What is part exchange for cars?

Have you been thinking ‘it’s time to change my car’? Well, if you are, we’re here to help you understand all your options. You may have heard of part exchange when doing research into how to sell your car and if you want to learn more about it, you’re in the right place.

In this article we’ll cover everything you need to know about part-exchanging your vehicle, including what it is, how it works, the benefits of doing it and what you need to do when part exchanging your car.

What is part-exchange for cars and what does part exchange mean?

In short, part-exchanging is the process of trading your current vehicle in as part of the sale and payment towards another. It’s a quick and easy way to get rid of your old car and an effective way to cover some of the cost towards your new one.

Part exchange for cars, sometimes referred to as ‘P/X’ or ‘part-ex’, is an exchange which takes place between a car buyer and a dealership when the buyer is looking to purchase a new car and exchange their old one. The dealer will take ownership of the buyer’s current car so the buyer can purchase a new one.

The price given is dependent on several factors – some of which include the vehicle’s make and spec, mileage, age and general condition. When the trade-in value is agreed upon, this amount can be deducted from the sale price of the new vehicle or used towards settling any outstanding finance. Any remaining balance must either be paid in full or financed.

How to get the best price for a car part exchange

There are a few things you can do to ensure you get the best price when it comes to trading in your car.

Bring your service history.

There are a few things you can do to ensure you get the best price when it comes to trading in your car.

Bring the locking wheel nut and both keys.

As part of a vehicle’s standard equipment, two keys and locking wheel nuts must also be brought to your appointment. Without these, your car part-exchange price could be negatively impacted.

How does part exchange work?

At Arnold Clark, the process of part-exchanging your car couldn’t be any simpler.

1. Find your perfect car.

   Browse thousands of cars in stock to find your perfect car.

2. Build your part-exchange deal online or visit your nearest Arnold Clark branch.

   Build your part-exchange deal online and use our car valuation tool to get an online quote. You can also visit any Arnold Clark dealership where we can help you discuss your part-exchange options.

3. Complete the purchase of your new car.

   Purchase your new car and arrange a collection/exchange date. Make sure you bring along the necessary documents and equipment when you collect your car.

4. Sign the paperwork.

   When it comes time to sign, our helpful product consultants will take their time and explain everything to you in full. If you have any questions or queries, don’t hesitate to ask.

5. Drive away in your new car.

   Just like that, you’ll be saying goodbye to your old car and hello to your new one!

How does part exchange work on a financed car?

If you have a financed car, you can still part-exchange with us, there are just a few extra steps and considerations. Firstly, you’ll have to contact your finance company for a settlement figure. Once you have a settlement figure, you will know whether you are in positive or negative equity. Let us explain both scenarios:

• Learn more about selling a car on finance

Car part exchange – the benefits

We want to make sure that when you get your next car, it’s an exciting, stress-free occasion; that’s why our process is seamless. Below are the key ways in which our car part-exchange process can benefit you:

• It's quick.

You can buy a new car and part-exchange yours all in the same transaction and get behind the wheel of your new car faster.

• It's easy.

There’s no need to deal with any of the stresses or costs of selling your car privately, such as setting up a classified ad or showing your car to potential buyers who may not end up going ahead with the purchase.

• It's hassle-free.

We take care of all the paperwork and can even settle any outstanding finance left on your current car. When selling privately, all outstanding finance must be settled before the car is sold.

• It's simple.

We’ll accept any car, regardless of age, mileage or condition. We can even accept more than one car. And the best part? We’ll give you a fair valuation, either online or in person, as we’re able to view the car there and then.

Your questions answered

What documents do I need to part-exchange my car?

When part-exchanging your car, there are a few important documents you’ll need to bring along with you to your appointment. Having all these ready to go will ensure the part-exchange process goes smoothly on the day:

• The V5C (logbook)
• An up-to-date MOT certificate (if applicable)
• Vehicle manual (if applicable)
• Service book (if applicable)

If you’re part-exchanging a car on finance, you should also bring the following documents for your finance company. In any financial transaction, you are typically required to bring proof of identity and address. To be on the safe side, we recommend bringing each of the below if you can:

• Driving licence
• Passport
• Bank statement or utility bill (dated within the last 90 days)

What do dealers do with part-exchange cars?

At Arnold Clark, what we do with part-exchange cars depends on many different factors. For example, a part-exchange car which is fairly new, in good condition and with low mileage will be sold on to another owner. Or it may be that the part-exchange car is an older car with high mileage; in some cases, these cars will be sent to auction.

Is it better to part-exchange or sell?

Whether it is better to part-exchange or sell is ultimately up to the individual and their situation. A benefit of part-exchanging your car is that it can help cover some of the cost towards your next car.

Additionally, when you get a new car, it may just be that you don’t want your old car hanging about and taking up driveway space. If that is the case, then choosing to part-exchange would be the best option, you get your new car and trade in your old one on the same day. It’s quick, convenient and hassle-free.

Can you part-exchange for a cheaper car?

At Arnold Clark, we always do our upmost to get you the best deal for your lifestyle, budget and preferences. When it comes to a part exchange, we’re happy to discuss any car at any price range. Contact us when you are ready to discuss all your options.