You’re looking for a car and are considering buying here pay here. This is a great way to obtain a car, even if your credit score is not perfect. Before you begin browsing the lot, buy there pay here virginia wants us to address one critical question: click for source!

The short answer is that it all depends on the dealer.

Most buy-here-pay-here dealerships report to credit agencies, but not all do. Even if a dealership reports to credit bureaus they might only report to a few. It’s a smart idea to inquire about the dealership before you sign the dotted line.

Credit bureaus will report a dealership to them. This will be listed on your credit reports as a “revolving” account. It will also be added to your credit utilization ratio. This is how much credit you use compared with the credit available. It will also be part of your payment history which is a significant portion of your credit score.

The big question is: Will a buy-here-pay-here loan improve or harm your credit score? It all depends on how you manage the loan. Your credit score will improve if you pay your loan on time. However, if you default on a loan or miss payments, it can negatively impact your credit score.

The dealership will determine if a dealership is reported to credit bureaus. Ask the dealer if they report to credit bureaus, and how. This will allow you to make informed decisions.