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You therefore "buy" the car at the dealership and "pay" on the loan at the dealership. 2. Where do you start with the Buy Here Pay Here world into one easy-to-read article. When you refinance your loan, you pay the remaining balance in one lump sum, and, if your contract includes pre-payment penalties, you’ll have to pay that amount in addition to your principal balance. At a BHPH dealership, the process is usually reversed. What does Buy Here Pay Here mean? Despite being the fastest growing segment in the auto sales industry, there's not an official definition for Buy Here Pay Here in the dictionary. When payments regularly go in through your work checks you can get more financial services and be able to secure more of your money. 2. Trade-in flexibility BHPH dealerships tend to be more forgiving when it comes to accepting trade-ins on older model cars. One of these things is a high pre-payment penalty. A savings account can even be used as collateral for the secured credit card. But with secured auto loans you are supposed to pledge collateral against the loan and in most of the cases the car you are buying is the best.


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