Refinancing or trading in your vehicle are two options that you have to get past the vehicle that you have right now. The important difference is that refinancing leaves you in your current vehicle but lowers your interest rate on it to hopefully allow you to pay it off sooner. Trading the vehicle in means that you can get out from the vehicle you are in now into something you upgrade to, but you end up losing some of the value.

The appeal of the trade-in is that it can be done today, and you can get into an upgraded car that you wouldn't have imagined you could have had before. That is a pretty big deal, but it also means that you have to make sure you don't discount the loss of value that is placed on the vehicle you trade in. You have decisions to make there regarding how you will move forward with your next vehicle.

 

Categories: Finance