Equipment Finance Options
Now you can finance Cummins Allison equipment with flexible terms through a standard finance program.
- Leverage long lease terms -- up to 60 months
- Combine equipment and maintenance agreements into a single payment.
- Tax incentives may be available
Rates are competitive and the process is easy. Decisions for lease applications of less than $75,000 take less than two hours. Applications for more than $75,000 are returned in 24 hours.
Frequently Asked Questions
Q: What is the interest rate in this finance agreement?
A: Since you are financing and not taking out a bank loan for your purchase, there is no "interest rate" as we usually think of one. It's more like financing office space. You're paying to rent the equipment, with the monthly payment amount based on the type of financing plan you choose, the terms of the agreement and the cost of the equipment.
Q: Why am I required to insure my financed equipment?
A: Since the financed equipment is owned by the finance company, there must be assurance that if the equipment is destroyed or stolen, the finance agreement will be paid off from the proceeds of the insurance policy. Most commercial policies cover financed equipment; all you need to do is have your insurance agent forward evidence of proper insurance showing the finance company as a Loss Payee.
Q: What are the tax benefits associated with financing?
A: As a lessee, you may be able to deduct the monthly finance payment as a business expense on your tax returns. You should seek specific advice from your accountant. In addition, you may be eligible to deduct the full amount (as much as $500,000) without paying the full amount this year.
- The deduction limit for Section 179 is now $500,000. If you buy (or finance) a piece of equipment, you can deduct the full purchase price (up to $500,000) from your gross income.
- The 2013 Section 179 deduction threshold for total amount of equipment that can be purchased is now $2,000,000. This means you can purchase more equipment and still have the benefit of the Section 179 deduction.
- 50% bonus depreciation has been extended to tax year 2013. For equipment purchases over the Section 179 deduction of $500,000, you can deduct an additional 50 percent of the overage in addition to their standard depreciation deduction (for new equipment only).
Questions about the finance process?
Email Marlin Equipment Finance or call 856-505-4244.