System trade-in: what is it

Often there are car owners who prefer a single brand. A similar choice falls on popular car brands. Having ridden a few years on a purchased car, the driver seeks to get a new vehicle of the manufacturer he likes.

В подобных случаях рекомендуется system trade-in what is it и какие она имеет преимущества, разберемся дальше. Главное — иметь в наличии б/у автомобиль и желание купить нового четырехколесного друга с таким же значком на радиаторной решетке.

Content

  • 1 What is Trade In when buying a car
  • 2 Carrying out the procedure
  • 3 Should I participate in the transaction
  • 4 Additional questions
  • 5 Formulas

What is Trade In when buying a car

This system is an auxiliary marketing move. The Trade-In program is an opportunity from the auto company to get a loyal regular buyer of cars. Citizens are offered to quickly and comfortably part with a used vehicle in a single day with a small discount for urgency and get a car from the salon at the same time for an extra charge.

The sale of used vehicles can stretch in certain cases for a long period of several weeks / months. In this case, the owner is forced to devote time to many interested persons, answering phone calls, bringing them to the garage inspection and constantly sending out announcements to all print and virtual resources.

What is Trade-In in the showroom

Когда требуется получить новое авто быстро, необходимо отправиться в соответствующие автосалоны, предоставляющие подобный сервис. Список услуг можно узнать у менеджера лично или по телефону. О том, What is Trade-In in the showroom, европейские или американские пользователи знают уже давно, и пользуются этим регулярно. В нашей стране данная услуга является относительно новой, поэтому у покупателей может возникать некоторое не всегда обоснованное недоверие к ней.

Carrying out the procedure

The operation to obtain the desired car instead of the old one can occur according to the following algorithm:

  • as Trade-In works, giving out new cars, it is necessary to choose in advance to purchase the model you like in the salon;
  • on the basis of certain expert examinations established by the company, an analysis is carried out of the condition of the used Trade machine on a used Trade-In from the buyer;
  • a contract is concluded with the salon for the purchase / sale of a used car;
  • the difference between the estimated cost of the used vehicle and the price of the new vehicle is entered into the indicated account;
  • car owner gets the desired purchase.

Funds that are not enough to purchase new items can be made in different ways. Here it is necessary to note the following ways:

  • cash is deposited in any branch of a commercial or state bank;
  • the missing amount is transferred by cashless payment:
  • funds can be sent to the bank that provided the credit line in the missing amount.

Important! Each car manufacturer has the right to independently establish the terms of redemption of used cars from owners, and penalties for not purchasing a new car can be stipulated or a discount will be provided unlike regular purchases for cash or non-cash funds.

Should I participate in the transaction

The exchange of machines for Trade-In has its advantages and disadvantages. However, not all vehicles can be accepted from car owners. Positive characteristics of the operation:

  • Trade-In service saves a lot of time, allowing you to sell and buy a car without leaving the salon without additional costs for submitting an ad;
  • legal purity of the transaction is ensured, since official dealers strictly follow legal issues, avoiding problems;
  • the opportunity to get a discount on a new model, although often the discount applies to certain models, the names of which need to be clarified with the manager;
  • preferential credit conditions and instant transfer of the loan amount to pay for the difference between the cost of the car being sold / bought.
See also: How to choose a car for a novice driver

system trade-in what is it

The disadvantages of the system include factors such as:

  1. relatively small selection of model range. Fact is one of the major drawbacks of the Trade-in system. To minimize its influence, it is necessary to look for dealers with a wide network that can be found in large cities such as Moscow, St. Petersburg or Novosibirsk.
  2. The purchase of a used car is carried out at a discount, which in reality can reach 40-50% of the real market value of some companies.
  3. if the buyer refuses to purchase the proposed car, then an additional penalty of 5-10% of the transaction amount can wait for him.

When working with trading, one has to communicate with the official representatives of the car company. In this case, the possibility of fraud is minimized, although the human factor is not completely excluded. Avoid unnecessary overpayments for the use of the auto exchange system can be subject to certain rules:

  1. First you need to know the estimated cost of your car in several dealerships. Evaluation service is free in most salons. Do not rely on the average cost derived from the sale of such brands of used cars, as it is not always objective.
  2. To determine the value of the discount, which is provided by the dealer, it is necessary to find out the price tag of the new car in this and other stores through a hotline or personally.
  3. Trade In implies mandatory diagnostics. In the traditional version of the salon redeems the car, prescribing new information about the owner in the TCP. When diagnostics do not occur, the re-registration is most likely under an agency agreement or under a commission agreement.
  4. Side of the cabin can call a pre-inflated cost of buying used cars. Subsequently, according to the results of diagnostics, the plank is assumed to be lower, sometimes the discount reaches 15–20%.
  5. Redemption of used vehicles instead of the new one is underdeveloped in the regions, in contrast to the capital. Almost all the major Moscow auto shows can boast of such a service.
See also: How to choose a used car

The use of services in reality requires care. Sometimes it is more profitable to sell an old model in one salon, and buy a new one in another.

Additional questions

For redemption salons do not accept cars with the following parameters:

  • the car is under arrest in traffic police bases;
  • the car is listed as stolen;
  • The vehicle is pledged as a bank or pawnshop.

It also requires that the car was in working, non-emergency condition and had a specific release date. The final cost consists of the following machine parameters:

  • year of issue;
  • Mark of a passable vehicle;
  • real mileage;
  • the need to replace parts or individual parts;
  • the cost of carrying out cosmetic repairs.

It is important to know that the final cost, which will go to offset the purchased model of car, is determined by mutual agreement.

The classic age of the exchanged car does not exceed 6-10 years. The indicator of the country of release will be important: a foreign model or a domestic one. Cars of 2-4 years of foreign assembly are more popular. Although some models of salons do not take even on this condition.

Formulas

There is no general exact universal algorithm for all salons and car brands. However, you can use the indicative parameters used by most managers:

  • for the year of operation, the new car loses about 20% of its price tag;
  • an average of 10% reduced cost for each year;
  • less popular models lose 15–20% annually;
  • demanded liquid brands are falling at a slower rate of 5-7%.

The most vulnerable are the cars of the upper price threshold when buying out at Trade-in. Dealers in the calculations for the first year of 25-30%, and then throw off to 20% annually.

These formulas are relevant for cars whose mileage does not exceed 30-35 thousand km. With a larger turn on the odometer, an increase in discount occurs.

There are financial details of putting used cars for new ones. The greatest benefit can be obtained when passing the car brand in the same dealer network. It is recommended to bring the car in order by cleaning the interior, washing it outside, thereby ensuring an attractive appearance. It is important to determine in advance the lower price threshold, if the buyout price tag significantly decreases from it, then we recommend changing the interior. In the telephone mode, the manager always voices a more attractive price in order to entice the client, but in fact, price-reducing factors can be identified.

A serious company always carries out a thorough technical diagnostics and legal verification of the cars purchased, so it takes 2-3 days to complete these operations, unlike low-quality offices that turn the deal in a couple of hours. When making a car, you must provide all the necessary documents.

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