What is Buy-Here, Pay-Here?
Buy Here Pay Here is essentially the same as "In House Financing" and is often relegated to people with bad credit
However, that is not always the case, A family could have a debt ratio issue, or earn their income in a non-traditional way.
There are many other reasons that people would need to be financed by dealer "In-House" Programs
Perhaps they choose not to deal with major banks, or may have had poor experiences in the past.
Another reason would be the flexibility that SOME dealers offer:
• Prepayment Incentives
• Lower Payments than the banks would agree to
• Payments customized to your income intervals, Bi-weekly or Semi Monthly
The Rates aren't always 21.99% or higher, they can be just as competitive as regular banks, it depends on the dealer and your individual situation.
Having a good relationship with a Buy Here Pay Here Dealer is almost like having a relationship with a small bank years ago, they listen more, and dictate less.
Take a look at what we include in our Craigslist advertising
Here is another way that Drive Nation USA stands apart from the rest
Many Smaller dealers are accustomed to putting everyone in the same category as though they were all "Credit Criminals" we have with years of experience and developed relationships learned that is not the case.
Some People acknowledge that they are going to pay higher rate, while others aren't aware until its way too late to do anything about it and are slammed into a vehicle by a slick commission paid car sales person
Rates and Terms are important for many reasons, well if you can’t get a decent rate then you shouldn't go with a long-term loan because the overall interest will be incredibly high.
If you have no choice because of mistakes made in the past, try to keep the amount financed under $10,000 and the term at 36 months or less with this type of structure the overall picture is not too bad, just make certain you make all of the payments on time, and along the way clean up some of your bad credit and hopefully with some work the next auto loan will be at a lower rate.
Good luck with your decisions!