Before deciding to purchase a car from a buy here pay here auto sales lot, it is important to weigh your options. You may be asked to make a large down payment, make several weekly payments, or make multiple payments. You may also have to provide cash or a check when making payments. Some dealers charge higher interest rates, while others don’t. You may also be required to pay a higher down payment than you can afford.
Improve Your Credit Score
Another important thing to consider is whether the buy here pay here dealership will report your payments to the major credit bureaus. Not every dealership reports to the bureaus, so it is important to ask about this before making a decision. If they do not, you could be losing out on the chance to improve your credit score. Finally, you might want to check whether the dealer will try to sell you a warranty or GAP insurance policy. Often, a dealer will offer you the warranty or GAP insurance in exchange for an additional monthly payment. Typically, the monthly payment will be higher than the vehicle’s value alone, so it is important to know if the dealer will include these items in the loan.
If you do decide to buy a used car from a buy here pay here auto sales facility, it is best to ask the seller about their return policy before making a decision. This is particularly useful if you think your car is worth more than what you owe on it. The difference will be added to your new loan amount. However, it is important to note that if you decide to return a car to a buy here pay here auto sales facility, you are likely to face serious consequences, including a decrease in your credit score and garnishment of wages.