Can I Trade In My Car Keeping My Same Loan Using It For Another Car

Posted in Used Car Loan
  • By july my car loan would be a yr old and would have $9541 left to pay off…would my financing compay let me trade it in using my same loan with a car thats the same amount or less?

    There are 5 Answers for "Can I Trade In My Car Keeping My Same Loan Using It For Another Car"

    1. Professor Coldheart! says:

      I’m not positive, but I don’t think you can do that. The car loan is specific to that car. When you trade it in, you use the money to pay off the loan, but I don’t think you can transfer the loan to another car.

      Maybe I’m wrong?

    2. djaca70 says:

      No, it will roll into the amount less trade in. In other words, if they give you $7000 for your car now, the $2541 will be rolled into the amount that you buy the new car for. Smart thing to do, is sell the car privately, pay off loan, and get new car.

    3. Charlie M. says:

      Ask them, but I’m sure the answer will be “no”. They have the right to take the old car if you stop making payments on the loan, but they wouldn’t have that right with the new car. Also, you can’t transfer ownership of the old car, since you don’t have a clear ownership of it as long as there’s an outstanding loan against it.

    4. Jessi says:

      No plain and simple.

      If you purchase a car for $10,000 and makes payments totaling $5,000, then trade the car off, the finance company will add on the $5,000 still owed to the new loan.

    5. Scott H says:

      No. Loans don’t work that way, Your existing loan has to be paid off, and you would apply for a new loan to buy the new car.