IBM dangles new financing incentives

IBM Corp. Monday announced new financing options for its midsize and large customers.

Big Blue is offering a 90-day deferral of financing payments – zero down, zero payments and zero interest until 2003. The company also is touting lower financing terms, including rates as low as 4.2 per cent on certain hardware products and as low as 3.1 per cent for software such as WebSphere and DB2.

The intent is to help companies acquire the gear they need while keeping cash flow in check, IBM says.

“Many companies today are faced with the challenge of needing to upgrade and expand their technology infrastructure, while at the same time they must manage to constrain capital budgets,” said Catherine Manion, general manager of IBM Global Financing, in a statement. “The combination of our ‘triple-zero’ and low-rate financing offerings will help our customers effectively address this challenge.”

In addition to lowering interest rates, IBM has reduced the minimum transaction amount to be financed to US$25,000. IBM’s low-rate financing offerings are available now for qualified customers in Canada, the U.S. and select countries in Latin America.