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Skip the Buy Here Pay Here- Buying a Used Car with Bad Credit May Be Easier Than You Think

Shopping for a used car with a low credit score or poor credit history? Read this before you stop at your local Buy Here Pay Here car lot! If you’ve been turned down for an auto loan or have a past repossession on your record, it’s easy to feel like your only option is a Buy Here Pay Here lot.

At DriveHubler Certified Pre-Owned, we work with real lenders, banks, and credit unions, to help drivers get approved and back on the road without the long-term drawbacks of Buy Here Pay Here financing. As a part of the reputable Hubler Automotive Group, we can typically offer more flexible terms, better vehicles, and a path to rebuilding your credit and improving your financial future.

Too Long; Didn't Read (TL;DR)

  • Buy Here Pay Here Lots may seem like an easy choice if you have a poor credit history, but they often sell lower quality vehicles at high interest rates and shorter terms; these are high profit for the dealership but high risk for the car buyer.
  • Financing through a bank or other reputable lender may still be possible if you have bad credit and could save you thousands in the long run. If you qualify, you would likely have a lower monthly payment and more flexible terms.
  • Improve your odds of credit approval by having your proof of income and residence ready when you visit the dealership. Having a down payment or trade-in vehicle is very helpful when trying to secure an auto loan with bad or no credit. If a family member can co-sign for you, that can help you secure a loan with a lower APR and payment.
  • Getting an auto loan through a trusted financial institution and making on time payments will help you build your credit over time. This can help you achieve other financial goals in the future. A Buy Here Pay Here loan may not have a positive impact on your credit score.

What is a Buy Here Pay Here?

Buy Here Pay Here (BHPH) car lots sell used cars with in-house financing. Meaning, the dealership itself lends you the money to purchase the vehicle instead of using a third party financial institution like a bank or credit union. These dealers market heavily to people with bad or no credit and can offer quick approvals, but that often comes with costly trade-offs like short terms, high interest, and few options.

The Hidden Downsides of Buy Here Pay Here Financing

At first glance, Buy Here Pay Here financing may seem like the easiest option for buying a car, especially if you have never purchased a car before or you know that your credit history isn't the best. While BHPH financing may be appealing, there are some serious drawbacks to consider first:

  • Higher interest rates- BHPH interest rates are often significantly higher that traditional auto loans and can be 20% or higher. As an example, if you finance a $20,000 car in Indiana for 4 years at 22% interest (with no down payment), you will end up spending over $10,000 in interest.
  • Limited Vehicle Selection- BHPH inventory is often limited to older and higher-mileage vehicles. This makes the higher interest rates even more risky because you may be on the hook for a high monthly payment if the vehicle were to have a major malfunction and be inoperable. This also means you may settle for a car that isn't ideal for your needs. If you shop at DriveHubler Certified Pre-Owned, you have over 1,000 options available with third party lenders.
  • Frequent Payments & Shorter Terms- BHPH loans can require payments be made biweekly or even weekly, which can be hard to manage especially if budgets are tight. Since these loans are risky for the dealership, they typically have strict, shorter terms- that means higher payments for you. A bank or credit union may be able to finance a vehicle for 5 or 6 years while buy here lots could require the entire amount be paid in 2 or 3 years.
  • No Credit Reporting- Many buy here pay here lots do not report your payments to credit bureaus. This means that even if you make all of your payments on time and pay off your loan, your credit score does not benefit. A traditional auto loan lender reports to major credit bureaus like Transunion and Equifax so your credit score improves with timely payments and you end up in a better credit situation than you started in. Our auto financing experts can help you put together a payment plan that helps you build a positive credit history so you can upgrade with an even better auto loan next time.

