What happens to your current car loan when you get a new car?
vida asked:
My wife would like to get a new car. She currently has a 2005 Ford Escape, owes about 6500 on her current car. She likes the new Ford Edge’s, if we get a new one would the dealer pay off the remainder of the old car loan?
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My wife would like to get a new car. She currently has a 2005 Ford Escape, owes about 6500 on her current car. She likes the new Ford Edge’s, if we get a new one would the dealer pay off the remainder of the old car loan?
http://qualitybabystroller.com/
July 2nd, 2009 at 12:56 am
Dear Vida,
It would depend on what you agree to do with the Escape. If you’re trading it in to the dealership on the Edge, then paying off the old loan would be part of the agreement you have with them if that’s what you need done. The loan on the Escape needs to be paid if you do trade it in, either by you or by the dealership though. So, for example, using round numbers, if you purchase the new vehicle for $20000 and the dealership gives you $10,000 for the trade-in, you would have a $10,000 difference between the two. After paying off the loan on the old vehicle you would need to get a loan on the new vehicle for $16,500 plus taxes and fees, less any downpayment you would put toward the purchase. Go to they have better interest rates than banks do.
Hope this helps.
Shonda
July 4th, 2009 at 5:49 pm
wrong. they will only give a fair market value of your car. and will not pay you in full. however,the $6500 say give you $3000.00 for the car, and the $3500.00 will be put on and added on top of your loan with intrest.
July 6th, 2009 at 3:48 pm
It can really save you time to just get an automobile loan estimate online to verify what the going rates are. You might be really happy. Also if your credit is not good, a lot of online loaners are more able to work with people.
What I most often tell folks is that an internet quote at is worthwhile.
July 8th, 2009 at 1:41 pm
It might really save you time to just get a car loan quote online to check out what the going rates are. You might be really suprised. Also if your credit is not good, a lot of online loaners are more willing to help you.
What I most often tell folks is that an online quote at is worthwhile.