In order to pay off your loan, and start repairing your credit score, you will be required to make either weekly or bi-weekly payments at a BHPH dealership. This isn’t the only way that BHPH dealerships differ from other lenders, either. Chances are you’ll be physically going to the dealership in order to hand them cash. Like I said before, this might be an inconvenience on a weekly or bi-weekly basis, but it has another advantage apart from rebuilding your credit score.

It encourages good financial habits. If you are required to drive to the dealership once or twice a week, and you know that they can repossess your only mode of transportation, you will be motivated to make those payments. Since car loans aren’t paid off overnight, doing this over time will help build stable financial habits.

After you’ve made some progress rebuilding your credit, and when it comes time for you to get a new car loan, you’ll have demonstrated some rigorous financial responsibility, which will make that once a month (or bi-weekly if you so choose) payment a walk in the park by comparison. Getting to that point is all because of the BHPH dealership. So, if you or a friend has bad or no credit and are afraid of BHPH dealerships because of what you’ve heard; just remember their reputations have evolved and most of them are motivated to help.