Refinancing vs. Trading in Your Vehicle
Have your finances changed after purchasing a car? You could reduce your loan through refinancing, or you could also reduce your monthly payments by trading in your car. Keeping up with car payments can be difficult, but rather than doing a voluntary repossession, you can trade in your car and purchase a less expensive vehicle. You’ll need to calculate the value of the vehicle before you decide to trade in or refinance.
So how do you determine the value? When you trade in your vehicle, you’ll probably have some equity.