how does trading in a car (not paid off work?)

[cvenom2122]

Sup all i want a 06 redline with LSD and all the goodies sun roof ect! they have one at saturn and i think it is the fog lights or something but im in love (except rims mine look chrome these ones look dull aluminum!)

will they take my car back and start me over fresh??? I dont understand how it works im only 18 I put about 4000 into car so far payment wise (i dont expect anythign for trade in) i have almost 7000 miles on her. o by the way it is and 04

help me out guys (im a lost soul!)

[Keebler]

when you take it in, they will treat it as a trade in. it all depends on your intrest rate they gave you, how much you paid for the car, etc..

say, you paid 20k for the redline (just a hypothetical).

you put 4k into it..as you said.

so that brings the price of the car (to you) to 16k to payoff.

they only give you 10..that means you still owe 6k on a car you wont drive, and you still owe whatever you get an 05 for. i.e. that is called being 'upside down' in your car. but if you managed to get a 0% intrest rate, it might be different (all payments go to your princiapl balance).

its tricky, i will give you that. just go talk to one of the reps and tell him what you want to do. bring a parent with you to help you out. i took my mom with me, cause shes really good with bargaining and talking to dealers, and i just learnt from her.

go talk to them, come back and post what they said, and that will help the rest of us out when we try to give you advice/info on everything.

[redline14]

If you're under on it after they give you the trade in price, then you will have to pay off the remaining balance yourself.

[TXRLU]

Originally Posted by redline14

If you're under on it after they give you the trade in price, then you will have to pay off the remaining balance yourself.

Actually what they do is they add the negative equity and add it to the price of the new car you are buying. Say you are 8k upsidedown on your current car, they'll add that 8K to the price of your other car. Best thing to do is to either wait till you've paid down enough on the car to where you actually have some room to negotiate. I had a couple of thousand negative equity on my 04 Crapalier when I traded it in for my 04 redline. If not for the rebates I would've really paid a lot more. As it stands now I'm paying quite a bit though.....

[defiant1]

basically a trade-in works like this. You go to the salesman and tell him you have a trade. Then he will escort you into his office where he will close the door. You will pull your pants down and bend over his desk, and well you get the picture from here. If you're lucky he will lube up first.

Seriously, the best thing to do is go to kelly blue book (www.kbb.com) and look up your car in private party and wholesale. This will give you approx trade-in value and private sale value of your car. You will always get more for your car by selling it rather than trading it in. If you have negative equity (you almost always will) than you have a few choices. You can walk away and keep what you have. You can pay-off the negative equity in the form of a down, or you can finance the negative equity into the new loan. The problem with the last one is that it makes it harder to get the loan approved (no bank wants to loan $30,000 for a $20,000 car), plus if you want to get rid of the car in a couple of years it will be next to impossible as you really won't have touched the balance on the car itself, rather you will have been paying off your old vehicle. It's tough when you are upside down.

[yrethguad]

Sell it yourself. At least try. You can't lose.

[redline14]

Originally Posted by TXRLU

Actually what they do is they add the negative equity and add it to the price of the new car you are buying. Say you are 8k upsidedown on your current car, they'll add that 8K to the price of your other car. Best thing to do is to either wait till you've paid down enough on the car to where you actually have some room to negotiate. I had a couple of thousand negative equity on my 04 Crapalier when I traded it in for my 04 redline. If not for the rebates I would've really paid a lot more. As it stands now I'm paying quite a bit though.....

Didn't know that, that's interesting.

[MrCleanY0]

I still owed all but $11,000 on my Durango when I traded it in for the RL. They gave me $6500 for it and just tacked the rest onto the top of my RL price. Got the car for $18K but after the negative equity in the Durango I had to finance the full MSRP which was like $22K and pay the rest up front.

[KBJ]

Negative equity is a bee-otch. I had to finance $25000 for my redline because of negative equity.

[AZKMK]

KBB.com doesn't have a trade in value or private party sale value for the RL version of our car. I emailed about them and they sent me an email back saying that there has not been enough 04s and 05s sold or traded in to get a proper reading on the value of our cars. I do believe NADA.com does give a value though.....

Originally Posted by defiant1

basically a trade-in works like this. You go to the salesman and tell him you have a trade. Then he will escort you into his office where he will close the door. You will pull your pants down and bend over his desk, and well you get the picture from here. If you're lucky he will lube up first.

Seriously, the best thing to do is go to kelly blue book (www.kbb.com) and look up your car in private party and wholesale. This will give you approx trade-in value and private sale value of your car. You will always get more for your car by selling it rather than trading it in. If you have negative equity (you almost always will) than you have a few choices. You can walk away and keep what you have. You can pay-off the negative equity in the form of a down, or you can finance the negative equity into the new loan. The problem with the last one is that it makes it harder to get the loan approved (no bank wants to loan $30,000 for a $20,000 car), plus if you want to get rid of the car in a couple of years it will be next to impossible as you really won't have touched the balance on the car itself, rather you will have been paying off your old vehicle. It's tough when you are upside down.