Car Lot Finance

Buy Here Pay Here Lots

Buy Here Pay Here lots are an idea that started fairly recently in terms of automotive financing. The way things used to work, you would have to either find somebody to give you a loan while you were shopping for a car, you would find a car and then seek out a loan for it, or you would have to work with whomever the dealer was currently working with in order to get a loan. Fortunately, there have been some changes and now you are finding a greater number of dealers are cutting out the middle man and instead doing their own loans. And there are very good reasons why this is.

While they had been around for a little while previous to that, Buy Here Pay Here lots really started gaining popularity during the financial crisis. Banks and traditional lenders, scared of taking risks on loans, tightened their credit requirements, making it harder for a lot of people to borrow money. Lots that adopted the Buy Here Pay Here model were generally more likely to lend to a person with a lower credit score than banks would be willing to accept, letting otherwise good people who were smart investments get the transportation they needed. While the interest rate on this type of loan tends to be higher, it’s not terrible and certainly better than being denied.

Besides just being less strict regarding credit, Buy Here Pay Here lots are much more likely to work with you if you’re having problems with your loan. You can speak to a loan officer directly, and usually one who has the ability to actually make decisions without miles of red tape to cut through first. They can listen to your story and respond to your individual circumstances, something that a disconnected bureaucrat simply doesn’t have the time or willingness to do. They would rather work with you than just repossess your car.

But perhaps the most useful thing is that you can pay right at the lot. If you’re buying used cars in Charlotte NC, you want to be able to make sure that all of your payments arrive on time, and what better way to do that than to deliver it yourself? You also have more options, generally, as far as payment methods go, allowing you to pay with cash or a debit card rather than just a check or money order. It also helps you with your timing so that you can avoid any fees that might accumulate if you’re not careful with distant or hard to reach banks and lenders.

As you can see, there are plenty of really astounding reasons why you should consider shopping for cars at Buy Here Pay Here lots.

 

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