Do you plan to purchase your next automobile from the buy here, pay here lots you found near you? Prepare yourself, buddy. We have a situation to illustrate what you can expect.

Imagine you find a car that is in perfect condition, with minimal mileage, within your budget, at a BHPH. The dealer is delighted to tell you they are able to finance the car internally, as your credit score could be improving – read here.

The feeling of a million bucks is overwhelming when you sign on the line and drive off. You’ll be shocked to learn how much money you have spent on interest charges and other fees when you make your first monthly payment. This reasonable payment is no longer so affordable.

The worst is yet to come. Unexpected expenses cause you to miss a monthly payment. The dealer suddenly starts to contact you continuously and threatens that your vehicle will be seized. When you negotiate with the dealer about a repayment schedule, he won’t budge. Your credit rating is severely affected and your car may be seized before you know it.

This sounds very depressing. Do not panic, there is still hope. Many BHPH funded projects have proven successful.

Take the case where you read the contract carefully, confirm your affordability, and do all your homework. Your bills are paid on time and your dealer is willing to work with you in the event of financial difficulty. Your credit rating is not affected by foreclosure, and you’ve already paid for the car.

You can expect to learn a lot from a practical BHPH financial example. All it takes is doing your homework and reading the contract thoroughly. Also, make sure to be able pay for your bills. If you’re able to achieve this, BHPH could be a good option for anyone who needs a new car and has poor credit.