Our network of Pennsylvania Buy Here Pay Here car lots offer auto financing for people with bad credit, no credit, or bankruptcy. They will lend you the money for your vehicle directly, as opposed to finding you an auto loan through a third-party bank, credit union, or other car lender that pays them a commission for your loan. By offering such direct in-house financing, they have more control over who gets approved, and they cater to those 25% of PA residents who suffer from credit problems.
Buy Here ‘N Pay Here can help you get approved from one of these local Buy Here Pay Here car lots in PA. There are thousands of vehicles waiting on dealer lots, and thousands of dollars in credit to be granted. With poor or zero credit, your interest rate will be high, but many BHPH dealers will allow you to refinance through one of their preferred traditional lenders once you display some solid repayment history.
Budgeting for your New Car
Most Buy Here Pay Here car lots in Pennsylvania are filled with used vehicles. That’s because a pre-owned vehicle is cheaper to finance and cheaper to insure — important factors when you have troubled credit and high interest rates.
Most personal finance specialists say you should allocate no more than 20% of your month’s budget to transportation costs. If you do not have a monthly budget, you should put one together before financing a new car.
Remember that total cost of ownership amounts to much more than just your car payment. Additionals like gas, insurance, maintenance, taxes, and registration fees are important to consider.
Auto Loan Rates and Your Credit
You should always check your credit report before signing the dotted line on your automobile financing deal.
Why? Because your APR rate is based largely on credit history, and without knowing it, you could overpay. Sadly, auto finance managers and dealers will commonly attempt to “pad” your interest rate by 1-2 points if they don’t think you’ll know the difference. With an inflated interest rate, you’ll be putting more of your hard-earned cash into the dealer’s profit column.
Moreover, credit report inaccuracies are more common than people suspect. You should ensure that your report doesn’t have issueslike false bankruptcies, unpaid bills, repossessions, and/or similar credit problems that could inflate your financing rates to astronomical proportions. There are stories online of people financing vehicles at a exorbitant rates, only to find out later that somebody else’s misreported bankruptcy or repo had marred their credit report and they didn’t know it.
To check your credit score, try a 30-day free trial from CreditReport.com.