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Is a Buy Here Pay Here Dealership a Good Idea?



When your credit score makes getting approved for a car loan difficult, you may feel like your only option is buying through a buy here pay here (BHPH) dealership. These dealers have their ups and downs, but they’re also not the only route when you’re struggling with credit issues.

How Do Buy Here Pay Here Dealerships Work?

Is a Buy Here Pay Here Dealership a Good Idea?Ever see a dealership advertisement claiming, “Bad credit, no problem”? It’s likely a BHPH dealer. They’re known for financing borrowers regardless of their credit score, and selling only used vehicles.

Since these dealerships don’t rely on third-party lenders, they typically don’t check credit during the approval process. Even if your credit score is rock-bottom, if you’ve got the income and a down payment, you’re likely to get into an auto loan working with a BHPH lot.

This is because BHPH dealers have in-house financing. This means the car shopping and lending process are done at the same place, and your dealer is also your lender. It’s a one-stop-shop car lot, which has its conveniences as well as its own set of hassles for borrowers.

Is a BHPH Dealership Right for You?

If you’ve been denied financing by all types of auto lenders, including subprime lenders, a BHPH lot could be for you. These dealerships are more concerned about how you’re going to repay the loan than other lenders.

While they aren’t likely to check your credit, they do want to see proof of income and you’re expected to have a sizable down payment. Your income source needs to last through the loan term and be consistent. The down payment requirement varies between dealers, but it can be 20% or more of a vehicle’s selling price.

If you meet these requirements, a BHPH dealership might be the way to go if you needed transportation yesterday. However, keep in mind that BHPH lots have higher than average interest rates on their car loans. You could end up paying much more than the vehicle is worth if you only qualify for the highest interest rate.

Additionally, if you’re concerned about credit repair, a BHPH dealer may not report your auto loan to the major credit reporting bureaus. Even if you make every car payment on time and in full, your credit score may not improve. But if you miss a payment, BHPH dealerships are likely to report those – along with a default and a repossession.

If you decide to look for a BHPH dealer, ask if they report their loans to the major credit reporting agencies if you want your credit score to reap the benefits of an auto loan.

Other Auto Loan Options to Explore

If you haven’t asked your credit union or bank for a car loan, you should check with them beforehand. Typically, the longer you’ve been a member in good standing, the higher your chances of auto loan approval. Banks usually have better loan terms than a BHPH dealership, but they typically only approve those with good credit scores.

If you’ve already applied for a car loan with your bank or credit union and your credit score is what’s stopping you from approval, subprime financing is another route to look into.

Subprime financing, also called bad credit financing, is done through a dealer’s special finance department. These lenders look at your credit reports, but they also take into account your overall financial situation.

With a subprime auto loan, your income and residence stability are used to help the lender make their loan decision. If you have stable income, consistent work history, and a history of living in the same area, you could be eligible for subprime financing. While other third-party lenders may deny you financing because of your credit score, subprime lenders work with borrowers in all types of unique credit situations including bankruptcy, repossession, and divorce.

You still need to meet a subprime lender’s requirements, which typically include proving your income, your residency, and your identity, providing personal references, and having a down payment.

The biggest plus side to working with a subprime lender is the fact that they report car loans to the credit reporting agencies. With a good payment history, you can repair your credit for future loan opportunities.

Finding a Subprime Lender

If a BHPH dealership doesn’t feel right to you, and a traditional financial institution has denied your application for auto financing, a subprime lender could be your next step in getting into a vehicle.

Finding a dealer with a special finance department that works with subprime lenders is something we can help with. Here at Auto Credit Express, we match bad credit borrowers to these dealerships for free – we have a nationwide network of dealers that work with all types of credit situations.

To get started, complete our free car loan request form and we’ll look for a dealership that has the lending resources you need in your own local area.

