Have you been financing a car near Huntley, but are ready to upgrade to a brand new Volvo? If so, you may be wondering, "Can you trade in a financed car?" The short answer is yes, but you should know that you'll still need to pay off the existing loan balance. If this seems like an option you'd like to pursue, learn more about how you can trade in a financed car in this guide from the finance team at Underriner Volvo. 

How Does Trading In a Financed Car Work?

Planning on trading in a financed car? You're no doubt wondering how does trading in a financed car work? If your remaining loan balance is less than the worth of the vehicle, the dealer buying your vehicle will provide you with the money to pay off the loan. So, if you owe $7,000 on your car, and the dealer offers you $8,000 for it, your loan can be paid off and then transferred to the dealership buying the car. The remaining $1,000 will then be applied to the purchase of your new vehicle. First of all, you should use our online trade-in estimator to find out how much your vehicle is worth. This will give you a good idea of where you stand.

What Does "Rolling Over" A Loan Mean?

Another option for Laurel and Shepheard area drivers is to "roll over" your loan to the dealership. But, you should be aware that the amount remaining on the "rolled-over" loan will be added to the new loan. This means that you'll not only have to pay back your new vehicle loan, but also the dealership for covering the balance of your previous car loan.

Get Easy Financing Today at Underriner Volvo

Whether you wish to buy or lease, or are looking to refinance your car loan, the finance experts at Underriner Volvo are standing by to help. Explore our current new vehicle specials and then apply for financing with us to get pre-approved from the comfort of your home or office. If you need additional information on insurance options like GAP insurance, or if you'd like to learn more about what the Volvo warranty covers, please feel free to contact us.