If your pay-off amount is more than our offer for your car, the difference is called “negative equity.” In some cases, the negative equity can be included in your financing when you buy a car from CarMax. If not, we’ll calculate the difference between your pay-off and our offer to you and you can pay CarMax directly.
Can I sell my financed car back to CarMax?
Yes! CarMax will buy a car with a loan on it in most cases. Unless you’re way too far upside down on the loan, CarMax is likely to purchase the car from you. If you want to sell a vehicle to CarMax that still has a car loan on it, schedule a meeting or walk into a branch near you.
Does selling a financed car hurt your credit?
Sell the vehicle.
If your car is worth as much as or close to the balance on your account, selling it could enable you to pay off the loan without harming your credit.
How can I get rid of my financed car?
Best Ways to Get Out of a Car Loan
- Pay off the loan. If you can be debt-free within two years and the total value of your vehicles isn’t more than half your income, it’s time to get serious about paying off your car loan.
- Sell the car.
- Refinance Your Current Car Loan.
- Surrender Your Car.
- Default on Your Car Loan.
Can you sell a car to CarMax that isn’t paid off? – Related Questions
Will a dealership buy my car if I still owe?
What happens if I still owe money on my trade in car? It’s important that you know the pay-off amount – how much you still owe – and the trade value of the car – how much the dealer is willing to offer you. A dealer will then pay off your old loan and give you a credit for the value of your trade vehicle.
What happens if I don’t want my financed car anymore?
Ask for a Voluntary Repossession
In this scenario, you tell the lender you can no longer make payments ask them to take the car back. You hand over the keys and you may also have to hand over money to make up the value of the loan.
Can I give back my financed car?
You can return it, but you’ll probably have to pay back any remaining money you owe on the contract, so if you still have a year left, then the lender will expect a year’s worth of fees up front.
How do you get rid of a financed car without hurting your credit?
The only two options that will keep your credit intact and allow you to keep your car is to call your lender and explain the situation, hoping they will work with you, or to refinance your loan.
Can you return a financed car back to the bank?
If you can’t afford your car payments, you can give the vehicle back to your car loan lender. But just because you surrender the car doesn’t mean that the creditor has forgiven the debt or that it has to. (If you’re giving the car back under the assumption that the creditor will write the loan off, think again!)
What happens if I return a financed car?
Once you return the vehicle, it’s considered a default because you’re no longer making payments. The car is then prepped to be sold at auction, and the proceeds from that are applied to your remaining loan balance. If the loan isn’t completely paid off or has a deficiency balance, you still owe that to the lender.
How does returning a car to Carmax work?
You can take a full 30 days (up to 1500 miles) to decide if the car you buy is right for your life. As long as the condition is consistent with when you purchased it and you’ve driven fewer than 1500 miles since your purchase, you can bring it back within 30 days and we’ll help you complete your return.
Is voluntary surrender better than repossession?
Because a voluntary surrender means you worked with the lender to resolve the debt, future lenders may view it a little more favorably than a repossession when they review your credit history. However, the difference will likely be minimal in terms of your credit scores.
How soon can you trade in a financed car?
How soon can you trade in a financed car? You can trade in a financed car any time, but you may want to wait a year or more — especially if you bought a new car. Cars depreciate over time.
Is it a good idea to trade in a financed car?
Trading in a car with a loan might be the smartest thing if: Your car has high ownership costs. If your car uses a lot of gas, often needs repairs, or needs specialty parts, it can be financially savvy to trade it in. Choose a smaller car or a more modern one to save money in the long run.
Can you swap your car finance to another car?
Can you swap a car on finance? The short answer is no, not without settling up with the lender. As the finance payments haven’t been settled, you don’t actually own the car outright just yet. As a result, you need to clear them before you can begin to think about swapping vehicles.
Will dealerships pay off negative equity?
If you have negative equity on the car (as in it’s worth less than what you currently owe), the dealer may still buy the car and pay off the loan, but the difference will be rolled into your new car loan — meaning you’ll still need to pay it off eventually.
Will a car dealer pay off my finance?
Will a car dealership settle my finance? Another short answer: yes. This is a popular process for people looking to upgrade or change their car before paying off the total outstanding finance.
Can I trade my financed car in for a cheaper one?
The answer is “yes!” Trading in a financed car is possible, but keep in mind that the loan on the car loan won’t go away because you’ve traded in the car. The balance will still need to be paid.