Weak credit. It can be a major issue when trying to get a loan. Banks and finance companies decide whether to approve you based on your credit score. Buy here pay here car lots do not. Generally, they are more concerned with whether you can make your payments going forward, not just your track record of doing so. Instead of a bank or lender accepting payments for the financed vehicle, the dealer will take all payments. Unfortunately, these dealers can be difficult to find. Often, the best way to identify them is through banners that say things such as: we tote the note, we finance, your job is your credit, or rent to own.
How to Get Approved for In-House Financing
Don’t waste your time trying to find a buy here pay here dealer in your area. That’s where we come in. We have relationships with dealers who want your business, in spite of bankruptcy or default, and they can approve you for financing – online! The approval process is fast, safe, and secure. Don’t delay. You could be driving your new vehicle today!
No, there isn’t any minimum credit score to submit an application. Having said that, there is a minimum income requirement: $1500 per month, or $1250 in certain zip codes. That’s gross income, before taxes, as opposed to what you actually take home. If you don’t make $1500 monthly, you can still get approved with a cosigner.
As you can see, these dealers are more focused on your income than your credit. That’s why they’re commonly referred to as your job is your credit dealers.
Do These Dealers Require a Down Payment?
Because buy here pay here dealerships work with all types of credit problems, they do normally require a down payment, either in cash or trade. Repossession rates are high for this type of financing, so a down payment protects the dealer if the vehicle has to be repossessed. Down payments lower your monthly payment, but you must decide whether you’d rather have that money saved for emergencies.
It’s common for one in four BHPH buyers to fall behind on their payments, resulting in repossession. The lot will be packed with vehicles that are too expensive. You need to opt for a modest vehicle with relatively low payments.
You should also carefully read through your agreement with your dealer. You need to know the rules surrounding defaults and repossession. You do not want to be shocked when a tow-truck knocks on the door, simply because you’ve missed a payment by a certain number of days.