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Bad Credit

Facts Every Applicant Needs to Know – The Black Chronicle



Army veterans have some glorious choices in relation to their looking for a mortgage to purchase a house. Even when the veteran has a poor credit score document, there are nonetheless choices. For one, getting a VA dwelling mortgage with a bad credit score is thought to be essentially the most accessible choice.

That is definitely true, with the Division of Veteran Affairs (the VA) basically guaranteeing a share of the mortgage loan utilized for, enormously serving to to safe approval regardless of a bad credit score. However there are components that anybody contemplating making use of for these loans ought to concentrate on.

Traditionally, these VA dwelling loans solely took place on account of the 1944 GI Invoice, which was launched to assist conflict veterans settle again into civilian life. By the VA guaranteeing these mortgages, veterans had a greater likelihood of getting their very own dwelling. However there are nonetheless standards for candidates to fulfill.

The Worth of a VA Assure

The largest drawback for mortgage candidates is convincing lenders that they may get their a refund. Even when looking for a VA dwelling mortgage with a bad credit score, the lender must know that the borrower could be trusted to make the repayments that must be made. Since VA loans include a assure, that safety is supplied.

Unsurprisingly, the backing of the VA is a large increase to anybody seeking to safe approval regardless of a bad credit score. And for the debtors, a assure from the VA additionally removes the necessity for a big down cost, and usually signifies that the rate of interest charged is decrease.

However the VA shouldn’t be keen to ensure 100% of the sum being borrowed – actually, it solely covers 25% of the worth of the house. So, whereas the curiosity on a VA dwelling mortgage is decrease, and a down cost is often not wanted, there’s nonetheless 75% of the sum borrowed that’s not assured.

Qualifying For A VA Mortgage

Since a VA mortgage is reserved for navy veterans, qualifying for a VA dwelling mortgage with a bad credit score depends on assembly some strict standards. In fact, there are fundamental situations to satisfy too, like age and nationality, however the VA want affirmation of navy rank and deployment historical past earlier than they’re keen to ensure the mortgage.

There are monetary situations too. For instance, candidates can’t have defaulted on a mortgage with any lenders inside the earlier 12 months, and can’t have been declared bankrupt at any time inside the earlier 24 months. In spite of everything, lenders are solely keen to grant approval regardless of a bad credit score if they are often certain repayments shall be made.

One other situation to fulfill earlier than qualifying for a VA dwelling mortgage embody proving they’ve full gainful employment. As with every different mortgage, repayments need to be revamped many years, so monetary safety is essential.

Put together Your Software Correctly

Lastly, it’s tempting to consider that it’s straightforward to get a VA dwelling mortgage with a bad credit score, however the reality is that there isn’t a assure that approval shall be given. Many navy veterans are rejected as a result of their software was deemed unconvincing.

Keep in mind that the VA solely agrees to ensure a 25% share of the mortgage after the lender has authorised the appliance. The precise software is submitted to the lender, so securing approval regardless of a bad credit score relies on their evaluation.

There are methods to enhance a credit score rating, and so decrease rates of interest, like utilizing a consolidating mortgage to clear present loans in a single go. When an effort is made, a lender is extra comfy granting a VA dwelling mortgage.

Source by Donna N Hammond

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A principal learned one student’s family is getting evicted. Now she’s working to find them a home



CAPE CORAL — A school principal is working this holiday season to find a home for some of her students.

Shelly Homan posted a plea to Facebook after she learned one of her students’ families was being evicted with nowhere to go. Homan is the Principal here at Heritage Charter Academy. She was helping families in need by telling them about the turkey giveaway sponsored by Cape Coral Police, when she met Vincent Ponzo’s grandchildren.

“When I asked them about the Thanksgiving dinner that the police department was giving away, I found out that they were also going to be homeless,” said Homan.

Ponzo has been looking for a new home for months, but he has bad credit, and doesn’t have enough saved for first and last month’s rent plus a security deposit.

“We’re just running out of time and options at this point, and we’re not bad people. We work hard. I’m the general manager at a restaurant, my wife works for Instacart. My daughter is trying to raise her three kids in our home,” said Ponzo.

