To a dealer, its business and they are not forming an emotional bond with your trade-in like a private buyer would. If you were selling this privately, the prior damage would eliminate a lot of buyers, but it will not eliminate dealers at trade-in time. Some dealers require you to sign an affidavit attesting to the condition, accident history, etc. I fully disclose everything and include receipts and service history, window sticker, etc. I've traded in a couple of vehicles that were broadsided and suffered major damage and even included the before & after pics to the dealer. I don't think the trade-in values were lower as a result, and maybe the dealer appreciated someone who was not trying to pull something over on him. In the case of an airbag deployment, I would certainly disclose that - but I'm squeaky clean and we're all different. The beauty of the trade-in is that a dealer will take what you could not sell privately with disclosure. But don't misrepresent or hide anything. Treat others the way you wish to be treated.
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