Have you ever heard the terminology “Buy Here Pay Here” (BHPH) as it relates to the car business? BHPH is also called in house financing by many car dealers. Buy Here Pay Here has been around for a long time and is a great way for customers to get into a vehicle regardless of their credit situation.
During the BHPH process the dealer makes the decision on extending credit and then collects the payments at the dealership on a weekly, bi-weekly, semi-monthly or a monthly basis. At Automatic Car Credit of Idaho Falls we have been providing in house financing or Buy Here Pay Here for over 25 years and we have helped thousands of customers get a vehicle that might not have been able to buy otherwise.
The disadvantage for customers is that most BHPH dealers do not report to the credit reporting agencies therefor it is hard to re-establish their credit as they make their payments on time. The flip side of that is, if they have problems or get repossessed it doesn’t negatively affect their credit. Many of our customers choose to in house finance with us because of the ease and it doesn’t tie up their existing credit sources. The Buy Here Pay Here process can be a great experience for both the customer and the dealer. It is easy and fast and through the ongoing payment process there is an opportunity for the dealer and the customer to form a solid relationship.