Sometimes, your financial circumstances change. A once affordable car payment may become too much to pay. At these times, a car owner has to consider refinancing in order to get a lower payment or trading in to get a less expensive car. What is the best route to take?

If it is possible to refinance and get a lower payment, that is often the best way to go. However, refinancing may not significantly lower payments. Lenders are often not willing to refinance cars that are older or that have a lot of miles on the odometer.

If refinancing isn't an option, you have the option of trading in a vehicle on a cheaper vehicle. You will get some money from trading in even an older car. When trading in, make sure that you are getting a good car that will last. You may not get a fancy car, but you want a reliable car.



Categories: Finance