I owe more on my car then what is worth can I trade it in and buy the other car with cash?

Answers:6   |   LastUpdateAt:2012-10-13 08:16:02  

Asked at 2012-08-18 04:13:03
Hi I have a 2004 Chevrolet Tahoe with 100k on the KBB says its worth $ 16000, I want out of this truck. So a loan, but the loan qualified I only allows up to $ 35k to buy a new or used car , but the problem is that I have to change my truck to be able to use the loan and I can treat loan and cash, and who sent me a blank check . I found a good car I want, which is worth $ 32k for what I'm asking is , if I go to trade in my truck and buy the car for $ 32k will add the amount you owe to the price of car , although I am paying cash? Or go to buy my truck loan payments and allow me to buy the car for $ 32k ?
Answer1[email protected]Answered at 2012-08-29 10:05:04
You have to look at the total price . What is calculated as: MedlinePlus Price of new car old car + pay no trade-in value of old car = amount you have to pay . MedlinePlus MedlinePlus Ex : $ 32,000 + $ 20,000 - $ 16,000 = $ 36,000 MedlinePlus You pay tax on the difference between the new car and the amount you get for the trade in. MedlinePlus MedlinePlus Negotiate the price of the new car trade separately from the Tahoe . Never pay more than invoice on a new car . Also, you are always better if you can sell your current vehicle instead of trading it in. Well luck1
Answer2CeciAnswered at 2012-08-29 10:24:16
The answer is yes . Even in a cash transaction negative equity must be disclosed and accounted for. The difference is that in a credit transaction neg . equity in the transaction is financed . With a cash transaction neg equity must be handled with cash.
Answer3allayahAnswered at 2012-08-29 15:31:04
Yes you can add your responsibility to the price of the new vehicle and can be paid by check . Just remember that you will be behind equity wise and the next time you go to buy a car that can be even further behind than they are now .
Answer4snoppyAnswered at 2012-09-07 10:03:03
Why not just leased cars ?
Answer5g2thezAnswered at 2012-09-24 00:10:03
put your car on eBay can backaroos great !
Answer6flowerAnswered at 2012-10-13 08:15:13
If you owe more than it's worth , you have to pay the difference with the new loan . It remains to be still in the 32K . Here's the thing , you will end up owing more on the new car than it's worth . You are not improving their situation . You have to go look at a car for $ 15K . A bank check is ineffective 32K . It is a loan. This agreement will hurt. Build a down payment or pay the truck . If you can not do that , you need to buy a car of lesser value / cost to return to the top of your financial situation . A rule of thumb is that you should not spend more than 10 % of their monthly income on a car and you should always have at least 25 % in the purchase of a car to avoid owing more than it's worth . So, you are transferring the debt to another car and get further in the hole . Go cheap until you have paid off, then save up for cash . His associates may have nicer cars , but they will be jealous as hell when you say " Yes , but I do not owe anyone a penny for it , and I'm buying a new one in two years."
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