A Better Alternative: Financing Through Trusted Auto Lenders

Working with a reputable dealership like DriveHubler Certified Pre-Owned gives car buyers the opportunity to finance with a large variety of established financial institutions. This means that your auto loan is backed by a bank or credit union and not the dealership itself; these loans can be available to those with poor or no credit under the right circumstances. Financing through a trusted auto lender, bank, or credit union typically offers:

  • Competitive interest rates and terms- Since we work with a variety of subprime lenders, our finance team can help you pick the one with the best rates. Banks and Credit Unions typically offer much lower APR than Buy Here Pay Here lots, which can save you thousands over the life of your loan and lower your payment significantly. Traditional lenders also may have more flexible monthly payment terms with loans up to 84 months available.
  • Better Selection and Quality Vehicles- Reputable pre-owned dealers, like DriveHubler Certified Pre-Owned in Greenwood, Indiana, can offer hundreds of late model and low mile used cars so you don't have to compromise on the reliable car that you want. Your vehicle may include warranty coverage, like Hubler's Q Certified Warranty, for added peace of mind.
  • Credit Building Opportunity- Since lenders report your loan and payments to credit bureaus, a traditional auto loan gives you the opportunity to increase your credit score as you pay your car off. Increasing your credit score and having a good payment history can help you qualify for other loans in the future like a mortgage or newer car.

Bad Credit isn't a Deal Breaker- What You'll Need to Get Approved

Many people assume that bad credit automatically means they can't get approved through a bank or credit union. In reality, there are many lenders who specialize in subprime auto financing or have programs available for rebuilding your credit through an auto loan. Even if you've experienced late payments, repossession, or bankruptcy, there is likely an option to secure an auto loan at DriveHubler Certified Pre-Owned.

Each credit situation is unique and there are many factors that play into getting your approval. Depending on your situation, lenders may ask for any of the following:

  • Down Payment- This is how much cash up front you are paying towards the cost of the vehicle. While a down payment isn't always necessary, a down payment helps lower the loan amount and improves your approval odds.
  • Co-signer- Having a co-signer with better credit instantly improves your approval odds and may help you qualify for a lower interest rate and longer term. If you have a family member, friend, or spouse who can co-sign on your used car loan, there is a lower risk of nonpayment for the lender. A co-signer is generally not required but can be helpful especially for someone with no credit history.
  • Proof of Income- Lenders want to know how you are going to afford your car payment. They frequently ask for your 2 most recent pay stubs as proof of your employment and income.
  • Proof of Residence- This one is easy- just bring a utility bill or official document showing your address.
  • List of References- In some cases, lenders may require a list of 5-8 references. These references may be friends, family, or even coworkers. This gives the lender another way to confirm your employment as well as a way to find you if there is an issue with payments.

How DriveHubler Certified Pre-Owned Helps Car Buyers with Bad Credit- No Buy Here Pay Here Required!

As a part of the Hubler Automotive Group, DriveHubler Certified Pre-Owned has been a trusted member of the Greenwood community for years. We have an excellent reputation of helping drivers from all financial backgrounds find reliable vehicles with easy and competitive financing. Our special finance team works with over 40 reputable lenders- many specializing in subprime credit- to bring you more options for low rates and flexible terms. We have decades of experience in subprime credit financing, so we know exactly how to secure the best approval for your specific credit situation. When it comes to bad credit auto loans- we've seen it all! Just tell us what you are looking for and we will search our vast inventory of over 1,200 pre-owned vehicles to find the one that meets your needs and is approved with a real lender. We have already helped thousands of drivers around Greenwood and Indianapolis build their credit while driving the car, truck, or SUV they wanted.

Frequently Asked Questions (FAQs)

Yes, many lenders specialize in working with customers who have bad credit, no credit, or past financial challenges. At DriveHubler Certified Pre-Owned, we work with banks and credit unions that are experienced in subprime financing, giving you more options than you might expect. You can get started with our online credit application.

Most lenders will ask for basic information such as proof of income, a valid ID or driver’s license, proof of residence, and sometimes references. The process is usually straightforward and designed to help you get approved quickly. Depending on your situation, a down payment/ trade vehicle or co-signer may be necessary as well. Getting pre-approved online before your arrive at the dealership can help our finance team make a plan ahead of time on what would be required for your approval.

