Selling an upside down car to carmax

This post may contain affiliate links. Click here to read my full disclosure. Doing the same thing over and over expecting a different result? We were so tired of basically paying the equivalent of a house payment for a car.

Browse credit cards from a variety of issuers to see if there's a better card for you. Do you have a Carmax in your area? You can get a quote from them and the quote is good for 7 IIRC days. Then check out private party value to see if you get more. Carmax is easy and painless.

Selling an upside down car to carmax

Negative equity also goes with other terms like upside-down or underwater. As a public trade-in vehicle retailer, selling your upside down car to CarMax can be snappy and simple. Yes, CarMax will buy your car even without you buying any car from them. Unfortunately, this stressful financial situation does not have a one-size-fits-all solution. You might never get a buyer or lose so much, even if you eventually land a dealer. Upside down car owners can find themselves torn between two unwanted options: making regular payments while potentially losing equity, or selling the car and eating the losses. You pay the difference out of pocket. Our written offers are good for seven days, giving you time to get any necessary funds to settle your transaction. However, the trade-in value of your car becomes credit towards your loan. This credit might cover the whole balance. Almost all people have an upside car loan at some point in their loan life.

Message 16 of Individual models and makes even depreciate at different rates, other than the kelly blue book or similar check, not certain how else to make the determination of when.

Get expert advice delivered straight to your inbox. That really stinks. Whether you fell for that new-car smell and took out a bigger loan than you could afford, made too small of a down payment, or got shortchanged by a dishonest dealer, you can clean up this mess. But it is going to take some hard work. We feel for you. Because even though it may feel like you have a giant mess on your hands right now, you can absolutely clean it up. Then you need to figure out the current private sale value of your car a search on Kelley Blue Book is a good way to do that.

Many or all of the products featured here are from our partners who compensate us. This influences which products we write about and where and how the product appears on a page. However, this does not influence our evaluations. Our opinions are our own. Here is a list of our partners and here's how we make money. Without even knowing it, you may have put yourself in a financially precarious position: being upside-down on your car loan.

Selling an upside down car to carmax

As car dealerships find innovative ways to make more people buy their new cars, it is now becoming more common to find people with negative equity. Factors like small or no down payment, high-interest rate, roll over and longer loan terms are some of the things that can make people have negative equity. Negative equity also goes with other terms like upside-down or underwater. Being upside down is not a big issue unless the vehicle is declared a total loss by insurance, stolen or you want to replace it. You should review your auto loan balance and the resale value before you can start shopping for a new car , as the state of your equity will affect how you can sell your car. Selling an upside down car to Carmax is a popular way you can dispose of your car with negative equity.

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As to timing - one of the others will have to answer you. Every auto loan has associated fees and costs that can make your payment more expensive. Sadly, a higher interest rate means that most of your monthly payments go towards paying interest and not the principal. An upside-down auto loan is not necessarily a bad thing and you will not even notice as long as you are paying the loan as agreed with no missed payments. Sign In Get Started. We sat down with our banker, and we explained our situation. Facebook Instagram Twitter YouTube. You are someone that I would definitely not want to do business with. That is why you bring the car to carmax and get the firm quote on what they will pay for it - then you know how much cash you have to bring to get the deal done if you are upside down. Leave a Reply Cancel reply Your email address will not be published. Then you can sit down with them and explain to them that you want to negotiate a price for that vehicle. So to recap: talk to your bank about your options. It is a very frustrating situation to owe more than the car is worth!

My friend told me that CarMax offers great value if you want to sell it to them. The only problem is that my car still has a loan on it, although I have positive equity. Will CarMax buy my car if it has a loan on it?

StartingOver10 wrote: Do you have a Carmax in your area? Thank you for your comment! I've heard dealerships with used inventory have that problem both model and calendar year, so it probably applys in this situation too. The dealerships that promise to pay off your current loan to enable you to get a new car will rollover your existing balance into your new loan. Run that through your value estimate and compare that to if you sell the car right now on current age and mileage and you can estimate how much the car would depreciate. But it is going to take some hard work. Helpful information! You are someone that I would definitely not want to do business with. In case you are about selling your vehicle on the spot, carry these things with you:. Learn More. An upside-down auto loan is not necessarily a bad thing and you will not even notice as long as you are paying the loan as agreed with no missed payments. We're Hiring!