Buying a vehicle through a dealership that offers dealers buy here pay here near me can be a good choice if you’ve been turned down by a bank or lender. However, buying a vehicle this way can come with some serious drawbacks.
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For starters, the prices for vehicles sold at dealerships that offer buy here pay here near me can be much higher than the fair value of the vehicle. This means you could be paying more for your car than it’s actually worth, and the payments can be tough to manage. Also, the loan will come with a high interest rate, so your monthly payments may be more expensive than your car alone.
In addition, not all dealers buy here pay here near me dealers report payment history to credit bureaus. You’ll need to ask the dealer whether it does or not. If it does, make sure you’re aware of the reporting process. Keeping a positive credit score is important, so making payments on time can improve your score. If it doesn’t, consider other options.
Buy here pay here dealers may also require a higher down payment than a traditional dealership. This means the first buyer may lose money. If you don’t have a large amount of cash on hand, you’ll have a hard time finding a car that’s right for you.
Also, if you’re behind on payments, your car could be repossessed. This means that you’ll be unable to drive it. Depending on your dealership, you may be able to get your car back if it’s in good condition.