There are a lot of options if you have bad credit. While having bad credit isn’t the most ideal situation if you know how and where to buy then you can rebuild your credit history for the future. It seems like there are a lot of buy here pay here dealers out there but the truth is they aren’t all the same. Just like any other business they aren’t all created equal. Some are better than others and there are a few you wouldn’t want to send your worst enemy to.
What distinguishes a good buy here pay here dealership to a bad one?
1. Clean cars: Buy here pay here dealers get their cars from all over the place. It’s not quite as important to know where it came from but whether or not the car lot took the time to service it. Not all buy here pay here dealers take the time or spend the money to fix the cars. Most cars are sold as is no warranty which is fine as long as the car you’re buying has been serviced. Make sure you drive the car as long as possible. Smell the engine and make sure it doesn’t smoke. Keep an ear out for any noise inconsistencies in the engine.
2. Credit reporting: Having good credit is one of the most important things you can have as you navigate through life. If you have bad credit that doesn’t mean it’s a death sentence. It just means you need to take some time, regroup and rebuild. Once you rebuild your credit history you can save money over the long run. The best buy here pay here dealers either report credit themselves or sell your note to another company once you’ve generated some history with them. A lot of buy here pay here used car dealers neglect to do this because they don’t care about anything except your money. Look for the dealers that take the time to help you get back on the right path to rebuilding. This way once you pay your loan off you’ll have history to go out and save money.
3. Protection: Most, if not all, buy here pay here dealers are as is no warranty expressed or implied. A lot of them won’t even give you a warranty either. The good news is that there are some who will protect you if anything happens to the car. For example, if the car breaks down within a certain amount of time they will either put you in a different car or fix the problem. Look for the buy here pay here dealers who will do this for you as they are the safest to buy a used car from. Stay away from the guys who aren’t willing to help you when things go wrong.
4. Low down payment: In a bad economy it’s hard to save up for a down payment when you have so many bills. Most places require a down payment of $1,000 or more to finance you, especially with bad or no credit history. There are some buy here pay here dealerships that can help you. They will split up your down payment over a 45 day period so you can drive off with the car and pay the rest over that 45 days. They may even defer your first payment to 60 days. While it’s always better to put more money down as it lowers your payments if you have a low down payment there just aren’t many options especially if you need a car now.
5. Referral bonus: Look for the buy here pay here dealers that have a referral bonus of some sort. You want a place that will give you cash for sending you friends or family. Econo Auto Sales offers a referral bonus up to $500 for anyone who ends up buying from us even if you haven’t bought a car from us before.
There are buy here pay here dealers everywhere but not all of them are in your best interest. The key to finding a buy here pay here dealer is one that is willing to help you. You can find them in Lakewood, Littleton, Denver, Englewood, Thornton, Northglenn and Aurora. While there are many buy here pay here car lots there aren’t as many as regular dealerships. Just like regular dealerships there are good ones and bad ones. If you know what to look for you can weed out the bad ones and focus only on the good ones.