561
Location: Texas | Ours is financed through State Farm Bank. Great saved us lots of money when they refinanced |
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Elite Veteran
Posts: 729
Location: south central usa | rodeomom3 - 2014-04-16 3:16 PM
nmeastplains - 2014-04-16 2:21 PM fatchance - 2014-04-15 2:22 PM CASH IS KING.....
did I win a prize Whiteboy?
This may seem like a dumb question but....we prefer to be debt free IF possible, so if we purchase a trailer for cash, how much difference in the price will that make?
If financing throug a dealer...you might be able to bet a lower price on the trailer as the dealer is making money off the financing as well. S simply selling the trailer out right. Kinda like car companies offering rebates if you finance with them. I've taken that bait a couple of times and then refinance 6 months or so later |
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Elite Veteran
Posts: 1034
| Cindy Hamilton - 2014-04-15 3:33 PM
Whiteboy - 2014-04-15 3:14 PM I have also had lots of customers that "need" to go longer term to be able to afford it. Then several years down the road they are upside down when they want to upgrade the trailer but they are stuck with it. WWDD...What Would Dave (Ramsey) Do?
I hear ya....there are very few horse people out there that can afford to go short term on a trailer unless thay make good money or are good money managers....and you are right...if they trade within 5 years, they normally don't heve enough equity to come out good on the deal.....
In 10 years of selling and financing trailers, out of the approximate 200 trailers we sell per year, I seriously only encounter about 2 people each year who make huge down payments or finance for under 10 years on ANY aluminum trailer (LQ or not)....We even sell about 80 new steel trailers a year that sell for under $7500 and 95% of those are financed for 5 years....
Moral of the story....my theory is that the majority of horse people want disposable income for gas, entry fees, vet bills, feed, equipment etc. and they don't subscribe to the Dave Ramsey way of life....being debt free to them also means giving up too much of what they love....a double edged sword for sure....we live in a world of instant gratification.....I bet if you do a survey on here, you won't find very many who could budget their horses, trucks, and trailers into the Dave Ramsey program.....don't get me wrong, I like Dave Ramsey a lot....I'm just being realistic....
And this is why I don't have a LQ. Yet. |
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The Bird Lady
Posts: 6440
Location: The end of the Earth, SE AR | hnhfarms - 2014-04-16 5:29 PM Ours is financed through State Farm Bank. Great saved us lots of money when they refinanced
Can you tell me what % rate you got when you refinanced? If you don't want to post it can you message it to me? Thanks. |
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 Own It and Move On
Location: The edge of no where | Whiteboy - 2014-04-15 3:14 PM I have also had lots of customers that "need" to go longer term to be able to afford it. Then several years down the road they are upside down when they want to upgrade the trailer but they are stuck with it. WWDD...What Would Dave (Ramsey) Do?
Same way with trucks..... The standard term for vehicles is 72 months so that people can afford the pmt....and then they wonder why they're upside down and going into a hole.
No way would I finance a trailer longer than 5 years.
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 More bootie than waist!
Posts: 18425
Location: Riding Crackhead. | azleigh - 2014-04-16 11:37 AM Wells Fargo...they've been great. But yes, cash is best. Save first, then buy. Wish we would have.
I hate Wells Fargo. |
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 Extreme Veteran
Posts: 475
Location: Alabama | HorseMommyFiveO - 2014-04-16 11:36 PM
Cindy Hamilton - 2014-04-15 3:33 PM
Whiteboy - 2014-04-15 3:14 PM I have also had lots of customers that "need" to go longer term to be able to afford it. Then several years down the road they are upside down when they want to upgrade the trailer but they are stuck with it. WWDD...What Would Dave (Ramsey) Do?
I hear ya....there are very few horse people out there that can afford to go short term on a trailer unless thay make good money or are good money managers....and you are right...if they trade within 5 years, they normally don't heve enough equity to come out good on the deal.....
In 10 years of selling and financing trailers, out of the approximate 200 trailers we sell per year, I seriously only encounter about 2 people each year who make huge down payments or finance for under 10 years on ANY aluminum trailer (LQ or not)....We even sell about 80 new steel trailers a year that sell for under $7500 and 95% of those are financed for 5 years....
Moral of the story....my theory is that the majority of horse people want disposable income for gas, entry fees, vet bills, feed, equipment etc. and they don't subscribe to the Dave Ramsey way of life....being debt free to them also means giving up too much of what they love....a double edged sword for sure....we live in a world of instant gratification.....I bet if you do a survey on here, you won't find very many who could budget their horses, trucks, and trailers into the Dave Ramsey program.....don't get me wrong, I like Dave Ramsey a lot....I'm just being realistic....
And this is why I don't have a LQ. Yet.
This line of thinking makes me so sad...
I always tell people I may have to "pee in a bucket", but at least I don't have a payment! I bought what I could afford which included a homemade living quarters, but not bathroom. Hopefully I can afford a bathroom after a few kids get through college.
I used to always think I would have a car payment until we found Dave. We now own 5 vehicles, a horse trailer, an RV & our house. None are shiny & new anymore, but they are ours. |
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Living Quarter Financing