Contact Payment

He’s alive!

Joseph Moore's avatarYard Sale of the Mind

In finance, the concept is that you may want to give people zero payments for, say, the initial 6 months, as an enticement to take on more debt, or over the winter if it’s equipment that requires decent weather to be useful. But if what you’re financing is portable, you don’t want to find out in month 7 that it has wandered off never to be seen again. So, it’s common for the financing of trucks, construction equipment, and other high value and mobile assets to structure the financing with almost zero payments. That $100 payment check is a ‘contact payments’ to let the finance company know the people with the equipment are still there.

Consider this a contact payment. I’m still here!

A. You may heard we’re having a little wildfire trouble out here in California.

Why yes, yes we are.

Confluence of forces: Very hot, dry weather for…

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Author: Foxfier

Former sailor, current geek, conservative, mother and practicing Catholic. Refugee from the Seattle blob. (No, we DIDN'T vote for those taxes!) Elf is my husband, our kids are Princess, Duchess, Baron, Empress, Chief, the Contessa, and the 7th Son.

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