BHPH Lots > Brewer Buy Here Pay Here Car Lots with in House ME Auto Dealer Financing

One of the most convenient ways to qualify for a car loan is by going through the finance department of the selling dealer. In many instances, the captive finance companies can offer rates that are below market (called "subvented" rates) as part of special incentives they are offering on particular models.

Before you do this, however, it is a good idea to shop around for interest rates at other lenders, since the special rates offered by the captive finance companies may be in lieu of other incentives, such as cash rebates. You might also want to shop other dealers for vehicle prices, since these two factors (vehicle price and interest rates) will have the greatest impact on your car loan payment.

In years past, this process could cost you in both time and money - the time required to drive around from dealer to dealer as well as the money spent on gas. But by using the internet to research loan rates and terms as well as vehicle prices (it's a great place to research vehicle specifications and pricing) you can save yourself both time and, potentially a lot of money. Also remember that there are web sites that will give you information on manufacturer-to-dealer cash discounts as well as consumer rebates.

But before you begin this process, you need to be aware of the fact that the previous scenario only applies to customers that satisfy a dealer's "qualified buyer" requirements. In most cases, this means that you need a FICO score (credit score) of 720 or above. If your FICO score falls into the 640 to 720 range, you may still qualify for regular financing, but the interest rates may be slightly higher and the maximum loan terms offered may be shorter (60 months for less qualified buyers versus 72 or 84 months for those customers with the best credit scores).

Where the buying process really begins to change is in the FICO score range of 640 and below. A credit score that falls below 640 puts you squarely in the subprime finance market. It's here that the car buying process begins to change radically and it's also here where you will find the internet to be your most valuable resource.

Here is the reason: In order to be really good at subprime lending, car dealers should dedicate an entire department that is separate from their normal finance department that only deals with customers that have tarnished credit. Finding a dealer that meets these guidelines can be difficult, which is also why the internet can really help you at this point. For it is on the internet that you will find websites that are dedicated to educating consumers with bad credit that are tied in with their own nationwide network of dealers that are experts in helping people reestablish their credit and buy a car at the same time. When you submit your application on one of these sites, it will automatically be sent to a dealer in your area that specializes in helping customers with blemished credit finance a car.