Buy here pay here, or BHPH, is a type of automobile dealership. It’s when a dealer offers buyers credit to purchase a car. This method allows buyers to make payments over time, but it can be risky. If you’re interested in buying a car through this type of dealership, make sure you know your rights and obligations before you buy one.
Make Sure You Know Your Rights And Obligations Before You Buy One
If you’re worried about your credit, don’t buy here pay here. Most of these dealers won’t accept bank account payments, checks, or money orders. This is because these dealers typically deal with consumers with bad credit. Even if your bank account is set up to automatically withdraw your payments, you might not be able to make a withdrawal if you don’t have enough money.
Another drawback of a buy here pay here dealership is that the total cost of the car can be higher than you originally expected. Since these vehicles are generally used, the resale value is low, so you’re likely to end up owing more than the car is worth. If this happens, it’s referred to as negative equity, and the risk is higher if you have a credit problem.
The best buy here pay here dealerships offer competitive financing terms for their vehicles. Their goal is to make your car as reliable as possible. This means they don’t offer the newest technology, heated seats, or other bells and whistles. Their focus is on making the car you purchase reliable and affordable.