Can I Trade In My Car with Bad Credit?
Posted on August 23, 2018
There’s no doubt you need to get a different car. Your engine leaks oil, the transmission shifts sloppy, your power windows only work sometimes, and last week the engine stalled. Even though it restarted, who knows how long until you’re left stranded? But you haven’t got the best credit in the world and you’re worried about getting financing. You wonder, “Can I trade in my car with bad credit?”
“Can I Trade In My Car with Bad Credit?”
If your biggest concern is getting financing with bad credit, whether you have a trade-in or not, CarUp KC can help. But if you have a trade-in the news is even better. Here’s why.
A Trade-In Is Like a Down Payment
If you currently own your car outright, it’s a major step towards getting a different vehicle. When you trade it in, it’s like putting your car’s value on the purchase as a down payment. It shows the lender that you have some skin in the game. If you default on your car loan, you stand to lose the value of the car you’ve put in as your trade.
Even if you have equity in a vehicle that still has payments owing, you can trade it in. The equity goes against the car you’re buying in the same way. And at CarUp KC, we’ll use your current car’s value to first pay off the loan you have right now.
It Shows Previous Fiscal Responsibility
If you own a car now, that means you’ve bought it in the past. When you’ve financed a car, it stays on your credit bureau for seven years or more. The proof that you’ve been responsible with a car loan in the past helps with your next car loan.
And it’s not only the payments on the loan that help. Your insurance and other car-related expenses show fiscal responsibility.
If you’re asking, “Can I trade in my car with bad credit”, let CarUp KC guide you through the process. We’ll find you a car that fits your needs, and we’ll do everything possible to get you the financing you deserve.