Buy Here - Pay Here vs. Financing

🚗 Understanding Your Car Financing Choices

So, you're ready to get a car, but you're faced with a choice: a conventional used car loan or a buy here pay here (BHPH) car purchase.    Buy here pay here may sound like a great option, but when you look at the big picture, working with conventional financing is a far better option.    Let's break down the benefits of each to help you make an informed decision.


❓ What Does "Buy Here Pay Here" Mean?

A buy here pay here (BHPH) dealership typically offers in-house financing, meaning you buy the vehicle and make your payments directly to the store.  For some buyers, that can sound convenient - but it often comes with trade-offs in credit building, vehicle selection, and overall value.
 

📈 Effects on Your Credit Score

Central Vermont Auto Mart's lenders report to the major credit bureaus. This ensures that your faithful and timely payments will be reflected on your credit score. Each month, as you make your auto loan payments, your credit score can rise, provided there are no other negative factors that impact your ranking.

With buy-here-pay-here used car lots, you may be paying just as timely, but because the repayment is often not reported in a traditional manner, it may not be reflected in your credit score. An auto loan is one of the best ways to improve your credit score, but you probably won't get credit for your timely payments when working with buy-here-pay-here stores. Most do not report to the three major credit bureaus, consisting of TransUnion, Experian, and Equifax.

You deserve to get credit for your timely payments. A conventional auto loan from Central Vermont Auto Mart - and your timely payments - will help build your credit future.
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🚘 Wider Vehicle Selection

Banks and credit unions work with our dealership, allowing us to provide you with a broader range of cars to choose from. Often times a Buy Here Pay Here dealership with have a limited range of older high milage used cars that fall in a certain price range.  

Thanks to our large selection of used vehicles, you will be able to choose a car, truck or SUV that fits your needs.  At most buy here pay here stores your options are severely limited.
 

🚦 Getting Approved for an Auto Loan

You may here that a buy here-pay here (BHPH) store can get you approved when no one else can.  This simply isn't true many times.  Yes, BHPH stores may be more lenient, but they still have underwriting guidelines they follow.  Let our team at Central Vermont Auto Mart assist you.  We work with people that have credit issues every day and have helped hundreds of customers purchase a vehicle that fit their needs.   For this reason and many more, let our team help you get into a nicer newer used car and start rebuilding your credit today.
Have questions, give us a call or send us a message. We are here to help. If you're ready to get pre-approved, fill out a credit application and we'll get right to work to see what options we can offer from one of our 15 plus lending partners.
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calendar logo Published Winter 2023-2024 | Updated January 23, 2026