Searching the various dealer websites is a good thing when swapping your car for something newer. The downside comes from constantly having to switch between the same websites to compare everything needed.
We’re here to help, and explain how to use this important information on how to change your car early.
Used Car portals – good, right?
A bit like Rightmove for houses, there are various websites that let you search in one place across lots of dealer’s cars. This includes Autotrader, Motors, RAC Cars, Piston Heads, Trovit, Exchange & Mart, AA Cars, Desperate Seller and dozens more – but remember these are only advertising sites, they don’t actually sell the cars. That’s for you to manage.
As long as you’re good at Multitasking
This is when you have to start contacting each advertiser in turn and that’s a totally new conversation every time. Once you shortlist a car you like, here’s some of the questions you’ll need to ask:
- Is your car still available?
- Can you give me a discount?
- Will you take my car in part exchange?
- Will you need to see my PX?
- What’s your best price for my PX?
- Can you settle my old car’s finance?
- What happens if I have negative equity?
- Can you do it with no deposit?
- What warranty will you give?
- Do I have to pay anything on top?
And you won’t just ask these questions once, it’ll be every time you contact a different dealership.
It’s all about your Part Exchange
Whilst most websites these days have a part exchange valuation service, chances are you’ll be given a different trade-in price from every dealer. Example: if you contact five different dealers, you’ll repeat yourself five times to five different Sales Executives. You can then expect five different PX valuations from five different companies who will all need to see your car. It’s boring, long-winded and confusing.
So why not sell your car privately?
You could always become the sales person yourself and advertise your car privately on any of the above-mentioned websites, or you could visit an online buyer such as WeBuyAnyCar.com. This is becoming more popular, because as Mr Philip Schofield off the telly claims, you may get a better deal without a PX.
Can you really get a better no-PX deal?
Maybe on a new car, yes, but NOT when buying Used. Dealers nowadays are reluctant to discount for two reasons (1) they have to be price-sensitive to achieve best value positions online and (2) there’s a big shortage of used car stock everywhere.
And what if I owe money on my old car?
We estimate that every day, 1.6 million people are driving a car they bought from a dealer and owe more than 50% of what they borrowed originally. That means the online buyer knows to settle your old finance off and pay you the balance left over (the equity).
And what if you’ve got negative equity?
The simple answer is, you will need to stump up some cash. Negative equity is the amount you owe more than your car is worth. For example: let’s say your part exchange was worth £5,000, but you still owed £6,000 on it, then you would need to pay the online buyer £1,000 for them to take it off your hands.
How to avoid owing too much
Naturally, the less you borrow at the outset will impact on how much you owe in the long run. So at some stage it would benefit to build up some savings to kill off the negative equity spiral. Other areas such as ensuring your car is in great condition with lower mileage and a good service history will help you get more for it at the time you wish to part exchange it.
You’re not alone with negative equity
The average consumer today will have between £1,000 and £2,000 negative equity on their car if they’ve only paid around half of their loan back. If this is you, it means when you sell your car to an online buyer or even the man or woman in the street, this negative equity shortfall will need to be paid from somewhere – your savings.
No deposit + Negative Equity = Payment Swap
Until you’ve saved enough money to pay towards driving something newer, then we’re here to help. After five years with a 4.8/5 star Trust Pilot rating, www.PaymentSwap.co.uk remains the only dedicated, online configuration website that lets you search and upgrade to a dealer-supplied used car. Subject to status, we will include your negative equity into the new car’s monthly payment, which means no deposit is needed to upgrade to over 5,000 cars in stock and with an 11.9% APR rate from the outset. Choose the car and payment that’s right for you.
Even more benefits when changing cars early
As well as the excitement of changing your car early, and the fun of collecting it on that lovely summers day, the quality of all our dealer-supplied used cars means you’re covered by their warranty. Everything we sell offer comes with up to 12 months warranty and breakdown cover, free.
At https://www.paymentswap.co.uk/ we believe in transparent pricing and clear instructions on what to do and what product you’re buying. This is why we score 4.8/5 stars on https://uk.trustpilot.com/review/paymentswap.co.uk