What is Buy Here Pay Here?
Buy Here Pay Here (BHPH) is a financing option for car buyers who have poor credit history or no credit at all. In BHPH, the dealer acts as the financier and the buyer makes the payments directly to the dealer. BHPH dealerships are often seen as a last resort for car buyers who cannot secure financing from traditional lenders.
Why Choose Buy Here Pay Here in Shelbyville TN?
Shelbyville TN is a small town with a population of around 21,000. The town has a thriving economy with a low unemployment rate. However, many people in Shelbyville TN have poor credit history or no credit at all. This makes it difficult for them to secure financing for a car from traditional lenders. This is where BHPH dealerships come in. BHPH dealerships in Shelbyville TN offer financing options to car buyers who have been turned down by traditional lenders.
How Does Buy Here Pay Here Work?
When you choose BHPH, you will need to provide proof of income and residency. The dealership will then determine how much you can afford to pay each month. You will be required to make regular payments directly to the dealership. The dealership will also report your payments to the credit bureau, which can help improve your credit score.
What Are the Benefits of Buy Here Pay Here?
One of the benefits of BHPH is that it is easier to qualify for financing. Traditional lenders often require a good credit score and a substantial down payment. BHPH dealerships, on the other hand, are more lenient with their requirements. Another benefit is that BHPH dealerships often have a wide selection of cars to choose from, including newer models.
What Are the Drawbacks of Buy Here Pay Here?
One of the drawbacks of BHPH is that the interest rates are often higher than traditional lenders. This is because BHPH dealerships are taking on more risk by financing car buyers with poor credit history. Another drawback is that BHPH dealerships often require a large down payment or a trade-in to secure financing.
How to Choose a Buy Here Pay Here Dealership in Shelbyville TN?
When choosing a BHPH dealership in Shelbyville TN, it is important to do your research. Look for dealerships with good reviews and a wide selection of cars. Make sure the dealership is transparent about their financing terms and fees. It is also important to choose a dealership that reports your payments to the credit bureau.
Conclusion
If you have poor credit history or no credit at all, BHPH can be a viable option for financing a car. However, it is important to do your research and choose a reputable dealership. BHPH dealerships in Shelbyville TN offer financing options to car buyers who have been turned down by traditional lenders. By making regular payments, you can also improve your credit score.
