Can You Trade In a Financed Car?

The short answer is yes you can trade in a financed car! However one must note that just because you’ve traded in your vehicle does not mean that the balance you are meant to pay simply disappears. Learn more about our process with our finance team at Welborn GMC Of Cartersville near Rome and contact us if you have any further questions about subjects such as auto loans, monthly payments, credit scores, positive or negative equity, selling your car, trading in a car, whether it is a good idea to sell your car to a private seller, and more. 

How Does Trading In a Financed Car Work?

1. Determine the remaining balance on your own, typically found on your monthly statements. 
2. Use the “Value Your Trade” tool to find out the estimate on the value of your current vehicle. Please note that this is only an estimate, and our Acworth service technicians finish an inspection. 
3. If the balance on your auto loan is less than the trade-in amount, then you’ll have money left over to either pocket or go towards purchasing a vehicle from our dealership. 
4. If the remaining balance on your auto loan is more than the trade-in amount, you’ll have negative equity, meaning that you owe money on the car. You can pay off the remainder of the money before you buy your new car, or you can rollover the balance into your next auto loan with the dealer. 

What Does “Rolling Over” A Loan Mean?

A Rollover loan is when a dealership decides to pay off your old loan, even if you owe a substantive amount of money. However, be careful, as the price of your old loan gets added onto your newer loan as you pay off the loan on your new car.

Visit Us at Welborn GMC Of Cartersville to Trade in a Financed Car for Lease

When you are ready to trade in your vehicle for lease, be sure to check out our new vehicle specials, our car buying tips, or our finance application. Visit our Canton dealership today.