Yes, as long as your loan is through a lender that reports to credit bureaus. Making consistent, on-time payments can help improve your credit score over time and strengthen your financial profile. This can make approval for loans much easier for you in the future. If you purchase from a Buy Here Pay Here lot, your payments may not be reported to the credit bureau.

DriveHubler Certified Pre-Owned at 880 US-31 S Greenwood, IN works with dozens of reputable lenders including Capital One, Everwise Credit Union, Chase, and more. Some of our lenders like Westlake and Santander specialize in subprime credit specifically. We do not offer buy here pay here financing.


DriveHubler Certified Pre-Owned Dealership Sign on US-31 in Greenwood

About DriveHubler Certified Pre-Owned

DriveHubler Certified Pre-Owned is a pre-owned dealership located at 880 US-31 S in Greenwood, Indiana right next to Rural King. DriveHubler is located just south of Indianapolis and serves central Indiana communities including Southport, Martinsville, and Whiteland. As a part of the Hubler Automotive Group, we offer over 1,200 pre-owned vehicles of all makes and models. We specialize in financing for all credit types. Most of our inventory includes Hubler's Q Certified warranty. Visit us today or call us at (317) 743-1700 to schedule your visit.

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Buying a Car With No Credit

DriveHubler Certified Pre-Owned is home to Indy's largest pre-owned inventory of quality vehicles. For decades, the Hubler Group has been providing financing options to buyers of all credit types across Indiana. At our used car dealership in Greenwood, IN, we specialize in financing vehicles for those in tough credit situations. Our car buyers with no credit history are typically surprised at the rate our finance specialists are able to get them. Since we work with over 40 different lenders, we can shop around for you to find the payment plan that works best for you. DriveHubler Certified Pre-Owned's Credit Building Program allows you to build a great credit score by making convenient payments on your certified pre-owned vehicle, without the high interest rates and hassle of a "Buy Here Pay Here". Not sure if you have credit? Use our online Quick Pre-Qualify tool to check without a hard credit inquiry. What Do I Need to Buy A Car With No Credit? Just bring us your Driver's License or ID, proof of income, and a down payment- we'll take care of the rest! Buying a vehicle is often the first large purchase in your life, but no need to worry, we have a team that specializes in assisting first-time buyers or those without established credit. Most lenders do require full-time employment to secure your auto loan. A down payment may not always be required, but any down payment (no matter how small!) will reduce your monthly payment and may even help you get a lower interest rate. Should I Buy an Older Car to Establish Credit? Typically, the best vehicles for a first-time buyer to purchase will be 2 to 5 years old with under 100,000 miles. This is because the vehicle will maintain more of its value through the life of your loan. This makes the loan less risky for the bank/ lender and you will most likely qualify for lower APR and a longer loan term than if you purchased an older vehicle. Most vehicles will that fall in this category will also qualify for our free Q Certified Warranty, so you may save on repairs in the long run. Popular vehicles for those looking to establish credit include the Chevrolet Equinox and Nissan Altima thanks to their affordable price point and reliability. Can I Get a Car Loan With No Co-Signer? If you have no credit history, it is recommended to have a co-signer on your auto loan. Having a co-signer will often allow you to qualify for more vehicles at a better rate. If a co-signer is 100% not an option, we do still have lending options for your vehicle purchase. Those looking to finance for the first time without a co-signer should have an established full-time job and a down payment for the best chances of credit approval.

A red 2018 Chevy Impala LTZ speeding down a city street near a used car dealership.

