You have been making payments on your car loan for some time, but now it may be time for a car trade-in. Can you trade in a financed car, or do you have to wait until the loan is paid off? This post by Lake Elsinore Honda, serving El Cerrito, will tell you what you need to know.
Can I Trade In My Financed Car?
The answer to this question is yes; you can trade in a car that is still being financed. However, one thing to keep in mind if you decide to do this.
You will need to pay off the remaining balance on your car loan before trading it in. This means you will need to have the cash available to pay off the loan. If you don’t have the cash in hand, you may be able to get a loan from a bank or credit union to pay off the balance of your car loan.
Once you have paid off the remaining balance on your car loan, you’re technically free and clear to trade in your car.
Trade-in Steps for a Financed Car
- Know your payoff amount: To trade in a financed car, you’ll need to know how much is still owed on the vehicle. This can be found by looking at your monthly car loan statement.
- Get pre-approved for a new loan: Before you go to the dealership, get pre-approved for a new loan. This will equip you with more negotiating power and ensure that you don’t pay more than you have to.
- Do your homework: Know what kind of car you want and what it’s worth before going to the dealership. This way, you can be confident that you’re getting a fair trade-in value for your old car.
- Bring all the necessary paperwork: Bring your car’s title and registration and your loan statement when you trade in your vehicle.
- Negotiate: Once you’ve found the automobile you want, it’s time to negotiate a fair trade-in value for your old car. Remember, the goal is to get the lowest possible price for the new car and the highest potential value for your trade-in.
- Complete the paperwork: Once you’ve reached an agreement with the dealership, it’s time to complete the paperwork. This will include signing over the title of your old car and taking out a new loan for the new car.
- Get your new car: After the paperwork is complete, you’ll be able to drive off in your new car!
Lake Elsinore Honda Is Up for Car Trade-ins!
Lake Elsinore Honda serving El Cerrito, CA, is the place to go for car trade-ins. We take all types of cars, trucks, and SUVs in trade so that you can get the vehicle you want. Plus, we’ll give you top dollar for your trade-in so that you can put that money towards your new car purchase.
If you’re thinking about trading in your ride, bring it to our dealership, and we’ll take a look at it. We’ll also appraise your car to know how much it’s worth. Then, you can use that information to help you negotiate a better price for your new car.
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