Can You Trade in a Financed Car?

June 6th., 2019 by Tony Mendez


 
 
The short answer to the question “can you trade in a financed car” is YES. But, you must pay off the balance of your car loan before you trade in your car for a new vehicle. Learn more about the process of trading in your financed vehicle before getting started. If you have any questions along the way, our financial advisor experts at the Courvelle Toyota finance center can help! Contact us in Opelousas and Lafayette, New Iberia area for more information on selling your car, lease payments, interest rates, and more.
 

How Does Trading In a Financed Car Work?

When you are ready to trade in your car in the Acadiana area, assess how much your car is worth with a value estimating tool. If you owe less on your auto loan than the estimated value of your vehicle, selling your vehicle to the dealer means you can use the money from the sale to pay off the loan and have a little left over to go towards your next vehicle purchase.

What Does “Rolling Over” A Loan Mean?

Rolling over a loan means that a dealership “pays off” your loan on the vehicle you are selling to them. But the loan doesn’t truly go away–the cost gets added onto your loan for the next car you purchase at that dealership. Essentially, if you want to trade up right now but can’t pay off the balance of your loan in one chunk, rolling over a loan to your next car means you are paying for a past loan and a current loan at the same time.

Visit Courvelle Toyota Today!

If you are ready for your next car in Opelousas near Lafayette or New Iberia, use our handy Shop by Payments to estimate what your monthly payments might be. Our finance team is standing by to help you with your next vehicle purchase. Contact us for a test drive today!