What Is Buy Here Pay Here?

Buy Here Pay Here financing means that you arrange the loan and make payments on it at the dealership where you purchased the car. In other words, it's an all in one shopping process because the car dealer is also the finance company. Loan decisions are made by the Buy Here Pay Here dealer, who wants to sell you a car, so approval is nearly always guaranteed when you have an address and a steady income.

Why Go With a Buy Here Pay Here Dealer?

If you are unable to get financed through any other means, a Buy Here Pay Here dealer may be your last, and best, resort. Most of us simply can't afford to buy a car with cash. Typically, we borrow money for a car through third-party lenders, such as banks, credit unions and carmaker-associated lending companies. For a variety of reasons, however (such as a spotty credit history, no credit or a very low credit score), traditional lenders may not work for you. If that's the case, there are always Buy Here Pay Here dealers.

A Buy Here, Pay Here dealership saves you time and saves you hassle, making car buying a much more enjoyable experience. Buying a car is a big purchase and it can be stressful for some, but a good Buy Here Pay Here dealer can help make the experience as painless as possible, and shorten the amount of time that you spend on the lot, letting you drive off in your new car in as little as 20 minutes! A Buy Here Pay Here dealership speeds up the whole process, and makes it as quick, easy, and hassle-free as you've always wanted car buying to be. So when you're looking for your next vehicle, look for a Buy Here Pay Here dealer.

Common Myths About Buy Here Pay Here Lots:

1.) They don't offer any warranties.

Fact: More and more dealers are offering different types of warranties with the vehicles they sell and many more even have service contracts available if you want them. Competition alone continues to expand the number of dealers offering some kind of warranty or service contract to their customers. One of the single, most universal truths of the Buy Here Pay Here business is that, “When the car stops running, the customer stops paying”. Buy Here Pay Here dealers have been aware of this since the dawn of the industry. Most dealers will work with customers in the event of a breakdown to get you and your vehicle back on the road.

2.) Buy Here Pay Here lots are unregulated.

Fact: Buy Here Pay Here lots have many rules and regulations they must comply with. Just to list a few:

• State & Federal Unfair & Deceptive Practices laws


• State Usury laws


• The Truth in Lending Act


• The Fair & Accurate Credit Transaction Act


• The Used Car Rule

There are also many more laws that the Buy Here Pay Here industry has to comply with in addition to the ones listed above.