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Selling to a Dealer

Selling to a dealer is probably the easiest way of disposing of a used car as the dealer does most of the work in arranging transfers, paying the relevant fees, and arranging for roadworthiness or safety inspections. You only have to present proof of identity and ownership and hand over the keys. TRADING IN Just as there's no such thing as "a free lunch", so there's no such thing as "money for nothing" if you trade your car in.

Don't be fooled by inflated trade-in prices. They are not excessive generosity by the dealer - the money comes from somewhere and it will more likely be from your pocket than theirs!

If a dealer wants your car, either because they feel confident they can sell it for a profit, need to sell the car you are interested in, or they are getting a factory bonus to help them move superseded or excess stock, then you may certainly get a good deal.

They may even give away some of their margin by either discounting the price of the vehicle you are interested in buying, or by giving you more for your trade-in - but rarely both.
Often, it depends on the vehicle you are trading, its age and condition.

If you are buying a new or used Nissan, for example, a late-model, low mileage Nissan with popular options, in a popular colour and in good condition, will be an asset on their used car lot.

So, after preparing it for sale and making an allowance for the mandatory warranty they must offer by law, they will be looking to make a profit, or at the worst, break even on your trade-in.

But if you have an older, untidy and perhaps mechanically-tired vehicle of another make to trade, the dealer will simply value it at a price they can on-sell it to the "bargain" car yards, or even a wrecker. So there will be no "fat" in the deal and any trade-in price you get will simply come off the price you could have negotiated for the vehicle you are interested in - without a trade in.

On the credit side, trading your car can often serve as a deposit on another car, which is important if you are short of ready cash.

Next Tip - Selling at Auction
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