Can You Trade in a Financed Car?

Many Nederland drivers are aware of trading in vehicles at dealerships to purchase a new vehicle. You may know your car is not paid off entirely and are unsure if a trade is feasible. Can you trade in a financed car? How do you trade in a car you still owe?

You can trade in a financed car even if the financing is not paid off. How does trading in a financed car work? To learn how to trade in a car that is not paid off, follow this advice courtesy of Classic Chevrolet Beaumont.

How Does Trading in a Financed Car Work?

We’ve determined you can trade in a financed car. How does trading in a financed car work? Here are the steps you can take to trade in a financed car around Vidor:

• Find out how much you still owe on the vehicle: Consult your monthly payment statements for this information
• Get an estimate: The Value your Trade tool, as listed above, and Kelley Blue Book are excellent resources. Remember that the online estimate will likely not reflect the offer after an in-person inspection.

From here, there’s a fork in the road, depending on your vehicle’s worth:

Positive Equity

If your trade-in offer is more than the remainder of the loan, this is known as positive equity. The money that’s left over from the completion of the loan payment can be used towards your new or used vehicle purchase.

Negative Equity

If your trade-in offer is less than the remainder of the loan, this is known as negative equity. At this point, you can either pay off the remaining car loan or roll it over to your next auto loan.

Can You Trade In a Financed Car for a Lease?

Leasing presents a compelling alternative for Lumberton drivers. Can you trade in a financed car for a lease? Yes, you can. Determining if you can trade in a financed car for a lease will have better luck if you have positive equity.

Trade-In Your Financed Car in Beaumont

Since you can trade in a financed car, why not take advantage? Whether you have positive or negative equity, the trustworthy team at Classic Chevrolet Beaumont can help you every step of the way. Contact us today!