So Homan posted an SOS on Facebook, looking for a landlord willing to rent to them. It got a lot of attention.

“Shelly called me, and I was like what did you do? And she was, oh I just put a post out, and next thing you know I’m getting all this feedback from it,” said Ponzo.

“My focus is that the kids are in a home for the holidays. So whatever, whatever I have to do to reach out. The worst people can say is no I can’t help,” said Homan.

But Homan said people have already reached out trying to help. Ponzo said he hopes he can find a home soon, but he also said his story is just one of many this holiday season.

“This takes a lot for me to stand in front of everybody and go this is what’s going on, but if I don’t do it, maybe some other guy wishes somebody did that’s about to get kicked out of his house because he’s going through the same thing or worse,” said Ponzo.

If you are interested in helping Ponzo and his family, you can call the Heritage Charter Academy at (239) 223-7530.

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Savvy Group Real Estate Partners With Frazier Credit Services to Make Property Purchase in Columbus, Ohio Available to All – Press Release



Savvy Group Real Estate Partners With Frazier Credit Services to Make Property Purchase in Columbus, Ohio Available to All

“”It’s always a special moment for me when I see a first-time buyer go from the stage of building credit to closing on their first home. It’s always tears of joy at closing. I believe that this collaboration will do so much good for those potential buyers who are ready to work on their goals with a knowledgeable team who wants to see them win!”
-Jay Carter, Realtor”

November 26, 2020 – Thanks to the partnership between The Savvy Group Real Estate and Frazier Credit Services, home purchase around Columbus Ohio will now be possible irrespective of a client’s credit score. The new partnership will ensure that potential buyers who are struggling with their credit scores can take advantage of Frazier Credit Services to secure loans loan approval within 6 months. Together, both companies will work towards a common goal of helping people realize their dreams of owning a new home.

Securing loans for the purpose of purchasing a home can be tough on people with poor credit. Financial institutions and banks are unlikely to sanction such loans due to  the risks associated with bad credit ratings. It gets tougher; typical credit building takes time and loansharks are widely regarded as trouble. Private lenders are not the best either, they offer ridiculous rates and are often shady in their deals.

In a bid to support its own clients, The Savvy Group Real Estate has taken the pains of vetting and endorsing Frazier Credit Services. They are adept at credit repair and are willing to work with prospective home buyers from The Savvy Group Real Estate. In just six months, prospective homebuyers in Columbus, Ohio will learn how to build up their credits and become eligible for loan approval.

The collaboration between Frazier Credit Services and The Savvy Group Real Estate will effectively be turning dreams into reality.  While Frazier Credit Services will work towards faster credit building and credit repair to gain loan approvals for clients in six months, The Savvy Group Real Estate will guide them through a first-time buyer program and help them understand how financial challenges can be circumvented during purchase despite their poor credit. Speaking about the collaboration, realtor, and owner of The Savvy Group, Jay Carter says, “It’s always a special moment for me when I see a first-time buyer go from the stage of building credit to closing on their first home. It’s always tears of joy at closing. I believe that this collaboration will do so much good for those potential buyers who are ready to work on their goals with a knowledgeable team who wants to see them win!”

The Savvy Group Real Estate is affiliated with Red 1 Realty, and was established by Ace Realtor Jay Carter who specializes in new construction, first-time homebuyers, home sales and educating clients on how to generate funding for real estate transactions. On the flip side, Frazier Credit Services is a renowned credit repair company with an excellent track record of credit building within 4 to 6 months.  The collaboration between the two companies will now open up opportunities in domestic real estate and transform potential home buyers into homeowners in Columbus, Ohio.

For more information: use the websites:,

Jay Carter
The Savvy Group Real Estate
Columbus Ohio


Ciera Frazier
Frazier Credit Services
Columbus Ohio

Media Contact
Company Name: The Savvy Group Real Estate
Contact Person: Jay Carter
Email: Send Email
City: Columbus
State: OH
Country: United States

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