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Four Key Questions To Get You Started

Have my needs changed?

Think about how your next vehicle can work even better for you.

  • Have your needs changed?

    If your lifestyle has changed or your family has grown, you might need a different kind of car.

  • What did you like (or not like) about your previous car?

    A quick pros and cons list can help you fine-tune your must-haves in your next vehicle.

  • What features are most important to you?

    Do you want the latest safety and technology features to improve your car driving experience?

Trade In or Sell?

If you own your current vehicle, you have two options: You can trade it in at the dealership as part of your new vehicle purchase, or sell it privately. While you will want to maximize the value of your vehicle, there is a balance between price and convenience to consider. Here are some things to keep in mind:

Responsive Table Example
Trade In or Sell table Trade In Sell
How it Works By trading in at the dealership, you can use the value of the vehicle toward a down payment. Selling your vehicle is typically done on an online marketplace or through friends and family.
Value/ Price Typically, trade-in value is lower than what you may recoup should you sell privately. Selling privately gives you the opportunity to maximize the price of your vehicle.
Convenience Very convenient. The dealer sets the value and does all the paperwork. Requires more work, as you will need to interact with sellers, manage repairs, inspections and more.
Taxes You only pay taxes on the vehicle selling price after the trade-in value is applied. There are no tax advantages when using the value from the private sale for your down payment.

What’s My Car Worth?

Understanding the value of your current vehicle is an important step when looking at your next vehicle. Major online marketplaces have price analysis tools to help you understand the resale value of your vehicle.

Use DRIVE to estimate the value of your vehicle.

Whether you’re trying to price your vehicle for a private sale, or negotiating the trade-in value at the dealership, DRIVE, powered by RBC Ventures, makes it easy to see what your car may be worth.

Do I Have Equity In My Car?

Do you have an existing loan on your vehicle? Is it more or less than the value of your car? Once you have a good idea of what your vehicle is worth…

  • What is Positive Equity?

    When the trade-in or resale value of your vehicle is more than the current balance of your loan.

  • What this means: You have equity that can be used as an additional down payment to reduce your next loan amount.

  • What is Negative Equity?

    When the trade-in or resale value of your vehicle is less than the current balance on your loan.

  • What this means: If you have negative equity and are trading in at the dealership, options may be discussed with the dealer. It is common to have the amount of negative equity added to the price of the new vehicle. Note that excessive negative equity may affect your chances of being approved for a loan.

Why Choose RBC For Your Car Financing

  • Competitive Interest Rates

    Get a competitive rate when financing with RBC. Special financing rates are available through our featured partner manufacturers1Disclaimer.

  • Apply where it’s convenient for you

    Choose financing for your vehicle at one of our partner dealerships.

  • Flexible payment options

    Pay monthly, semi-monthly, bi-weekly or weekly. There’s no penalty to pay off your loan early.

  • Financing solutions that match your needs

    Choose a term from 1 to 8 years with financing available for units up to 10 years old.

How do I buy through a dealership?

  • Visit any of our trusted partner dealers

  • Test drive a new or used car

  • Discover dealer incentives and trade-in savings

  • Apply for financing onsite

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Where applicable, loan terms are subject to renewal at the end of the term.

This calculation is an estimate based on the accuracy and completeness of the data you have entered and the indicated estimated interest rate, is for illustrative and general information purposes only, and is not intended to provide specific financial or other advice, and should not be relied upon in that regard. You should speak with your professional accountant or other professional advisors before making a final decision to ensure any strategy meets your overall financial needs and that your personal circumstances have been taken into account. Your Estimated Fixed Rate Loan Payment does not include any registration or administration fees that may be applicable. Royal Bank of Canada does not make any express or implied warranties or representations with respect to any information or results in connection with the calculator. Royal Bank of Canada will not be liable for any losses or damages arising from any errors or omissions in any information or results, or any action or decision made by you in reliance on any information or results.

Special Financing Rates Available With These Featured Manufacturers1Disclaimer

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Special Financing Rates Available With These Featured Manufacturers1Disclaimer

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Save Cash on Every Fill-Up

Save 3 ¢ per litre on gas at Petro-CanadaDisclaimer, plus earn 20% more points when you link your Petro-Points card to any eligible RBC debit or credit card2Disclaimer,3Disclaimer.

Ready to Get Started?

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Ask for RBC financing at a dealer near you.