You have probably heard of the term 'buy here pay here dealership', but aren't exactly sure what that means, or if it's a good thing. Here at Easterns Automotive, we do our best to inform our customers about all aspects of the automotive world. So, watch the video above, where Joel Bassam, the Director of Marketing for Easterns Automotive Group, breaks down the differences between a traditional car dealership and a “buy here pay here” lot. You can also read on for more information.How does a Buy Here Pay Here Lot Work?
At a traditional car dealership, financing is secured through a partner or bank. At a “buy here pay here” lot, the financing is completed by the dealer. This is the main difference between the two.Are There Cons to Purchasing from a Buy Here Pay Here?
As mentioned above, the main difference in this type of business is that the car lot itself finances the loan. While that might seem like a small difference, it greatly impacts the consumer experience in a negative way:
It Won't Improve Your Credit Score: At “buy here pay here” lots, there generally isn’t any reporting to the three credit bureaus, so making payments on ti [...]