If you have poor credit and need a car, you might consider buying here pay here financing. However, what exactly are the BHPH transactions? Let’s explore the issue more before we start searching for nearby buy here pay here car lots, visit us.
Step 1: Locate a BHPH dealer.
Finding a dealership that can provide this financing is the first step of the BHPH financing process. These dealerships are easy-to-identify because they often prominently display “Buy Now Pay Here” or ‘No Credit Check’ on their lot or websites.
Step 2 – Choose a Vehicle
BHPH dealerships have a wider selection of vehicles than traditional auto loans. They are however more flexible in terms of credit criteria and will work with customers to find the best car for them.
Step 3 – Discuss the cost
The total cost of the car might be higher than expected because BHPH retailers charge higher interest rates to customers than traditional lenders. Make sure you inquire about any possible additional fees.
Step 4 – Submit the loan application
If you are happy about the interest rate and terms of the loan, it’s now time to close your loan application. This involves, in general, disclosing financial and personal details like income, credit scores, and work history.
Step 5 – Make a downpayment.
Depending on vehicle cost and dealer criteria, the BHPH down payments can range from a few hundred to several thousands dollars.
Step 6 – Sign the loan agreement.
This document will contain all details regarding the loan conditions, including the interest rate, repayment schedule, and any potential costs.
Step 7 – Make your payments
Monthly payments at BHPH dealerships are often required. They can be done online, in person, or over-the-phone. Avoid late fees and foreclosure risk by paying your monthly payments on time.