See exactly what the old loan adds to the new one
Enter the numbers from the deal sheet. Trade-in sales-tax treatment varies by state, so use the toggle to match the rule that applies to you.
Planning estimate only. Tax treatment, taxable fees, lender rules and dealer paperwork vary. Use the written buyer's order and lender disclosure for final figures.
Negative equity is the gap between payoff and trade value.
If your lender payoff is $19,000 and the dealer offers $15,000 for the trade, the $4,000 difference has to be paid in cash or incorporated into the next transaction when the lender allows it.
Rolling it in can make the next loan larger than the new car price.
That larger starting balance can raise the payment, increase total interest and make it harder for the vehicle's value to catch up with the loan balance.
A long term can hide thousands of dollars of rolled-in debt behind a lower monthly number. Keep the trade payoff visible while comparing the deal.
FAQ
What is negative equity on a car?
Negative equity means the loan payoff is higher than the vehicle's trade or sale value. The difference is sometimes called being upside down.
Can negative equity be rolled into another car loan?
Sometimes. Approval and limits depend on the lender, borrower and new vehicle. When it is rolled in, it increases the amount that must be financed.
Does a longer term fix negative equity?
A longer term may reduce the required monthly payment, but it does not erase the old balance. It can keep the combined debt outstanding for longer and increase total interest.