[Matt Kulp]

Looking for some feedback from anyone that has offered financing options for clients from a third party? I am not talking credit cards.

We have been approached by GE capital with programs that offer the usual no payment, no interest until January of 09 to all of our customers. They have the minimum amount of finance at $1000 and 4.5% contractor fee. Now I know that the contractor fee is a little higher then what most would pay a credit card company, but it is not unreasonable. I have always said that I would not get into this type of financing options, but it is looking pretty attractive. Reason being, most of our target market are higher income households and have the cash to pay for it up front. That being said, it makes sense to them to hold the money keep it invested and earn interest for a year until they have to pay before interest is accrued. GE always has deals like this going on throughout the year and I have finally had some time to give it more then a minute of thought.

Couple of questions:
Do you feel it would help marketing for projects to have a "hot button" offer like this?

Has anyone had positive or negative experiences with companies such as this?

In your opinion, what would customer perception be with this type of offer?

I have found the topic came up a couple of years ago on hear, but wanted to see if anyone has had a change of heart with the market getting a little softer then in 04.


I am just kicking it around right now. Before I throw it to the management team to pick apart, I was interested in what you guys and gals had to say.