Buy Here Pay Here in Greer
You have probably heard about a buy here pay here dealership in Greer. You must have also heard a whole lot of facts and myths from different entities. Now, you know that the concept sounds helpful but you are skeptical due to the warnings given out by different pundits. Having your facts straight to make an informed decision is necessary. And this is the post that clears the air about buy here pay here used car dealerships. Here, we answer a series of questions that people generally ask and give you the facts you need to know.
Why do buy here pay here dealerships deal in bad credit loans?
The simple answer is because there is demand in the market and such dealerships are catering to that demand just like any other business. Not everyone in South Carolina carries a good credit score. And without a good credit score, you cannot apply for an auto loan in a conventional bank. So, does this mean that people with bad credit or no credit score will live without a car? Certainly not. Buy here pay here in Greer looks after this market. Being an independent financial house, BHPH dealers are free from federal jurisdictions of credit score checks and thus offer bad credit loans to eligible customers.
Why are the interest rates higher than the banks?
Buy here pay here dealers are still part of the market. They will have to follow the market rules. As per the current norm, the interest rate you pay goes up with the credit score you have to mitigate the risk factor associated with the debt. Banks do not take the risk of taking on bad credit score holders as debtors. Hence, their interest rates do not go beyond a particular mark. But it is the business policy of BHPH dealers to offer bad credit cars for sale in Greer and thus, the interest rates are naturally higher as compared to banks.
Can I take any amount of loan I want?
The offer generally says – finance used cars in Greer yourself, easy loan approval. This is true. Your loan request will be approved in a buy here pay here dealership but the amount will vary depending on your credit report. Ultimately, the dealer has to check if you can afford the monthly premiums. Depending on your existing liabilities, you cannot go over a certain premium amount with your paycheck. This will decide your loan amount. Your credit score will not affect your eligibility to take a loan but you cannot expect to draw any loan amount you want as driving you to bankruptcy will help no one.
Is there any way to bypass the high interest rate factor?
You can do that in numerous ways. First, you can look at comparatively cheaper used cars that come inside your budget – financing included. Family Auto cars come in all price brackets and you can pick a quality vehicle at almost all ranges. Second, trade-in your old car at Family Auto to include the current dollar value of the vehicle in your down payment. This will reduce the loan amount and thus the interest rate. Lastly, try to pay off your loan in a short span. Family Auto offers 3-year credit plans. The more you drag your loan, the greater the interest rate you pay.
Embrace buy here pay here in Greer with any skepticism. The model is designed to help you buy a used car and that is exactly what you get in reputed dealerships like Family Auto.
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