Our equipment financing provides financing for the acquisition of your new or used equipment that includes a long-term plan of your current and future needs. If you’re a forestry contractor looking to make upgrades or retrofit your current equipment, our loan can help. We offer loans for purchases such as harvesters, heads, forwarders, and skidders with terms that are competitive with a traditional lender. This loan product is designed to make buying decisions easier and allow clients to take advantage of opportunity buys, such as manufacturer sales or auction events.
The preapproved product is set up and individual draws are then termed out for a period that matches the life expectancy of the individual piece(s) of equipment purchased. The equipment loan eventually ends up as several term loans with scheduled principal and interest payments. No new loan application would be required with the set up of the scheduled term repayment plan. When the authorization is fully-utilized a new application would be required to renew the equipment line.
Our equipment financing will take the pressure off the buying decision and last-minute financing arrangements. The product is designed primarily for existing clients who have real estate mortgages currently in place with the Board, or new clients who are willing to provide the Board with real estate security in addition to the purchased equipment.
The repayment plan will be determined at the time that the draw transitions from a loan to a term equipment loan. The client will have the choice of monthly, semi-annual, or annual payments. The amortization will depend on the life expectancy of the equipment. Normally equipment amortizations wouldn’t exceed 10 years.
Fixed term interest rates may be applicable in certain cases depending on risk rating score and security available.