Buy Here, Pay Here financing is a form of car loan whereby the dealer finances your purchase directly. You will make payments to the dealer instead of sending them to a lender, such as a bank or credit union. These types of loans can carry many benefits that folks do not always consider. Indeed, particularly if you have credit problems, this type of loan can be an ideal way of getting you on the road.
Bad Credit No Problem!
Buy here, pay here dealerships can get you financing regardless of your credit rating. Do you have a bankruptcy or foreclosure on your report? No problem! Have you been rejected for credit by other lenders? That’s fine! A buy here, pay here lender will be able to finance you a vehicle regardless of any credit challenges you may have. Indeed, for those with poor credit it may be their only option.
Improve Your Credit
These lenders will faithfully report to credit bureaus. This means that if you make your payments on time and regularly, a BHPH lender will actually help you to improve and rebuild bad credit. The more payments you make, the better your credit history will be. Finally, when you pay off that debt, you will show a “paid” record on your report, which has an excellent effect on your credit score.
High Quality Pre-Owned Vehicles
Since you are making payments directly to the dealer, it will want to make sure you are satisfied with the purchase. BHPH dealers want you to buy from them again, and they want to avoid conflict with their customers. That means that you are more likely to get a very high quality used vehicle from one of these sellers than from other dealerships. Some may even offer on-site repairs and maintenance agreements. After all, if your vehicle breaks down, you’re more likely to forego payments.
When you trade in a car which may be an older model, a BHPH dealer is more likely to give you a strong offer for it. These dealers have a full understanding of how important it is for many to get long-term use out of their car.
Contrary to many new car dealers, the BHPH dealer sees an older trade-in as an opportunity rather than a nuisance they’ll have to unload at an auction. When they take in the older trade-in, they will get it repaired and back in tip-top shape to resell it, which means they’re much happier to give you a good offer.
Tons of Advantages
There are many advantages to purchasing a pre-owned vehicle from a dealer that offers a buy here, pay here option for financing. These dealers will be flexible with trade-ins, offer higher quality vehicles, and have no problems extending loans to those with credit problems.
You can even use this opportunity to rebuild that imperfect credit score! If you are looking for an opportunity to get into a good vehicle, we are here to help. Check out some information about us and give us a call today!