5 Common Buy Here Pay Here Myths
If you’ve had credit challenges, you know how hard it can be to rebuild your credit score to the point where people trust you to pay your bills now. It can take years to reestablish a good credit score. When it comes time for a bigger purchase that’s a necessity - like a new car - it can cause a lot of stress. If you need a new car but have bad credit, chances are good that you’ve done an Internet search on financing options for people with bad credit. If that’s the case, you probably turned up some information about buy here pay here car dealerships that claim that they lend money to people with bad credit. But how do you know whether you can trust these dealers or not? Will they give you a good deal?
They will if you shop at AutoMax.
AutoMax is North Carolina’s premier buy here pay here car dealership. We’ve been helping folks like you purchase cars since 1989. Our business was started with the idea of selling and financing good-quality, reliable pre-owned cars to people all over North Carolina, including Henderson, Youngsville, Raleigh, and Durham, as well as the surrounding areas. Our goal is to help people get a good car at a price that fits within their budget, regardless of their credit history.
AutoMax focuses on your future, not on your past.
At AutoMax, you’ll find friendly people who like building relationships. We like getting to know our customers and their families. In fact, many of our employees have been with us for more than 15 years. That’s a long time in one place! This means that when you come in, you’re likely to see some familiar faces. That’s the way we like it.
You’re not just a number at AutoMax.
You’ve probably heard stories about buy here pay here financing or dealerships, so we want to debunk some of the myths. We believe that an informed customer is the best kind of customer, and we want to make sure you understand why AutoMax is so special.
Myth #1: Buy here pay here dealerships aren’t trustworthy.
Nothing could be further from the truth. Buy here pay here dealerships are legitimate businesses and are subject to laws and regulations just as traditional dealerships are. The big difference between the two is that a buy here pay here car dealership carries the financing on the cars it sells, rather than farming the financing out to a bank or other third party financial institution. Buy here pay here is a better deal for you because it means you don’t have to go from bank to bank trying to find someone who will make you a loan.
Myth #2: Buy here pay here loans have an interest rate of 30% or more.
Wrong! Most states have a ceiling on interest rates so that consumers cannot be taken advantage of. Buy here pay here car dealerships are required to follow the rules just like everyone else. AutoMax keeps interest rates competitive because it’s good for business. It’s all part of giving the customer the best deal possible. Think about it. If a competitor is offering lower interest rates down the street, you might be tempted to go check them out. But interest rates are only part of the equation, so buyer beware. With AutoMax, you get a transparent deal that you understand and can live with.
Myth #3: Down payments are probably as much as the dealership paid for the car in the first place.
Not so. That wouldn’t make any sense from a business perspective. If no one can afford the down payment, no one will buy cars at all. And that’s bad for business. A reputable buy here pay here dealer understands that people with no credit or bad credit probably don’t have the cash for a hefty down payment. At AutoMax, we work with you based on your current income and financial obligations. We want to set you up for success, not failure, so we make sure your down payment is reasonable and is one that you can afford.
Myth #4: The minute I miss one payment, my car will be immediately repossessed or I’ll be hit with huge late fees.
This is an interesting one. If you think about, any institution that lends money to people has the right by contract to have it paid back to them. This applies to cars, houses, boats...and any other item for which you’ve gotten a long-term loan. The myth that buy here pay here dealerships accelerate late fees or repossession after one missed payment is just that - a myth. All lenders charge late fees if a payment is past due. But at AutoMax, you’ll be assigned a dedicated account representative who will work with you if unforeseen circumstances come up and impact your ability to make your monthly payment. All you have to do is call. Your account representative will stick with you throughout the entire life of the loan and will even give you a direct phone number to reach them.
Myth #5: Buy here pay here dealerships only sell lemons so they don’t stand behind their vehicles.
Wrong again! Most buy here pay here dealers put their vehicles through a rigorous inspection before putting them out on the lot. Certified trained technicians go over every inch of the car, paying particular attention to the features that factor into the reliability and safety of the vehicle. In addition, many buy here pay here dealerships offer warranties on their vehicles. At AutoMax, 100% of the cars sold come with an outstanding warranty that covers much more than just the engine and transmission. Items like the brakes, cooling system and more are also included.
Buy here pay here car dealerships are a great option if you have bad credit and need a new car. At AutoMax, we’d love to help. Stop in and visit one of our locations in Henderson or Youngsville today and see what you think. We think you’ll see the difference!