Fact Check: Don’t Believe These Common Myths About Buy Here Pay Here Car Dealers

When people with less-than-perfect credit need a car, they often turn to buy here pay here dealers who offer onsite financing rather than traditional bank financing. If you’re considering a BHPH lot, you might have wondered: “Are buy here pay here lots bad?” The answer is no! While most agree that the upside is that it’s far easier to qualify for a loan at a BHPH lot, there are also some unfair myths that prevent car buyers from visiting this type of dealer.

Here’s the deal:

You can’t believe everything you hear, so we’ve provided the truth about some of the most common myths surrounding buy here pay here car dealers.

MYTH: You Won’t Find a Quality Car at a Buy Here Pay Here Dealership

TRUTH: Are there some lots that sell inferior cars? Probably, but like any dealership BHPH lots want to sell cars and want to earn repeat business. In order to do that, they have to sell quality cars and provide excellent customer service. Victory Used Cars is committed to providing reliable vehicles to our customers and to providing a level of service that keeps them coming back to us again and again!

MYTH: The Monthly Payments Are Always Exorbitantly High

TRUTH: This is one of the most common myths. While a BHPH lot may charge a higher interest rate, you’ll find that to be the case for any institution that lends to those with lower credit scores. Does that mean the monthly payments are outrageously high? No, it doesn’t. It means you’ll pay a little more for any credit that’s extended to you until you can rebuild your credit—and a buy here pay here dealership can help you do that!

Victory Used Cars works closely with our customers to find a vehicle and a payment plan that meets their needs AND their budget.

MYTH: The Cars Are Not Covered by Warranties

TRUTH: In every industry, you’ll find examples of unsavory business practices, but this particular myth gets under the skin of quality buy here pay here dealerships. Why? Because reputable dealerships provide warranties on the cars they sell in order to protect the buyer. The reason warranties are provided is that it’s the right thing to do and, despite the myths, most BHPH dealerships have their customers’ best interests in mind.

Victory Used Cars stands behind every vehicle we sell with warranties that protect our customers’ investment in a used car or truck.

MYTH: BHPH Dealers Don’t Have to Abide by Industry Regulations

TRUTH: Some rumors about BHPH dealers are just silly, and this one is a good example. If this myth were true, buy-here-pay-here lots would be like the Wild Wild West of car buying where anything goes and slick talking sales people told whatever lies it took to close a sale—and then thumbed their nose at the authorities if anyone tried to hold them accountable. It doesn’t work like that.

Victory Used Cars and all buy here pay here dealers must adhere to a long list of regulations designed to protect the consumer. These include:

  • Deceptive Practice Laws
  • Usury Laws
  • The Privacy Rule
  • The Truth in Lending Act
  • The Used Car Rule
  • The Fair Debt Collections Practices Act
  • And Many More

Don’t believe everything you’ve heard about buy-here-pay-here dealerships! The truth is that they are an excellent option for rebuilding your credit and getting into the car you need despite past credit problems. Stop by Victory Used Cars today to learn more and to see our large selection of quality cars and trucks—all of which are backed by an impressive warranty!