- Research the Value of Your Car
- Find Out How Much You Owe
- Get an Estimate from a Trade-In Dealer
- Negotiate the Best Deal
If you’re looking to trade in your car but you still have a loan on it, there are a few things you need to know. Here’s a quick guide on how to trade in your car when you have a loan.
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Research the Value of Your Car
You can use online resources to research the value of your car. Black Book and Kelley Blue Book are two websites that will give you an estimate of your car’s worth. You can also check the NADA website for trade-in values. Be sure to look up the value of your specific make, model, and year. You can also find this information in the Edmunds app.
Look up your car’s value on Kelley Blue Book or Edmunds
To find out what your car is worth, you can look it up on Kelley Blue Book or Edmunds. These websites will give you an estimate of your car’s value based on its make, model, and condition.
Consider the value of any aftermarket additions
Some aftermarket features can actually increase the value of your car. If you have a sunroof or leather seats, for example, these could add to the trade-in value. But be realistic about how much these features are actually worth. It’s probably not worth it to invest in aftermarket features purely for the sake of increasing your trade-in value — unless you were planning on making those additions anyway.
Find Out How Much You Owe
It’s time to trade in your car, but you still have a loan. How do you find out how much you owe? You’ll need to know your loan balance, as well as the value of your car. You can find the value of your car online or by talking to a dealer. Be sure to get an accurate estimate so you can budget accordingly.
Check your loan balance online or on your monthly statement
If you’re planning to trade in your car, it’s important to know how much you still owe on the loan. You can typically find this information online or on your monthly statement.
If you’re still making payments on your loan, you’ll need to pay off the remaining balance before you can trade in your car. To do this, you can either sell the car yourself or use the trade-in value towards a new vehicle.
If you owe more than the trade-in value of your car, you’ll need to come up with the difference. One option is to sell the car yourself and use the proceeds to pay off the loan. Another option is to roll over the balance into a new loan for a new vehicle.
Keep in mind that rolling over your loan balance into a new loan may extend the length of your loan and increase the amount of interest you pay. Be sure to compare rates and terms before choosing this option.
Call your lender to ask for your payoff amount
Before you can begin shopping for a new car, you need to find out how much you owe on your current loan. This is your “payoff amount.”
To get this number, call your lender and ask for your payoff amount. Be sure to ask for the payoff amount as of a specific date. This is important because car loans accrue interest daily.
You can find your lender’s contact information on your monthly loan statement. If you can’t find your statement, you can typically find this information online or by calling the customer service number on the back of your credit card.
Once you have your payoff amount, you’ll be able to shop for a new car with confidence, knowing how much money you need to finance.
Get an Estimate from a Trade-In Dealer
If you have a loan on your car, you may still be able to trade it in. However, you will need to get an estimate from a trade-in dealer to see how much your car is worth. The dealer will also need to know the payoff amount on your loan. You can typically find this information on your monthly statement.
Research local dealerships online
Before you start negotiating with any dealerships, check out each one’s websites. This will help you get an idea of what the dealerships near you are offering for your car’s make and model.
Some dealerships might try to lowball you if they think you’re inexperienced. Having an idea of what your car is worth before you go in will help you avoid getting taken advantage of.
In addition to checking the dealership’s website, look for online reviews. These can give you a sense of the dealership’s customer service and whether or not they’re honest.
Find out if the dealer offers more for trade-ins
Some trade-in dealers offer more money for your car if you have a loan on it. This is because they can make money by taking over your loan and selling the car to someone else. If you have a loan on your car, it’s worth checking with a few different dealers to see if they offer more for trade-ins.
Negotiate the Best Deal
The best way to trade in your car when you have a loan is to first get an estimate of your car’s value. You can do this by going to Kelley Blue Book’s website and entering your car’s make, model, year, and mileage. Once you have your car’s estimated value, you can start negotiating with the dealer.
Bring your car to the dealership for an inspection
You’ll need to bring your car to the dealership for an inspection so the dealer can assess its value. The dealer will also look at the Kelley Blue Book value and compare it to the car’s actual condition.
Have a loan pre-approval in hand
If you’re looking to upgrade your ride, you may be considering trading in your old car. But what if you have a loan on the car you want to trade in? The good news is, it is possible to trade in a car with a loan. However, there are a few things you need to know before heading to the dealership.
First and foremost, get pre-approved for an auto loan through your credit union or bank. This will give you an idea of how much money you can borrow and at what interest rate. It’s also a good idea to get pre-approved for more than you think you need, as this will give you some negotiating room at the dealership.
When you’re at the dealership, let the salesperson know that you have a loan pre-approval in hand. This will let them know that they will need to work with your lender to pay off your old loan and get you approved for a new one. Keep in mind that the dealership may try to give you a lower trade-in value if they know you have a loan. So it’s important to be firm and negotiate the best deal possible.
If everything goes smoothly, trading in your car with a loan shouldn’t be any more difficult than trading in a car outright. Just be sure to do your research and come prepared so that you can get the best deal possible on your new car.
Be prepared to negotiate on the sales price and trade-in value
The price of the car you’re interested in and the value of your trade-in are two separate things. It’s important to negotiate each one independently.
The best way to approach negotiations is to be prepared. Do your homework on the car you want and find out what similar models are selling for in your area. This will give you a good starting point for negotiations.
When it comes to your trade-in, get an estimate of its value from a few different sources before you go to the dealership. This will help you negotiate a fair price for your trade-in. Be prepared to walk away from the deal if you don’t feel like you’re getting a good price.