Can You Trade In a Financed Car?

 

Are you ready to get behind the wheel of a new Ford to drive around Elgin, but you haven't yet paid off your current car loan? You absolutely can trade in a financed car, but beware that what you owe on your current vehicle doesn't disappear. You will still need to pay off the balance. Learn about the process of trading in your financed vehicle with Dundee Ford, and connect with our Finance Center near St. Charles whenever you're in need of financing advice!

 

How Does Trading In a Financed Car Work?

When you value your trade, pay attention to the worth of the vehicle as compared with the balance on your loan. If the remaining amount is less than your car value, the dealer will give you enough to pay the rest of the loan. As an example, if you owe $7,000 on your car, and the dealer offers you $8,000 for your car, you can pay off your loan and transfer your car to the dealership. Then, the leftover $1,000 will be deducted from the purchase price of your new car.

What Does "Rolling Over" a Loan Mean?

If you opt to roll over a loan because you owe more than your car is worth, you can count on the dealership to pay it off, no matter how much remains on the balance. If you think this sounds too good to be true, that's because it is. The amount the dealership pays off is then added to your loan for your new vehicle. That means you'll pay the dealership back for your old loan while you submit payments on your new loan. If driving around Crystal Lake behind the wheel of a new Ford F-150 or a new Ford Escape is important to you, though, it's worth using this option.

Connect with Dundee Ford Today!

Make sure to connect with Dundee Ford when you're ready to trade in your financed car for a new model! You can always apply for financing online, or visit the dealership near Algonquin to work with our finance team directly. We look forward to getting you behind the wheel of your next Ford vehicle!

  
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