How Does Trading-In Your Car Work?

January 15th, 2019 by

young couple closing deal with salesman

If you’re ready to upgrade with a new vehicle but have an old car you need to offload, then you may be asking yourself the question, “How does trading-in a car work?” When you work with Land Rover Charleston, the process doesn’t have to feel like a chore. Keep reading to learn how to get the best possible deal on your next trade-in.

The Trade-In Process from Start to Finish

Drivers who would like to trade-in their vehicle will have to go through each of the following steps:

  1. Start by calculating the value of the vehicle you’d like to trade-in. Although looking at the blue book values and depreciation can be helpful, you can save time and get a better deal by valuing your trade-in online.
  2. Once you know how much you’ll be getting for your trade-in, search for a new or a used car that satisfies you at Land Rover Charleston near Huntington.
  3. You might be able to find a vehicle for less than the value of your trade-in. If you aren’t so lucky, our finance department can help you get the funds you’ll need for the new purchase.
  4. If you still owe money on your old loan, and the money you receive for your trade-in doesn’t cover the difference, we can roll over your loan or help you figure out the next steps. Learn more about trading in a financed car below.
  5. When you bring in your vehicle to trade, make sure to have your vehicle title, registration, and loan payoff information on hand. You’ll also have to turn in all keys and key fobs.
  6. Once you have everything you need, drive into Land Rover Charleston to finalize the value of your trade-in and make your purchase. We’ll get you a great deal so you can drive off in a new car you’re happy with. Calculate your new payment ahead of time to streamline the purchasing process.

Can You Trade-In a Financed Car?

Drivers can absolutely trade-in a financed car, but since there are several common problems and pitfalls associated with the process, most will try to avoid trading in a vehicle that they still owe money on. If you haven’t yet paid off the loan on your vehicle, but you need to trade up for a new car, check these tips to help things run as smoothly as possible:

  • Trading-in a financed car does not alter the fact that you’re responsible for the loan used to purchase it.
  • However, if the value of the vehicle you trade-in is greater than the amount you still owe on your loan, you can pay it off with the trade-in and walk away clean.
  • If you have any money left over after paying off the loan on your old financed car, you can put it towards the cost of the new vehicle you’re purchasing.
  • If you can’t pay off the remaining loan balance with the value of your trade-in, most dealerships will offer to “roll over” your loan when you apply for financing. They’ll pay off the remaining balance of your old loan, and add that value to the loan you procure when purchasing your new car.
  • When you “roll over” your loan onto a new car, you’ll only be making one (slightly larger) monthly payment, and you won’t have to cover two payments each month.

Find Your Next Vehicle with Us!

Now that you’ve seen how trading in your car works out in practice, you’re ready to take the first steps on your next adventure. Contact Land Rover Charleston today to explore our inventory and schedule a test drive on the roads near Parkersburg and Wheeling.

More Finance Tips From Land Rover Charleston

  • How Does Trading-In Your Car Work?

    If you’re ready to upgrade with a new vehicle but have an old car you need to offload, then you may be asking yourself the question, “How does trading-in a car work?” When you work with Land Rover Charleston, the process doesn’t have to feel like a chore. Keep reading to learn how to get the best…

  • Should I Buy or Lease?

    When you’re ready for a new Land Rover in the Huntington area, you have two options. You can buy a car or lease a car. These two financing choices offer different benefits, so it’s important to understand both options before making any decisions. We’re comparing leasing vs. buying to help you figure out which automotive…

  • How Does Car Financing Work?

    Not many people can afford to pay cash for a new or used vehicle, which is why they rely on vehicle financing. So, what does it mean to finance a car? This financial process involves a lot of information, a variety of parties, and can vary based on your financial history and current financial status….

Posted in Finance