Buy Here Pay Here Alternative

Fresh Start Financing Program

A Buy Here Pay Here Alternative: Try Outside Lenders First

Bud Clary Auto Group is not a buy here pay here dealer. Our dealerships don’t lend you the money themselves: our finance teams send your application to outside banks, credit unions and auto finance companies, and those lenders decide. If your credit has you looking at buy here pay here lots, here is how the two compare, and why it can make sense to try outside lenders first.

Apply for Fresh Start FinancingSee the comparison

By Dustin Schuler, Marketing Director, Bud Clary Auto Group
Reviewed October 2026. About Dustin

  • Outside lendersBanks, credit unions, finance companies
  • Lenders decideNot the dealership
  • Your bank tooBring a quote from your own bank or credit union
  • All credit typesWelcome to apply

What buy here pay here means

At a buy here pay here dealership, the dealer sells you the vehicle and also makes and services the loan, so your payments go to the dealership (CFPB).

The CFPB says these dealers finance buyers with no or poor credit histories and that their interest rates tend to be higher. Its advice is to weigh what the loan costs over its whole life against the benefits of the vehicle, and to check with a bank or credit union even without a strong credit history.

Buy here pay here vs. dealer-arranged financing

Facts from the CFPB and the FTC. The right-hand column is how our dealerships work.

Buy here pay here vs. dealer-arranged financing
Question Buy here pay here Dealer-arranged financing
Who lends the money The dealership that sells you the vehicle An outside bank, credit union or auto finance company; the dealership sends the application and the lender decides
Who you pay each month The dealership, which services the loan The lender holding your contract; the FTC says the dealer typically sells it to a bank, credit union or finance company
How many lenders see your application One, because the dealership is the lender One or more; the CFPB says most dealers reach out to roughly five lenders
Your loan offer Comes from the dealership itself Comes from outside lenders, and you can bring your own bank or credit union approval and compare it with ours
Shopping the offer Weigh the total cost over the life of the loan against the vehicle, the CFPB suggests Ask whether other lenders made offers with lower rates or better terms, and compare a quote from your own bank or credit union
What you see before you sign Truth in Lending disclosures, such as the APR, finance charge, total of payments and amount financed The same Truth in Lending disclosures

Sources: CFPB on buy here pay here dealers, CFPB on dealer-arranged financing and the FTC on financing a car.

Why try outside lenders first

A buy here pay here lot has one lender: itself. Dealer-arranged financing can put your application in front of more than one outside lender, and you can add your own bank or credit union to the comparison. The Attorney General’s office suggests lining up financing from a credit union or bank before you visit a dealer, and negotiating the financing separately from the price.

This is where our size helps. Between 14 dealerships, our finance teams send a lot of applications to the same lenders, so they see firsthand what each lender asks for and can tell you before you visit.

That knowledge has limits. It can’t change a lender’s rules or decision, and approval is never guaranteed. A lender that turns you down has to tell you why, or how to find out, so you can plan your next step with that in hand.

Questions to ask before you sign anywhere

Use them at any dealership, ours included.

  • Who is the lender, and who will I pay each month?
  • Did other lenders make offers, and did any have a lower rate or better terms?
  • What are the APR and the finance charge, and what’s the total of payments?
  • Is this contract final, or does it depend on financing that isn’t approved yet? Washington law sets a four-day limit on that (RCW 46.70.180).
  • Is the documentary service fee negotiable? In Washington it is, and it can’t be more than $200.
  • What will insurance cost on this vehicle?

Dustin’s Take

Dustin Schuler, Marketing Director

What I wish buyers knew:
We’ve been around since 1959 with no plans to go anywhere. At a buy here pay here lot, you give up the benefits of buying from a franchise dealership and the protections we offer. You’d be surprised at some of the deals our lenders have funded for people who were turned down somewhere else. No approval is guaranteed, but it’s worth applying.

Shopping for a vehicle on a budget

Start with used vehicles under $20,000 or the full used inventory. A used vehicle at another of our dealerships can move to the store nearest you at no charge, as soon as the same day.

With a used vehicle from us you get the 3-day / 300-mile exchange, 2 oil changes and 2 tire rotations, a free CARFAX report and a 3-month / 3,000-mile limited warranty, all after a 137-point inspection.

A negotiable documentary service fee in an amount up to $200 may be added to the sale price or the capitalized cost.

Questions people ask

  • Is Bud Clary a buy here pay here dealer?
    No. Our dealerships arrange financing through outside lenders, and those lenders decide whether to lend and on what terms. Your payments go to the lender that holds the contract.
  • Do you offer in-house financing?
    Not in the buy here pay here sense, where the dealership lends its own money. Our finance teams handle your application in-house, then send it to outside banks, credit unions and auto finance companies.
  • What’s the difference between buy here pay here and dealer financing?
    At a buy here pay here lot, the dealership is the lender. With dealer-arranged financing, the dealership sends your application to outside lenders, and you repay whichever lender ends up holding the contract.
  • Can I compare a buy here pay here offer with yours?
    Yes. Bring the offer, apply with us, and compare the APR, the finance charge and the total of payments on each before you sign anything.
  • Can I use financing from my own credit union?
    Yes. Lining up your own loan at a bank or credit union is always an option, and the CFPB says going direct tends to cost less because you skip the dealer’s markup. Our finance team can look for a lender at the same time so you can compare.

Related pages

Try outside lenders before you sign anywhere

Pick a dealership on our Finance Centers page and open its credit application. Bring a quote from your own bank or credit union if you have one.

Apply for Fresh Start FinancingHow Fresh Start Financing works