I owe a LOT more than my car is worth, so whose gonna pay the difference REALLY? It sounds too good too be true.
2006-09-11 15:24:37 · 9 answers · asked by baggedmaroon_s10 1 in Cars & Transportation ➔ Buying & Selling
WAAAAAYYYYY to good to be true!! You are the one who will end up paying if off. What they do is basically LOAN you the money, so of course, you have to pay it back with your new car loan! Plus there's no telling what interest rate you'll be slapped with.
If you owe more than about $100, forget it. You'll get screwed.
2006-09-11 15:50:50 · answer #1 · answered by class act 4 · 0⤊ 0⤋
Anytime you owe more on a car than it's worth (upside down) the dealer just adds the difference to the note/price for the car you are buying. And besides that they always pay you less than the real value for the trade in. You might try selling the car you have to a private buyer, but all you are really doing is limiting your losses.
2006-09-11 15:49:06 · answer #2 · answered by Larry T 5 · 0⤊ 0⤋
The dealer makes it sound like he'll pay off your old car loan, which is true, but he'll add the difference between your trade credit and the old loan balance back into your new loan. He "rolls over" your old balance, which means you'll be paying off both your old loan and new loan at the same time. He may not explain all this unless you ask.
2006-09-11 15:32:31 · answer #3 · answered by Anonymous · 0⤊ 0⤋
they ought to repay your automobile, in the event that they don't, they gained't get a sparkling call and can't sell it. each and every now and returned sellers may be very gradual in doing this. If all else fails, make the charge via save your credit, while that is paid off the economic company will refund you the overage. examine your contract for the hot kia to make sure that they have the commerce payoff in there, and make sure that selection is what they finally end up paying.
2016-10-14 21:56:06 · answer #4 · answered by ? 4 · 0⤊ 0⤋
You'll pay all that you owe. It's a marketing scheme. They won't discount the car you're buying if they have to pay more for your loan than they would normally give you as a trade-in.
2006-09-11 15:28:09 · answer #5 · answered by Papa John 6 · 0⤊ 0⤋
What they payoff on your original loan is pushed back into your new loan basically you are extendeing your original loan by adding your new car to the loan less the trade in value of the car.
2006-09-11 15:32:45 · answer #6 · answered by Michael S 4 · 0⤊ 0⤋
SOME dealers "forget" to pay off your old loan, and then you have TWO car payments. GOOD LUCK!
2006-09-11 17:36:41 · answer #7 · answered by Trump 2020 7 · 0⤊ 0⤋
yes they pay off your old loan and add that amount to the cost of your new car
2006-09-11 15:28:59 · answer #8 · answered by pdudenhefer 4 · 0⤊ 0⤋
They don't pay it off you do. The amount is added to your vehicle price at a higher rate of intrest than you are probably paying. Nothing is for nothing.
2006-09-11 15:42:59 · answer #9 · answered by Kenneth H 5 · 0⤊ 0⤋