How to Save Money on Trading-In a Car
Posted on Monday, February 5th, 2018 at 7:00 am
Are you thinking about trading your current car in for a new (or gently used) one? It is a good idea to take the time to figure out what kind of car you want to get. After you have decided upon the make and model, it is time to use some advice from State Farm that can help you save money on a trade in.
State Farm recommends that you make use of the free car appraisal tools that can be found on the internet. Using them correctly, and honestly, can give you a good idea of how much your car may be worth. There are very few cars that will be rated as “excellent”, so don’t worry if your car is rated as less than excellent.
It is important to be honest when discussing your trade-in with a car dealer. Let them know about the light on the dashboard that has been going off. Tell the dealer about any “fender benders” (or, more serious accidents) the car was involved in.
The dealer is going to find out about those things the moment he or she has your car serviced and evaluated. Lying to the car dealer, or attempting to hide the truth about the state of your vehicle, is not going to result in a better deal for you.
Use an online tool to find the value of your trade-in. The online car appraisal tool is going to provide you with a dollar amount that signifies what your car is worth. That doesn’t automatically mean that the car dealer is going to offer that amount to you for your trade-in. That specific dealership might already have too many of the type of car you want to trade in.
State Farm recommends you visit several dealers. Ask each what they will offer for your trade-in. Ask if they have any special deals going on involving trade-ins. State Farm also recommends that you visit at least one dealership that is different from your car’s brand.
Doing this might seem tedious, but it will help you to save money on a trade-in. You might be able to use what you learned to persuade a dealer to give you a deal that is at least as good as, if not better than, the what the dealer down the road offered you.
What if your car turns out to be not worth very much as a trade-in? One option is to consider donating your car to a charity. Some charities can give you a tax write-off for the amount that your donated car was valued at.