NYC_S

Sorry if it doesnt make any sense. But basically, is it possible to trade in a car at a dealership but instead of financing another car, you will lease something else.

I dont know how the trade-in process work when you do buy another car. Esp if the trade still has a balance with the bank.

TIA.

TXurS6

If you owe less than the offer for the trade-in, you can use the money to pay the up front costs of the lease. They should write you a check for any other excess. If you owe more than what they offer, they can finance the difference in the lease.

RKA

Basically the dealer will give you a trade in offer on the car. That's the price they are willing to pay for your car. Out of that, they will have to subtract the amount you still owe on the car, and send that to the bank to satisfy the loan. Anything leftover is cash in your hand. Now, it's certainly possible that you owe more on the car than it's worth...in which case you would have to pay the bank that difference in order to settle the loan.

Getting into the lease is just like any other lease inception once you've closed out your old car loan. If you received cash from the sale of your old car, you can apply that as a downpayment on the lease, or you can pocket that cash. If you were upside down on the old car, the dealer may be willing to structure the lease so you roll that money owed into the new lease. Basically, I think they give you a higher trade in value on the old car, and they inflate the purchase price on which the lease is based by the same amount.

NYC_S

Kool.. That's what I thought

NYC_S

TY. I wasnt sure if it applies the same way to a lease but it does. Thank you guys!

CanyonBlaster

Trade-in = $2K - $4K left on the table! Sell your car yourself!