What is the Biggest Source of Ag Equipment Loans?

Earlier this year, Ag Equipment Intelligence surveyed U.S. and Canadian farm equipment dealers on their major sources for equipment loans. Overall, 61% of dealers reported that customer loans for purchasing equipment came from their manufacturers. But the percentage varied widely depending on the brand of equipment.

For example, John Deere dealers say 78% of loans made to their customers for equipment purchases originate with John Deere credit services. On the other hand, Kubota and New Holland dealers reported only 60% of equipment loans for their customers came from their manufacturers’ loan divisions.

About two-thirds of the equipment loans for Case IH equipment originate with CNH Industrial credit, and AGCO dealers indicate that more than 60% of the equipment loans for equipment they sell originated through AGCO credit facilities.

Sources of Ag Equipment Loans