John Deere Credit will leave the RV dealer floorplan lending business effective Nov. 30, a company spokesman confirmed.
However, Deere Credit will remain involved in the retail financing of RVs, said Gordon Tjelmeland, manager of communications.
Deere Credit began informing RV dealers and manufacturers earlier this month that it would exit the RV wholesale finance business. It will continue administering RV wholesale receivables until Nov. 30, Tjelmeland said.
Neither narrow profit margins nor higher interest rates were behind Deere Credit’s decision to leave RV wholesale lending, he said. Instead, the company decided to “put our resources more in tune with our objective of financing John Deere (farm and construction) equipment and agricultural production financing (purchases of seed and fertilizer by farmers).”
Deere Credit left the leisure marine sector a year-ago, Tjelmeland added.