Buy here pay here near me refers to car dealerships that offer in-house financing and typically do not require a credit check. They also set their own finance rates, which may be high for those with bad credit. They are often a last resort for those who need to get a new or used vehicle and cannot qualify for traditional auto loans with banks and credit unions. However, before you go down this road, make sure you understand all of the pros and cons of a buy here pay here near me dealership.
What is the buy here pay here law in Florida?
They may not report your payment history to the credit bureaus. This is important because timely payments are one of the main factors in determining your credit score. Unless your dealer does this, on-time payments won’t help build or repair your credit.
These dealerships often sell vehicles that cost more than they are worth after taking into account the loan amount and interest fees. They may even try to sell you extras like warranties and gap insurance that are unnecessary.
If you don’t make your payments on time, the dealer could repossess your car. To avoid this, you will need to visit the dealer every week or bi-weekly to make your payments in person. Some dealers will even use tracking devices and shut off switches to prevent you from starting the car if you’re behind on your payments.
While buy here pay here car dealerships offer a convenient option for those with poor credit, they come with many drawbacks that can outweigh the benefits. To make an informed decision, consider the following facts about BHPH car dealerships.