BHPH Local Car Lots
Today there is a new option of auto financing in the form of buy here pay here local car lots. In the past people who had very bad credit had no hope in terms of financing a car. Their options were limited to purchasing old clunkers from private parties with cash or simply taking public transportation. These lots specialize in providing financing for people who have very bad credit. Terms can be demanding on these loans; however, if you are able to make timely payments, you can have a car and you can work on improving your credit rating. Here’s how it works:
A BHPH local car lot will typically offer all types of used cars. These are fairly low risk cars for the owner of the business. The dealer may not have a lot of choices on hand, and your choices will be limited by the amount you can truly and realistically afford. This is actually a good thing.
When you go to a BHPH dealer, the first thing you will do is sit down and determine how much you can really afford to pay. You will talk about the amount and frequency of your payments and the amount of your interest. Understand that you may make payments weekly, rather than monthly. Your interest will probably be quite high. Additionally, you will need to come to the car lot in person to make your payment in cash or with a money order. All of these precautions are necessary because the dealer must protect his/her investment when working with consumers who are proven high credit risk.
Once you have determined how much you can afford, you will look at the cars available to you. When you have made a selection, and you agree to buy it. Understand that, once you make the agreement, the vehicle will probably be possibly outfitted with a tracking device and/or ignition locking technology so that the dealer will always know where it is and be able to reclaim it if you are late on a payment. It is absolutely imperative you make your payments on time!
It’s easy to see that, when you purchase from buy here pay here local car lots, you will be held very accountable. While this may seem burdensome, it is important to remember that this form of financing and type of merchandise is specifically targeted toward consumers who really have no other choice. If your credit is so bad that you have no hope of getting any other form of financing, this option can enable you to have a car to get to and from work and give you a chance to begin rebuilding your credit.
When you talk over the financing terms with the BHPH dealer, be sure to find out whether or not he or she will report your payment performance to the major credit report bureaus. This is very important because you want your good payment history with this car dealer to be on record. This is how you rebuild your credit.
Buy here pay here local car lots are not the best choice for everyone; however, for people with very bad credit, they can represent a real opportunity to get a fresh start. Just as the dealer must protect his or her interest, you must protect yours. When you deal with a BHPH car lot be smart and savvy. Ask all the right questions, and be sure to make your payments on time. Apply now and get approved in less than 60 seconds!