Can I trade in my 23 charger GT for an old car?

[lsnellen]

I’m thinking of trading in my 23 dodge charger GT for something old like a bmw or benz. But I heard that bmw’s maintenance is crazy according to some bmw owners.

The payments in my gt is $452 b/w @6.99% APR with $428 mth car insurance. I purchased the car last year, sep 2023, Ik it’s a bad idea to trade it in so early because of so much negative equity.

If I traded it for a cheaper car would it be the same? like I want something reliable about 15-25k

I went to a gmc dealership yesterday to test drive a 2015 bmw 335i but I couldn’t, they wanted to make sure that I would either buy it or trade my car in, I didn’t even see the car.

 

[edo2]

@lsnellen I'm going to be honest, this is bad, bad, bad. So bad I'm 50/50 on whether you're trolling us. You're upside down on a Charger, paying $428 insurance on top of a 6.99% loan and you want to trade it for a reliable used german luxury car?! There is no such thing as a reliable and affordable used german luxury car.

If you're not trolling, you need to stop, take a breather and ask for opinions from people in your life who got their shit together. A financed '23 Charger bought at the peak of covid inflation is baaad news. If you need to get out from under this, try to payback the loan faster. Try to get someone to take-over the financing and buy the car from you. You'll have to sweeten the deal, because right now its unpalatable. And if you still need some wheels once you unloaded this one to the next guy, buy a gently used lease return. Something boring, grey and cheap. Don't compound this mistake and drive yourself to bankruptcy.

 

[lsnellen]

@edo2 Ik stuupid right? I just got excited on buying my "dream car" didn’t think about what would happen in long term. Made a mistake, lesson learned, also the people in my life has no experience with this kind of stuff, no parents either so it’s just me making some dvmb decisions.

 

[edo2]

@lsnellen We all make mistakes and if we're lucky we hopefully learn from them. Don't panic and don't ask the dealership to solve this for you, their incentives are opposite to yours.

Try to get in contact with one of the many counseling services if you need help to manage this and want to know more about the strategies you can take to gain back control of your finances. https://www.canada.ca/en/financial-consumer-agency/services/debt/debt-help.html

 

[hera]

@lsnellen I don’t understand some people buy cars and want out in 6 months. When I buy a car I think about can I still drive it 10 years from now. Op saw a cup of coffee clearly marked “Acid do not drink” yet drank it.

 

[sylviagab]

@lsnellen The depreciation on old luxury cars doesn't make the parts or service any cheaper. If it was an expensive vehicle new, the parts are likely to be expensive forever. The most clear version of that was GM cars of the 80's and 90's. A bunch of cars had a chevrolet version, a buick version, a cadillac version, etc. Essentially the same replacement exhaust pipe would be $200 for the chev, $300 for the buick, and $400 for the caddy, with a few minor differences between them. After 10 years, the caddy and chevy would be similar prices to buy, but the parts didn't get cheaper for the caddy.

My experience with BMWs was no different. Parts were quite a bit more than cars that were cheaper when new, and it was more difficult to find people to work on the car, so the labour also tended to be more money.

 

[boboman]

@lsnellen You’re screwed

 

[lsnellen]

@boboman LOL thank you for reminding me.

 

[burdie01]

@lsnellen You own a charger, which is pretty much a Mercedes platform with an American engine and German transmission. What do you gain by going with some old BMW? Drive what you have, they're great cars. You're kind of stuck with it anyways.

 

[athanasius1007]

@lsnellen How much do you have left on your loan? Let’s say you still have $50k left, there’s no way they’re gonna let you trade for a car worth $30k less.

 

[lsnellen]

@athanasius1007 68k So I’m stuck w this huh? what am I supposed to do? wait until it’s half?

 

[chrismclure42]

@lsnellen So, uh, you owe $68k on a car that's worth about $40k.

You can't trade that in without having to pay off the missing $28k, that is way too much negative equity to roll into another loan, especially on a decade old used Benz or BMW.

You've dug yourself into a nice hole here

 

[lsnellen]

@chrismclure42 So what ? Should I just keep paying this till the term is done?

I have another plan, I would refinance when my credit gets better cause I just got a secure full time job, I hope this will make a difference.

what do y’all think???

 

[chrismclure42]

@lsnellen Well, yeah. You can't sell it right now because you owe a shit ton more than it's worth.

Also, drive carefully, because if you get in an accident your insurance will pay out the current fair market value, NOT your remaining balance owing on the loan.

 

[lsnellen]

@chrismclure42 Got it, thank you.

 

[athanasius1007]

@lsnellen Lol well you ain’t trading it for a $20k vehicle unless you’re ready to pay at least $20k more lol

 

[lsnellen]

@athanasius1007 Ik they will roll over the remaining balance but if I trade it in for something cheaper wouldn’t I get less payments?

 

[athanasius1007]

@lsnellen How much is your current car worth? I’m sure it’s nowhere near $68k.

 

[lsnellen]

@athanasius1007 originally 58k, with so much interest and low credit it totaled to 72k. Trade in value? still inquiring but one dealership said it might be 30-38k

 

[athanasius1007]

@lsnellen Exactly. So trying to find someone who would finance a $20k car for $50k is going to be very hard to find, especially if you have bad credit. It would be impossible actually.