The Rural Voice, 1987-04, Page 65RRee1
Manurigation
Rental
Service
MAAPZEIGENT UPC
Walton, Ontario
Toll Free (519 Area)
1-800-265.9682
Hagedorn
DUMP TRAILER
• Rugged structural
steel frame
• 10 gauge floor
and sides
• 10' long X 6'-6" wide
• 42" steel front
• 6" steel sides with
stake pockets for
extensions
• Telescopic front -
mount hoist for
simplicity, economy,
& capacity
• Five ton model with
11L 15 X 8 ply tires
• Seven ton model with
12.5L 16 X 14 ply
• All hose & fittings
included
N E. Hagedorn & Sons Ltd.
PAISLEY
519-353-5240
64 THE RURAL VOICE
MACHINERY
(cont d from page 62)
operating a particular machine a farmer
discovers aspects of that model he does
not like, he can try another type when
the lease comes due.
Usually interest rates on leases are
fixed rather than floating. As a result,
it is easier to budget because the exact
payment is known. But many short-
term finance plans are also at a fixed
rate.
Whether leasing or financing, the
payment still has to be met at a speci-
fic time. Many companies use annual
payments, but depending on the
farm operation, it is often easier to pay
smaller amounts regularly. These
payments are also an advantage to the
dealer. He doesn't have to wait an
entire year to receive payment, and is
aware sooner if a farmer has difficulty
meeting his obligation.
If considering
leasing, a farmer
should question the
types of repairs he
is responsible for.
Some companies allow trade-ins
on leases to reduce payments for the
customer. The leasing of used
equipment is not popular, however,
because there are fewer tax advantages
for the company and older machines
are not always reliable. Leasing new
equipment usually limits repair costs.
When new machinery is leased, the
company rather than the farmer deducts
CCA and the investment tax credit.
If considering leasing, a farmer
should question the types of repairs he
is responsible for. General mainten-
ance is always the responsibility of the
user, but additional repairs may or may
not be. If they are, the possibility of
such costs should be accounted for
when weighing the differences between
buying and leasing. And of course the
lease plans of various companies
should be considered.
"It is necessary for the individual
to work it (the financial and tax
benefits) out for himself to determine
which is better for him," says Bob
Becker. Depending on the number of
payments, interest rates, and the
farmer's financial position, leasing
may or may not prove to be more
beneficial than purchasing.0
IS YOUR
FARM MACHINERY
ADEQUATELY
INSURED?
It should be insured to
80% of its value.
ARE YOU SURE IT IS?
Check with your agent
today.
AGENTS
E.F." Bill" Durst 527-1455
Graeme Craig 887-9381
Robert McNaughton.. 527-1571
Banter & McEwan 524-8376
John Wise 482-3401
Est. 1876
McKILLOP
MUTUAL
INSURANCE
COMPANY
Seaforth
527-0400
GMC
TRUCK
For the best:
—Selection
— Service
— Price
silage
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