Tips on Buying Cars: purchase, tier 1 credit, toyota camry

Question
good day don, i hope this finds you well. my wife has a 2010 toyota camry, she owes about $22,000. she has always wondered if it is possible to trade a vehicle in, and have the upside-downess spread over the purchase of 2 new or used vehicles? she has tier 1 credit according to toyota. thanks

Answer
Kenneth:Happy Holidays!The simple truth is that YOU can trade any car.However the current market value may be less than you owe.Simply put,YOU may owe more than the value of the car.

There are two suggestions:You may have to put money down as the banks only "carry" 110%-120% over loan value.Second,if YOU like the car, consider re-financing the car at better interest rate,which would lower the payments.

As a rule financing a car does not have some form of equity(on a 60 mo. note)until about 4th year.Good luck Don