How do you decide whether to trade in your vehicle or refinance it? The answer is simple. Our Lone Tree, CO Bozarth Chevrolet team has a quick rundown for you, including the benefits of trading vs. refinancing.

A vehicle trade-in is essentially a dealer allowance or store credit you can apply toward another vehicle's cost. Dealers consult KBB for ballpark ideas of the trade-in value. They also consider your vehicle's popularity, demand, make, model, and condition. Trading in your vehicle is advisable when you're ready to purchase a new vehicle.

Refinancing a vehicle is the same as renegotiating its interest rate, APR, or overall monthly payment. You can do it with the same lender, or you can try your luck with a new lender. Since your credit score may improve over time, refinancing might be to your advantage. It's advisable when you want to keep your car, but you just want a newer, more affordable loan and rates.