Shop Our Wide Selection of Mercedes-Benz CPO Inventory - Shop Now

Get Hours and Directions

Close

18122 Rockside Road, Bedford, OH, 44146

Get Directions  Map depicting surroundiing area of Mercedes-Benz of Bedford

Dealership Info

Phone Numbers:Sales Hours:
  • Mon, Thu9:00 AM - 8:00 PM
  • Tue - Wed9:00 AM - 7:00 PM
  • Fri9:00 AM - 6:00 PM
  • Sat9:00 AM - 5:00 PM
  • SunClosed
Service Hours:
  • Mon - Fri7:30 AM - 6:00 PM
  • Sat8:00 AM - 2:00 PM
  • SunClosed
Parts Hours:
  • Mon - Fri7:30 AM - 6:00 PM
  • Sat8:00 AM - 2:00 PM
  • SunClosed
Service

Can You Trade In a Car That’s Not Paid Off?

Woman shaking mans hand over a car contract clipboard with car keys
While you may know that you can trade in your vehicle to a dealership for credit towards a new model or for cash, many Beachwood drivers are still asking, “can you trade in a car that is not paid off?” The trade-in process is relatively straightforward when the vehicle’s paid off, however, there are a couple more steps involved when a balance is still owed. Read on with the Mercedes-Benz of Bedford finance team to learn more about how to trade in a car you still owe on.

Determining Whether You Have Positive or Negative Equity

To learn how to trade in a car with a loan that is not paid off, you need to first determine which of these two situations apply to you:

  • Positive equity: your car is worth more than what you still owe
  • Negative equity: your car is worth less than what you still owe

To find out which category you fall under, you should determine how much you owe on your current vehicle, estimate the value of your vehicle, and visit local dealerships to find out how much you’ll get from trade-in offers.

When the offer is less than the amount owed, that means negative equity applies to your situation. When the amount is more than you still owe, positive equity applies.

If you have positive equity, learning how to trade-in a car with a loan is extremely straightforward. You’ll just subtract the money that you owe from your total return, and use the rest for whatever plans you have lined up. You’ll be back to your rides around Mayfield without owing any amount on your old vehicle.

Negative Equity: How to Trade in a Car That is Not Paid Off

So, can you trade in a car that’s not paid off? Thankfully, you’re not out of luck when you’re trying to upgrade your Cleveland drives. There are several options you should consider:

  • Pay the difference you still owe after determining the trade-in price. Likely your best option when learning how to trade in a car with a loan, this option allows you to only pay the difference between the two amounts with cash, if you have it available.
  • Transfer the amount you still owe over to a new loan. Although rolling over an old loan balance is another common option for drivers with negative equity, it can lead to increased monthly payments on the new loan.
  • Try negotiating with your initial dealership for a better offer. Take other appraisals that you’ve received to the dealership to see if they’ll match your best offer.

No matter which option you’re considering, it’s always a good idea to carefully read the contract before agreeing to the terms of your new car loan.

Explore Car Trade-In Process with Mercedes-Benz of Bedford!

Trading in your car and finding the right car doesn’t have to bring you stress. If you still have questions about how to trade in a car you still owe on, don’t hesitate to contact us. Then, search for the car that fits your Cleveland commutes by browsing our pre-owned vehicle inventory.

 

More from Mercedes-Benz of Bedford

  • What is the 2022 Mercedes-Benz GLS 450 Price?

      The 2022 Mercedes-Benz GLS price list currently only includes one model: the GLS 450. Priced at $77,850* MSRP—and fully loaded with extravagant standard features—it leaves nothing to be desired. Read on for a closer look at the standard and optional features of this year’s GLS SUV, and just let us know when you’re ready…

  • 2022 Mercedes-Benz C-Class Interior

      If you’re looking for a new luxury sedan with a well-appointed interior, it’s worth checking out the 2022 Mercedes-Benz C-Class interior. The Mercedes-Benz C 300 interior is one of the most luxurious on the roads of Bedford, and there’s even more to be found in models at the upper end of the lineup. Learn…

  • 2022 Mercedes-Benz S-Class Interior

      The 2022 Mercedes-Benz S-Class interior exemplifies the Mercedes-Benz ideals of luxury and sophistication. No matter where you’re sitting in the cabin, you’ll find comfort and convenience alongside advanced technology and safety features. The team at Mercedes-Benz of Bedford has everything you need to know about the new Mercedes-Benz S-Class interior in the guide below, including the…

Mercedes-Benz of Bedford 41.403737, -81.552229.