Amazing Used Chevrolet Options

Is it time to decide on your next vehicle? The car-shopping process can be tedious and overwhelming, especially if you're shopping for something used. There are so many brands and models to sift through, you have to figure out financing, and finding a trusted dealership to work with can be challenging. But it doesn't have to be that way. Whether you're in the market for a stylish sedan, spacious SUV, or tough pickup truck, shopping for a reputable brand like Chevrolet here at DriveHubler Certified Pre-Owned is a great way to take the stress out of the process. Chevrolet has been building reliable and affordable vehicles for well over 100 years. With that kind of track record, it's easy to understand how the brand has acquired loyal fans who come back car after car, ready to discover everything that the latest Chevy has to offer. New and used alike, Chevrolet models embody the brand's commitment to innovation, safety, and performance. There are Chevrolet models still on the road 10, 20, and even 30 years after rolling off the assembly line, making them ideal for someone looking to save money by shopping used. Are you looking for a used car dealership in Greenwood, IN? Here are some excellent Chevy options for you to consider. Stylish Used Sedans Chevrolet's sedan selection is a place where the brand gets to shine and show off its abilities to merge comfort and efficiency. Models like the Impala and Malibu offer drivers tons of value. While they're labeled sedans, these roomy vehicles feel like a whole lot more. The Impala may have been discontinued, but older models are so reliable that many are floating around the used vehicle market and still have years of driving to offer. As for the Malibu, this model has been around for generations. Finding yourself a used Malibu or Impala is a direct path to getting in a quality vehicle for thousands less. Both of these dependable sedans can be enjoyed for years to come. Let's explore some key differences between the two to help you narrow it down. The Chevrolet Impala ended its run with the 2020 model year. The final generation of the Impala, which debuted in 2014, offers many reasons to feel nostalgic. The faster of Chevrolet's two sedans, the final Impala features a powerful V6 engine that produces an impressive 305 hp and is paired with a six-speed automatic transmission. For a powerful sedan, it is still able to deliver good fuel economy. The 2020 model earned an EPA-estimated fuel economy of up to 19 MPG in the city and 28 MPG on the highway. The Chevrolet Malibu is one of the oldest models still in production today. It originally debuted in 1964, then disappeared from 1983 until 1997, returning as an appealing midsize sedan. The latest generation of the Malibu launched in 2016 and encompasses the types of features that are highly sought-after by sedan drivers today. There is ample cargo space, plenty of legroom for passengers, classic exterior and interior styling, and powertrains that incorporate performance and efficiency in equal parts. It is available with 1.5L turbocharged four-cylinder, 2.0L turbocharged four-cylinder, and hybrid powertrain configurations that produce anywhere between 160 and 250 hp. The Malibu delivers a smooth ride and excellent handling. Spacious Used SUVs Chevrolet is heavily focused on the SUV segment and has nine different SUV options for its customers. With everything from subcompact to full-size models, Chevy offers a wide variety to satiate the SUV die-hard. The appeal of SUVs is that they pack performance, capability, and safety neatly into one package. For those looking to save on gas, Chevy's SUV lineup features efficient options like the Trax and Trailblazer. Or maybe you need a large vehicle that can take your family on road trips, like the Suburban or Tahoe. Whatever your needs, Chevy has an SUV to meet them. The compact Chevrolet Equinox is nearly right in the middle of the brand's lineup. Its versatile size is good for commuting around Greenwood or long weekends in the countryside. Best of all, a used Equinox is incredibly affordable. The latest generation was revealed in 2018 and is Chevy’s best-selling SUV model. Recent Equinox models are available with desirable features like efficient 1.5L and 2.0L engines, automatic emergency braking, lane departure alert, multiple USB ports for charging devices, and massive center console storage. It's the perfect vehicle for picking up the kids from school or darting over to tennis practice. Larger than the Equinox, the Chevy Traverse is a great go-to for those who need a third row of seating. It's less expensive than the Tahoe and Suburban but still offers comparable performance and cargo space. In fact, the Traverse has one of the largest third rows in its class. It delivers an ultra-comfortable ride quality with its dynamic V6 engine. Plus, even used models that are a few years old offer incredibly convenient technology, like a WiFi hotspot and customizable touchscreen infotainment centers. When it comes to shopping for SUVs, a used Chevy dealer is one of the best places to go. Tough Used Trucks We can't talk about Chevrolet without discussing its pickup trucks. For nearly 100 years, Chevy has been redefining what a truck can meet for work and daily driving. With options available in a variety of sizes, cab types, bed lengths, and power levels, there is a Chevy truck that can tackle nearly anything. Both the Silverado and Colorado are built to haul, tow, and go off-road with superior capabilities. The Silverado has a rich history of being Chevy's best-selling vehicle, and drivers continue to upgrade to the latest model. That being said, there are plenty of amazing used Silverado models to sift through. Take the 2020 Chevy Silverado 1500, for example. This iteration of the Silverado is jam-packed with unbridled versatility. It's tough when you need it to be, helping conquer hard jobs with up to 13,400 lbs of towing. From the basic Work Truck trim to the decked-out High Country, there is a Silverado for everyone. You can take it off-roading with its Z71 Off Road Equipment Package that features Hill Descent Control, skid plates, and upgraded suspension. Engine options include V6, V8, and diesel configurations, so you can find the one that best meets your criteria. The Silverado is ready for any adventure, the question is: are you ready to embark? The Used Chevrolet Market Has Something For Everyone One of the best parts about owning a Chevrolet is knowing you're backed by a long history of success. It's no accident that this automotive brand has stood the test of time. It is constantly examining changing trends in the market to improve its lineup. Chevy pays close attention to its customers' needs and designs models that make life easier. It builds vehicles that are safe and convenient for families and thrilling models that are for the adventurer in each of us. Models like the Malibu, Equinox, and Silverado have been around for decades due to their popularity. Chevy understands what features are in high demand, and it delivers. Whether you're in the market for a used sedan, SUV, or truck, there is no shortage of options offered by Chevrolet. Contact us at DriveHubler Certified Pre-Owned in Greenwood, IN, to find your perfect used Chevy today!

