Trade-In With an Existing Car Loan

Still paying off your current car? You can trade it in as part of your next purchase, here's how it works.

How Trading In With a Loan Works

Positive Equity or Negative Equity?

Trade-In Finance FAQs

• Can I trade in a car that still has a loan on it?
  Yes. We settle your existing loan as part of the trade-in, you don't need to pay it off yourself first.
• Who gets the settlement figure from my current lender?
  You'll need to contact your current finance company for the final settlement figure owing on your loan. We then use that figure to settle it directly as part of your trade-in.
• What if my car is worth less than I still owe on it?
  It's a common situation and doesn't stop you trading in. The shortfall is usually rolled into your new finance, subject to the same lending assessment as any other application.
• What if my car is worth more than I owe?
  The difference comes off the price of your next vehicle, or can be paid out to you, whichever works better for you.
• Does trading in with a loan still on it affect my approval for new finance?
  No, your new application is assessed the same way as any other, through UDC Finance, Finance Now, Marac Car Loans, or MTF, based on your income, expenses, and credit history.
• Do I need a deposit if I'm trading in a car with a loan on it?
  Not necessarily. No deposit finance can still apply, approval comes down to your individual application rather than a fixed deposit requirement.

See our Car Finance Questions Answered page for general application details, or our No Deposit Car Finance guide if you're financing without a deposit.