Have a car I'd like to trade in (paid older car), but a few years back I got a personal loan and used my car as collateral. Can I trade my car in? Will the dealership pay my lein off and maybe add it to the new car? The loan was $1500 and I don't have the money to pay the loan off in full (it's in default)
2006-07-21 02:38:58 · 3 answers · asked by redsonya1201 2 in Cars & Transportation ➔ Buying & Selling
If the bank is a lien holder listed on the title you must have their signature to trade in the car. If you are getting a new car loan they would probably roll over the balance into their loan and pay off the bank. The bank will demand payment before signing the title.
Also you have the option of going to your bank that gave you the first personal loan and qualifying for a car loan there with the balance rolled into it. Beware though, if you get a loan in an amount that is more than the car is worth, the interest rate shoots up.
2006-07-21 02:45:10 · answer #1 · answered by MEL T 7 · 0⤊ 0⤋
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2016-09-26 16:59:37 · answer #2 · answered by ? 3 · 0⤊ 0⤋
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2016-09-28 19:22:40 · answer #3 · answered by Theodora 3 · 0⤊ 0⤋
I used my old van as collateral and wanted to trade it in for something that actually runs and have heat. If I remember correctly they wouldn't let me trade it in. I'm not sure if it was because I owed to much on it or cause my credit sucks. It may of been just because it was being used as collateral. But this was many many years ago and things change over time.
It does seem like if there isn't much owed on it that the dealership will pay it off.
Ask a dealership. If they say no, ask some others. Just because one wont doesn't mean others won't do it for you
Doesn't hurt to try
Good luck
2006-07-21 02:51:18 · answer #4 · answered by Anonymous · 0⤊ 0⤋