Get Directions

1540 S Figueroa Street, Los Angeles, CA, 90015

Can You Trade In a Financed Car?

Tiny car with calculator

You can absolutely trade in a financed car — but bear in mind that the loan on your vehicle will not automatically disappear just because you’ve traded your vehicle in. In other words, when trading a financed car in, you will still be responsible for the balance of your auto loan. Want to learn more? Read on or contact us at the Nissan of Downtown L.A. finance center.

How Does Trading In a Financed Car Work?

Trading in a financed car works similarly to trading in a car without a loan balance. Here is what you’ll want to do:

  1. Figure out what your loan balance is. You’ll usually find this listed on your monthly car payment statements.
  2. Use our Value Your Trade tool online so you can get an estimate on the current value of your vehicle. 
  3. If the remaining amount of your car loan is less than the trade-in offer from the dealership, then you’ll have a surplus of money that you can use to purchase a new vehicle:
  4. For example, if you still owe $8,000 on your car in South Gate, and the dealer offers you $11,000 to buy the car, the loan can be paid off and you’ll have $3,000 to contribute toward your next car. 
  5. If the remaining balance of your auto loan is more than the trade-in offer, then you’ll still owe money on your car. In other words, you’ll have negative equity in it, and you will have to pay off the loan balance before the trade-in process begins.

What Does “Rolling Over” a Loan Mean?

Rolling over a loan is what happens when a dealership pays off the entirety of your old vehicle’s loan and then rolls that same amount into your next vehicle’s loan. Often, rolling over a loan can result in higher than normal monthly payments, but it does make it more affordable to pay off your old loan if you have negative equity. It also allows you to trade in your vehicle for something newer, more reliable, or equipped with the latest safety features. 

Trade in a Financed Car for a Leased or Purchased Vehicle Today at Nissan of Downtown L.A.!

Ready to trade in your financed car for a new leased or purchased vehicle? Browse our new inventory now and check out our new vehicle specialsto save more on your next vehicle. Don’t hesitate to apply for financing online.

More from Nissan of Downtown L.A.

  • 2023 Nissan Frontier Bed Sizes

    Last year the Nissan Frontier got a redesign that changed the way many Huntington Park think about this venable midsize truck, giving it best-in-class horsepower (310 hp) and the largest touchscreen in its class. But what is the Nissan Frontier bed size? You can choose between Nissan Frontier configurations that offer a five-foot or six-foot bed…

  • 2023 Nissan ARIYA Price and Configurations

    Nissan’s long-awaited electric SUV is arriving in the Huntington Park area, and drivers can’t wait to take it out on the freeways and see what it has to offer! With a starting MSRP of $43,190* coupled with never having to fill up a tank with expensive gasoline again, the Nissan ARIYA price is within your reach!…

  • 2023 Nissan Z Price and Configurations

      Did you know that there are three exciting 2023 Nissan Z configurations, all of which are packed with features and priced right for Los Angeles households? The 2023 Nissan Z price starts at only $39,990 and may be even more affordable with our new vehicle specials. Keep reading for more details about the 2023 Nissan…

Contact Us
Used Vehicle Specials
Nissan of Downtown L.A. 34.0350742, -118.2726539.