Add to PageAsk a Question

Avoid Rolling Existing Car Loans Into a New Car Purchase

Category Buying a Car
Many dealerships will try to encourage you to trade in an unpaid for car and buy a new one, by rolling the remaining balance into the new loan. There are some good financial reasons to avoid this practice, as it benefits the dealer more than the consumer. This is a page about avoiding rolling existing car loans into a new car purchase.
Advertisement

Solutions

Share on ThriftyFunThis page contains the following solutions. Have something to add? Please share your solution!

September 29, 2006

Don't buy a new car if you haven't paid off your old one unless you have equity accumulated.

One common practice at dealerships is to offer to roll the balance of an existing loan into the financing for a new car. It usually creates a situation where you are taking a loan that is greater than the value of the car you are buying.

While this makes it easy to leave the car lot with a sparkling new car, it's a bad practice for consumers and a financial boon for dealers and lenders. Anything that is good for them, is usually bad for you.

By Fisher

Comment Was this helpful? Yes
In This Page
Categories
Consumer Advice Cars Buying a CarFebruary 27, 2018
Pages
More
🌻
Gardening
🎃
Halloween Ideas!
🎂
Birthday Ideas!
Facebook
Pinterest
YouTube
Instagram
Contests!
Newsletters
Ask a Question
Share a Post
Categories
Better LivingBudget & FinanceBusiness and LegalComputersConsumer AdviceCraftsEducationEntertainmentFood and RecipesHealth & BeautyHolidays and PartiesHome and GardenMake Your OwnOrganizingParentingPetsPhotosTravel and RecreationWeddings
Published by ThriftyFun.

Desktop Page | View Mobile

Disclaimer | Privacy Policy | Contact Us

© 1997-2019 by Cumuli, Inc. All Rights Reserved.

Generated 2019/09/24 16:14:18 in 2 secs. ⛅️️ ⚡️
Loading Something Awesome!