Home Finance Should You Sell Or Trade In That Old Car?

You’re buying a new car but you still have your old car to deal with. If you want to see what options you have, then check out below. Any of the following options are good choices for bidding farewell to your old ride. When you consider just how many different ways there are to sell or buy a car, the various financing plans, trade-ins, or even leasing, there’s a method out there that suits everyone’s situation.

Should You Sell Or Trade In That Old Car?

Trade It In

When you negotiate the purchase of a new car, you can throw in your old car as a means of driving down the price a little, or, if the value of the car is high enough, actually use it as the full down payment instead of cash. This is an easy, straight-forward solution that requires little effort and lessens the need for cash up front. After all, it’s good to make a downpayment on a car. However, on the down side, there is no way a dealer is going to give you full value for the car. After all, they need to be able to resell it and make some money off it.

Sell It Yourself

This choice requires more work and effort on your part. You need to make the car look presentable, advertise it, and meet with prospective buyers. That means people coming over to your home and nosing around the car, and if you’re someone who values their privacy, the idea is a bit daunting. Of course, there are venues like Craigslist that can lessen the sting of the whole matter. But on the upside, you can set your price and if you can find someone who will meet it, then all power to you!

Consignment

This is not a commonly known method of getting rid of your car. It works much like a consignment store does when you want to sell some old furniture or what have you. You bring the car to the dealer, they appraise it, and then put it up for sale. They take care of promoting, advertising, all of the heavy lifting. On the downside, look to handing over anywhere between 10 and 20 percent to the dealer once the sale is transacted.

Donation

There are a lot of organizations out there that would love to take your car off your hands. Many will even come and collect it. You can use the donation as a tax deduction, and then there’s that nice feeling of giving to a charitable cause. Good karna, and all that. On the downside, you’re not going to see any financial returns if you take this option.

Scrap It

This is a good option if your car is old, really in sad shape, and has been practically driven into the ground. There are some people out there that will come to your house and haul away your car, and hand you a check for your troubles. Granted, it won’t be much, but if the car has no real value anymore and no one is going to take it, it’s actually not a bad way to get rid of it.