Buy Here, Pay Here Financing: The truth about it

Dealerships offer BHPH loans. Tradition had it that you got loans from the bank or creditunion of your choice. People with below-average credit have a harder time getting a loan since lending practices are tighter. BHPH offers a solution – recommended site!

When you use BHPH to get a loan, the dealer will also collect your payments. The payment options vary by dealership. Many dealers will accept only cash. However, some may also accept credit cards and checks. You should ask all the questions you can about your options. Missed payment at a BHPH dealer is treated the same as any other missed payment. In worst cases, repossessions and late fees may be charged. In the event that your vehicle is repossessed, you will be liable for the entire balance. The last thing you need is to have a payment without a car.

What is the main difference between a BHPH dealer and traditional finance?

It’s not much. There is no real difference. While most dealerships always offer BHPH financing, they advertise differently. These types of loans are considered to be high-risk by other dealerships. Since it’s become so hard to obtain financing, they are only joining in now.

How can I tell if I need to find a BHPH Dealer?

A BHPH dealership may be the only option if your application has been rejected more than once by a traditional dealer due to a poor credit rating. Some places/people will tell you that there are other routes.

Companies on the internet, for example, may ask for personal information to approve you instantly. Some of the things they advertise are no deposit, welcome to people with bad credit and no previous work experience required. These places are not to be trusted. You will be redirected to a BHPH dealership in disguise or they’ll use lending methods similar to BHPH. You may receive phone calls from dozens of BHPH Dealers. It’s often easier to visit a BHPH showroom and speak to them in person than to get dozens or even hundreds of phone calls.

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