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By Craig Hale
If you’re wondering what does part exchange mean or how does part exchange work, we’ve got you covered.
In simple terms, a part exchange is when you trade in your current vehicle as part of the payment towards a new one.
The value of your old car then gets deducted from the price of your next car, making it cheaper.
You may also be able to part exchange cars with outstanding finance. If it’s worth more than what you have left to pay on it, you’ll get to use this surplus towards your next vehicle.
If the value is lower than your remaining payments, you’ll be in negative equity. You can carry this over to your next car, which in turn makes it more expensive.
Whatever your situation, instead of going through the hassle of selling privately, part exchange allows you to hand over your old car directly to the dealer when you collect your new one, making the whole car-buying process far easier.
Part exchange means using your current car as part of the deal when buying another vehicle – usually to make your next car cheaper.
The dealer effectively buys your car from you, reducing the price of the next one accordingly.
This differs from selling privately, where you’d have to advertise, arrange viewings, deal with buyers and handle the funds yourself.
The part exchange process is straightforward – here’s how it works step-by-step:
There are a few steps you can take to get a better valuation, too, including keeping your car clean, fixing any issues yourself, providing a full service history, ensuring the MOT is up-to-date and including spare keys, manuals and any receipts for work you’ve had done to it.
Part exchange isn’t only for upgrading – you can also part exchange your vehicle for a cheaper one.
In that case, the dealer may give you the difference in cash, or reduce the balance on any outstanding finance if you’re still mid-term.
If you own the car and it’s worth £20,000, but you buy a car worth £15,000, then you’ll get £5,000 back, for example.
Some dealers have a cap on how much cash they’re happy to release through the part exchange. You’ll need to check how much this is to ensure it still suits your circumstances.
Absolutely – part exchanging a car on finance is far easier than selling a car privately when you’re mid-term. Here are the two scenarios you’ll likely find yourself in:
Sometimes, dealers can factor in this negative equity into future finance agreements, but beware because this makes your next car more expensive.
When you see ‘part exchange to clear’ in dealership listings, it usually means the car was taken in as a part-exchange deal, and it’s being sold at a lower price.
These cars may not have been through the same checks as approved used vehicles, including preparation and added warranty, which is why they’re often listed as ‘to clear’ at bargain prices.
These can be a good option for securing a car at a great price, but you’ll need to factor in longer-term ownership. Faults could pop up later on, whereas they would usually have been spotted by dealers who inspect cars before selling them.
The amount you’ll get for your car depends on several factors, including:
You might find that selling privately could get you slightly more than part exchanging, but you have to go through the logistical hassle yourself. For many, the convenience of part exchanging is worth it.
Why not value your vehicle with Marshall to see how much you could get?
Part exchanging a car helps you get rid of your old one and get into a newer model easily, without you having to take care of the logistics. Just rock up on collection day in your previous car and drive away in your latest wheels.
There are pros and cons to part exchanging and selling privately – we’ve listed some of the main factors below:
| Part exchange | Selling privately | |
| Convinence | Quick and easy – handled by the dealer | Time to advertise, meet buyers, arrange test drives |
| Price | Sometimes lower | You could achieve a slightly higher price |
| Speed | Instant – ready to exchange when you pick up your new car | Could take weeks or months, especially if you’re pushing for a higher price |
| Hassle | Minimal – you’re visiting anyway to discuss your next car | You’ll be the only handling enquiries, test drives and paperwork |
Part exchanging is the simplest way to get rid of your old car, but there are still some things you need to bring along with you.
The essentials include your V5C (logbook), service history, spare keys and any finance settlement documents.
You can bring the MOT certificate to hand over in the vehicle’s file, but it’s just as easily accessible online by dealers.
Some handy extras that the next buyer will appreciate include receipts for recent work or repairs, manuals and accessories that are designed specifically for that car (ones you can’t take to your next car).
Part exchanging your car with Marshall is simple and stress-free. We’ll handle everything, right from giving you your quote to dealing with the paperwork, settling your finance and taking the keys off you.
Value your vehicle to see how much you could get with us.
