Kelley blue book
- what happens to trade in cars
- what happens to old trade in cars
- what happened to trade price cars
- what happens to my trade in car
How to trade-in a car that is not paid off...
Trading in a car with problems
How Does Trading in a Car Work?
When you trade in a car, you use an existing vehicle that you'll no longer need to offset the price of a new car. The dealer essentially buys the car by lowering the price of your new vehicle.
Learn more about how trading in a car works and how to get the best deal.
Key Takeaways
- Trading in your old car can make buying a new one less expensive.
- If you have a car loan on your old car, you'll need to pay it off.
- You may get more money selling your car to a private party, which you can then use toward a down payment on the new one.
Using a Trade-In to Lower the Cost of Your New Car
If you're buying a car for $20,000 and the dealer will give you $5,000 for your trade-in, your net cost will be $15,000.
What do i need to trade-in my car at a dealershipThat's the amount you'll have to pay in cash or borrow in the form of a car loan.
In many states, you'll only have to pay sales tax on the net cost of the new car. So, for example, if your state's sales tax is 8% and your trade-in is worth $5,000, you could save $400 in taxes.
It's worth remembering t
- what happens to loan when you trade in car
- what happens to part exchange cars