The quick answer is: Yes, you can wrap a financed car!
You have the freedom to modify your financed car as long as you comply with state laws and avoid drastic changes that may compromise safety.
Keep reading to understand your car wrap options before modifying your vehicle.
Types of Allowed Modifications for Your Financed Car
In most U.S. states, when your car is financed, you as the borrower are the registered owner with complete control of how you use your vehicle.
The financing company is the lienholder, which means they are the legal owner with a security interest in your car until you fully pay off your loan.
When it comes to modifying your car, your auto loan terms won’t be affected by official modifications covered by your vehicle’s factory warranty, whether you’re wrapping your car yourself or hiring a professional installer.
However, finance companies often include certain clauses in the contract against major vehicle modifications to prevent significantly lowering the car’s value if you default on payments and they repossess the car.
Here are the typical reversible modifications applicable to a financed car:
- Color changes, like wrapping your car in vinyl or adding window tinting. Car wraps are cosmetic changes, and they’re perfectly legal. Just make sure to hire a professional installer who knows how to wrap a car flawlessly. You want to avoid common vinyl wrapping mistakes that can lead to paint damage. Remember, it’s hard to wrap a car on your own!
- Performance updates, including minor improvements to the engine, brakes, suspension, exhausts, or gearbox.
- Entertainment upgrades, including the screens, infotainment software, and stereos.
- Towing equipment additions, like a tow bar or better battery.
Pro Tip: Check your loan agreement before modifying a car to avoid costly mistakes. When in doubt, ask your lender. It’s best to get written permission from your finance company to ensure you’re both on the same page about your car wrap plans.
Considerations When Wrapping a Financed Car in the United States
Keep these in mind before you modify a financed car:
- Find out if your state requires you to notify DMV for vehicle color changes. In some U.S. states, car owners must inform DMV when permanently altering their vehicle color.
- Avoid overly reflective wrap materials, finishes, and vehicle wraps graphics that affect safety and visibility, especially mirrored and excessively shiny chrome wraps. (You don’t want to blind other drivers.) Check with your state’s motor vehicle department to know local regulations.
- Check your car insurance policy. While a vinyl wrap doesn’t void the car’s warranty in most cases, repairs related to any damage the wrap causes to the original paint or body when a car wrap fails may not be covered. Call your dealer to know their policy on wraps and warranties.
Choose a Trusted and Experienced Installer
Knowing that you can wrap a financed car is only the first step.
Choose a reputable car wrap company to ensure proper installation, keeping the original paint damage-free and allowing smooth removal when necessary. Your future self will thank you for saving yourself from headaches!
At National Car Wraps, our 3M-certified installers guarantee every wrap is flawless. We use top-quality vinyl and advanced equipment for outstanding results.
Contact us today to know your wrap options.
