Can I trade in a financed car?
Maybe you're eager to trade in your car near you, but you still owe on the vehicle. One of the most frequently asked questions at our Milwaukee used car dealer is whether it's possible to trade in a financed car. Ewald Auto strives to support all of our customers to make the best decisions for their personal situations. Let's review when it's a good idea to trade, and when you shouldn't trade your car. With the help of our trade in car dealership, choosing the right time to trade cars won't be difficult!
How soon can you trade in a financed car?
You can usually trade in your car even if you're still paying it off. However, depending on how much you owe vs the value of your car, it might not always be a good choice. Before you decide to trade in your Milwaukee used car, it's important to know whether you have positive or negative equity.
How do you trade in a car with a loan?
1. First, you'll need to learn how much you owe on your vehicle. Request a loan payoff amount from your lender to understand how much money you still owe on the vehicle.
2. Compare this amount to your trade-in offer at our used car lot near you. If you owe less than the vehicle is worth, you have positive equity in the car. If your car's value is less than what you owe, you have negative equity.
Customers with positive equity can trade in their cars right away. The surplus value can be applied as a credit towards your next vehicle from our Milwaukee used car dealer.
If you have negative equity, that doesn't necessarily prohibit you from trading in your car near you. If your heart is set on trading in your car, don't get too discouraged! Our Milwaukee used car dealer will be happy to work with you to explore your options.
What does "rolling over" a loan mean?
When you roll over your loan, our trade in car dealership pays off the remainder of your auto loan balance. The amount still owed will be "rolled over" into your new financing. For customers with negative equity, rolling over their current loan is often the best way to trade in their car. Essentially, you'll pay off your old loan with the same payments that go towards your new vehicle.
Is it a good idea to trade in a financed car?
Depending on your situation, trading cars with loans can be a good decision. If your current car carries extremely high ownership costs, trading at our Milwaukee used car dealer can be a smart choice. Over the years, the money you save from choosing a less expensive Milwaukee used car can compensate for the expense of rolling over your loan. The sales team at our used car lot near you will be glad to run the numbers on your trade in to determine whether it's the right time to trade.
Ready to trade in your car near you? Let Ewald make it easy. Our Milwaukee used car dealer is ready to help you start your trade in process today. Visit our website, or contact our sales team to get the ball rolling on your next trade in!