By Craig Hale
If you’re wondering what does part exchange mean or how does part exchange work, we’ve got you covered.
In simple terms, a part exchange is when you trade in your current vehicle as part of the payment towards a new one.
The value of your old car then gets deducted from the price of your next car, making it cheaper.
You may also be able to part exchange cars with outstanding finance. If it’s worth more than what you have left to pay on it, you’ll get to use this surplus towards your next vehicle.
If the value is lower than your remaining payments, you’ll be in negative equity. You can carry this over to your next car, which in turn makes it more expensive.
Whatever your situation, instead of going through the hassle of selling privately, part exchange allows you to hand over your old car directly to the dealer when you collect your new one, making the whole car-buying process far easier.
Part exchange means using your current car as part of the deal when buying another vehicle – usually to make your next car cheaper.
The dealer effectively buys your car from you, reducing the price of the next one accordingly.
This differs from selling privately, where you’d have to advertise, arrange viewings, deal with buyers and handle the funds yourself.
The part exchange process is straightforward – here’s how it works step-by-step:
There are a few steps you can take to get a better valuation, too, including keeping your car clean, fixing any issues yourself, providing a full service history, ensuring the MOT is up-to-date and including spare keys, manuals and any receipts for work you’ve had done to it.
Part exchange isn’t only for upgrading – you can also part exchange your vehicle for a cheaper one.
In that case, the dealer may give you the difference in cash, or reduce the balance on any outstanding finance if you’re still mid-term.
If you own the car and it’s worth £20,000, but you buy a car worth £15,000, then you’ll get £5,000 back, for example.
Some dealers have a cap on how much cash they’re happy to release through the part exchange. You’ll need to check how much this is to ensure it still suits your circumstances.
Absolutely – part exchanging a car on finance is far easier than selling a car privately when you’re mid-term. Here are the two scenarios you’ll likely find yourself in:
Sometimes, dealers can factor in this negative equity into future finance agreements, but beware because this makes your next car more expensive.
When you see ‘part exchange to clear’ in dealership listings, it usually means the car was taken in as a part-exchange deal, and it’s being sold at a lower price.
These cars may not have been through the same checks as approved used vehicles, including preparation and added warranty, which is why they’re often listed as ‘to clear’ at bargain prices.
These can be a good option for securing a car at a great price, but you’ll need to factor in longer-term ownership. Faults could pop up later on, whereas they would usually have been spotted by dealers who inspect cars before selling them.
The amount you’ll get for your car depends on several factors, including:
You might find that selling privately could get you slightly more than part exchanging, but you have to go through the logistical hassle yourself. For many, the convenience of part exchanging is worth it.
Why not value your vehicle with Marshall to see how much you could get?
Part exchanging a car helps you get rid of your old one and get into a newer model easily, without you having to take care of the logistics. Just rock up on collection day in your previous car and drive away in your latest wheels.
There are pros and cons to part exchanging and selling privately – we’ve listed some of the main factors below:
| Part exchange | Selling privately | |
| Convinence | Quick and easy – handled by the dealer | Time to advertise, meet buyers, arrange test drives |
| Price | Sometimes lower | You could achieve a slightly higher price |
| Speed | Instant – ready to exchange when you pick up your new car | Could take weeks or months, especially if you’re pushing for a higher price |
| Hassle | Minimal – you’re visiting anyway to discuss your next car | You’ll be the only handling enquiries, test drives and paperwork |
Part exchanging is the simplest way to get rid of your old car, but there are still some things you need to bring along with you.
The essentials include your V5C (logbook), service history, spare keys and any finance settlement documents.
You can bring the MOT certificate to hand over in the vehicle’s file, but it’s just as easily accessible online by dealers.
Some handy extras that the next buyer will appreciate include receipts for recent work or repairs, manuals and accessories that are designed specifically for that car (ones you can’t take to your next car).
Part exchanging your car with Marshall is simple and stress-free. We’ll handle everything, right from giving you your quote to dealing with the paperwork, settling your finance and taking the keys off you.
Value your vehicle to see how much you could get with us.
