Trade in iPhone that’s on Apple Card Monthly Installments

Last year I bought an iPhone 12 Pro Max and I pay for it using Apple Card Monthly Installments. Would it be possible to trade in the phone this year for one of the 13's? I've researched this and have found different answers but the one that seems to stick is as follows: it is possible but I'd still be responsible for the remaining payments on the 12 Pro Max and any applicable monthly

payments for the new phone. A trade in credit for the 12 Pro Max would still be applied to the new phone to help bring down the price of that one.

Is all of this correct?