A red 2022 Chevy Trailblazer parked in a residential block after leaving a used car dealer near Indianapolis.

Indianapolis Drivers Love Used Chevy Vehicles: Here’s Why

If you happen to live anywhere near Indy, you know that this city is bursting with activity. Whether you’re a racing fanatic or a win-or-lose Colts supporter, there’s always something going on, which means that this city can get quite chaotic at times. That’s why Indianapolis drivers gravitate toward Chevrolet when they want to ensure that they’re maximizing their travels in every possible way. When you want to stretch your dollar further, you’ll want to shop from the extraordinary used selection of this celebrated brand. When you’re on the lookout for a used car dealer near Indianapolis, DriveHubler Certified Pre-Owned has what you need to ensure your ultimate satisfaction on the Indy streets. So, could a used Chevy be right for you? See why more drivers in our area are trusting in Chevy to escort them everywhere they’re traveling safely, efficiently, and comfortably. Versatile Options Whether your teen is on their way to Northwest High or you’re stuck in traffic yet again on 65, driving the right car for your needs is crucial. Fortunately, Chevrolet showcases a lineup of vehicles designed for virtually every driver imaginable. From everyday traffic navigators, like the Trax and Trailblazer, to family haulers, like the Traverse and Suburban, there’s an option designed to suit any driver’s needs on the road. You’ll also find an arsenal of top-rated work trucks, like the Silverado 1500 and HD models, as well as the Colorado, to help you enhance your time on the job site. Chevrolet offers plenty of diverse styles as well, with its eye-catching Blazer perfectly appealing to drivers searching for an upscale option and its slew of sports cars, like the Corvette and Camaro, just waiting to whisk you to your destination with adrenaline coursing through your veins. You’ll also find that Chevy’s lineup of vehicles brings something different to the ride. For instance, its family-oriented vehicles offer plenty of space, with many showcasing three rows to accommodate your brood, while its commuter favorites feature top-tier fuel economy and easy handling to nimbly navigate their way through traffic. You’ll find it all in Chevy’s lineup, which is why the brand appeals to so many drivers throughout the Indianapolis Metro area and beyond. Exceptional Reliability The bowtie brand has been on the scene for over 112 years, and over the course of its generations impacting the industry, it has become known for its excellent reliability in its vehicles. When you own a Chevy, no matter which model year you’re driving, you get to enjoy expert-level engineering, durable designs, and features that add unparalleled value to your daily drive. Every Indianapolis driver knows that winters can be a bit harsh, and with Chevy’s assortment of vehicles armed with exceptional AWD capabilities, traversing slippery city streets is safer and more controlled. This allows families to travel with their precious cargo, while having an added sense of confidence that they can depend on their vehicle to get them home safely. For those working hard on the construction site, knowing that your truck won’t disappoint is a necessity. That’s why Chevy trucks are built to perform better than many of their rivals, with strong and commanding powertrains and tough builds that won’t let you down. Chevy’s models are also equipped with some of the most impressive safety features on the market, especially when you choose more recent models. Combine all of this, and you’ve got a winning solution to your travel endeavors, backed by over a century of knowledge and experience in the automotive industry. Fit For Every Budget It’s well-known that Chevrolet has always been able to design top-notch vehicles for affordable prices, which provides everyone with the chance to own a vehicle that they