WAIT NO MORE!! Let your tax refund put you in the driver’s seat TODAY!! SHOP NOW

Can You Trade In a Financed Car?

White Chevy Equinox Driving

Can you trade in a financed car? Yes! Trading in a financed car is relatively straightforward. You still have to pay off the existing balance of your loan, which you can pay off with the money from your trade-in, or if there’s a remaining balance, you can pay it when you start financing for your new car. If your loan amount exceeds the amount the dealership is willing to pay for your vehicle, you have to pay off the remainder at the dealership. Explore the process of trading in a financed car for lease or financing below! Learn more about what you should do before trading in a car at Music City Autoplex

How Does Trading In a Financed Car Work?

Wondering, “How does trading in a financed car work?” Music City Autoplex can help! Follow these three easy steps:

  1. Check your monthly statement for the amount remaining on your car loan before you get to the dealership.
  2. Utilize Value Your Trade through Kelley Blue Book or another reputable source. Remember that this is only an estimate, and the condition of your car and maintenance history will determine how much the dealership is willing to offer you.
  3. If the remainder on your auto loan is less than the dealership offers for your trade-in, then the remaining trade-in value will go towards financing your new vehicle.

What Does “Rolling Over” A Loan Mean?

Dealerships use rolling over a loan as an incentive to get Nashville drivers with an existing loan to trade in their vehicles. It means that they will pay off your old loan no matter how much remains on it. If you think that sounds too good to be true, that’s because it is. They add the loan amount to the new vehicle’s price and you’ll pay it off with your monthly payments on your new vehicle.

Trading in a Financed Car For Lease

Trading in a financed car for lease works much like trading in a financed car to buy another vehicle. You trade in the vehicle you have and the amount of the existing loan. You’ll either pay off the difference of its trade-in value to the loan or use the remaining money you received from the trade-in to go towards the deposit or fees that apply when you sign your lease contract. Trading in a financed car for lease is less common, though if you decide to do it, Music City Autoplex is happy to walk you through the process. Contact us to speak with a member of our finance team to learn more!

Value Your Trade-In and More at Music City Autoplex

Now that you know about trading-in a financed car, explore our car buying tips to learn everything you need to know about getting the best deal on your next vehicle. Apply for financing to see if you’re approved to drive home to Hendersonville or Clarksville in one of our used vehicles!

More from Music City Autoplex

  • 2021 Chevy Silverado 1500 Interior

      Does your Nashville ride need an upgrade without paying a new vehicle price? We invite you to check out the 2021 Chevy Silverado 1500 interior. It has all the high-tech features and tools modern drivers want while helping you quickly navigate Hendersonville roads in their pickup trucks.  Read everything you need about the 2021…

  • 2022 Jeep Wrangler Interior

      It’s straightforward to get a modern ride without paying a higher price for a new vehicle to put in your Nashville garage. Consider the 2022 Jeep Wrangler interior. It’s got high-tech features and comfortable amenities that make navigating Hendersonville roads a pleasure while departing for your next wilderness destination in this rugged SUV.  Learn…

  • Are Jeeps Safe?

      “Are Jeeps safe?” many Nashville drivers ask. If you’ve pondered the same question, you’re in the right place. Jeep safety is not just a term — it’s a promise. The iconic Jeep brand has dedicated decades to ensuring that Hendersonville drivers and passengers feel confident while tackling any adventure, whether the urban jungle or…

Saved Vehicles

You don't have any saved vehicles!

Look for this Save icon

Once you've saved some vehicles, you can view them here at any time.

Music City Autoplex 36.269330, -86.710610.