Trading in a vehicle or refinancing it are two different things. We want to take a brief look at the upsides and downsides of each option.

Trading in a car is what a lot of people like to do because it is easy to do and they can get something a bit newer and with more features. At the same time, you are probably not going to get the highest offer price for your car and there are scams to avoid.

Refinancing your vehicle can be a good choice because you can capitalize on a lower interest rate on the car loan. You may even be able to stretch out the length of the loan in general. That is a big deal as you don’t want to get yourself stuck in a loan that doesn’t work for you. At the same time, you may find yourself further in debt when you do this. It is also hard to pull off when you are already underwater on the vehicle.