can trust. Whether you’ve just graduated from high school and need a reasonably priced car to get you to college classes, or you’re ready to finally make your dreams of owning a thrill-inducing sports car a reality, Chevrolet is able to appeal to your needs. From small sedans and SUVs that easily fit into any budget to pickup trucks loaded with all the bells and whistles to power through the workday, drivers are able to craft the ride they demand with Chevrolet. Chevrolet offers features and capabilities for far less money than many of its competitors, and when you shop used, you’re able to take advantage of these features for an even better price. Maybe you have an upscale trim level on your mind for your family, or maybe you’re ready for a heavy-duty pickup to help you on the job site. With Chevy’s already low prices, shopping from the used lineup will help you find exactly what you’re looking for to meet your budget accordingly. Our Favorite Used Chevys For Indianapolis Drivers Just like Chevy’s inventory is diverse, every Indianapolis driver is different with different needs behind the wheel. At DriveHubler Certified Pre-Owned, we understand the needs of our area drivers, which is why we showcase Chevy models designed for a variety of Indy travelers. Models Great for Daily Commuters If you didn’t know, Indianapolis is home to three of the nation’s most congested roads, and when you’re a commuter, you probably understand the struggle. That’s why we like efficient and compact options, like the Trax and Equinox, to help our Central Indiana drivers arrive at their destinations comfortably and enjoyably. These small-size SUVs offer the space needed for work gear, as well as higher seating placements for improved visibility, state-of-the-art safety systems in place, and efficient engines to limit the time you spend at the gas station. For those who would rather drive a sedan, the classic Malibu is a favorite, with its timeless design, spacious interior, and effortless handling. Models Great for Family Travelers There is so much for families to do in Indianapolis, from the Indianapolis Zoo to the Children’s Museum, and many more family attractions. This requires vehicles that were built for families. Top Chevy favorites include the three-row minivan alternative, Traverse, as well as the large Tahoe and Suburban models. These vehicles feature outstanding space inside, as well as large cargo holds, an abundance of safety features in newer models, and plenty of kid-friendly options, including rear-seat entertainment systems, onboard Wi-Fi, and more things to keep the kiddos occupied. Models Great for Work Mates As the infrastructure of Indianapolis continues to expand with the growing population, it only makes sense that more construction sites will be popping up all over the city. If you’re a hard worker looking for a capable work companion, look no further than the mighty Silverado and its HD arsenal to help you tow more, haul more, and perform better than the competition. From tough and durable builds to extreme functionality inside and out, plus a selection of top-of-the-line powertrains, accomplishing anything in these workmates is easy. Is A Used Chevy Right For You? The next time you’re stopped in traffic on I-465, take a moment to glance around you at the vehicles surrounding you. Count the bowtie emblems you see—have you lost count yet? Indianapolis drivers look for versatile and affordable options when it comes to their vehicles, equipped with features that make their time on the busy streets more manageable in every possible way. At DriveHubler Certified Pre-Owned, we have what you need to create the ride you deserve, no matter where you’re traveling in our area. If you want to ensure that you’re taking advantage of all the features you need during your time on the road for a price that fits securely into your budget, Chevy is one of the top brands to choose when compromise isn’t an option.