Pay weekly dealerships are another name for an in-house financing or buy here pay here dealer. They specialize in offering car loans to Seattle borrowers dealing with credit issues. There are many pay weekly dealerships in Seattle, Washington State, and the rest of the country. If you're unsure about whether or not you should finance through one, we've got some pros and cons for you to consider.
Pay Weekly Dealership Benefits
The biggest benefit to pay weekly dealers is the fact that approvals are based on income, not credit. Most Seattle car dealerships check your credit, but pay weekly dealers typically don't, which makes it easier to get approved if you're dealing with bad credit or no credit.
In order to get approved, you generally only need to have a qualifying income. The minimum income requirement varies, since these places tend to be independently operated. A good rule of thumb is that you have to have a monthly income of at least $1,500 a month before taxes to qualify.
You can also expect to need to provide proof of income. Bring in a copy of a recent computer-generated pay stub showing year-to-date earnings if you’re a regular W-2 employee, or recent tax returns and bank statements if you’re self-employed.
Another benefit of in-house finance dealerships is that you’re allowed to combine incomes if you have more than one job or source of income to meet the requirements. Traditional dealers often require you to meet the minimum income requirement with one source of income.
Finally, another benefit for many Seattle borrowers is the flexible payment plans these dealerships offer. Their "pay weekly" name stems from the fact that they offer payment plans tailored around borrowers' pay schedules. They may offer weekly, bi-weekly, or monthly payments, depending on when you get paid. Many borrowers might enjoy the smaller installments and flexibility this provides.
Pay Weekly Dealership Disadvantages
Pay weekly car dealers do have some big advantages, but there are some important drawbacks Seattleites need to be aware of. The biggest one is the fact that you may not get a chance to improve your credit score with one of these auto loans.
Pay weekly dealerships may not report your positive payment history to the credit bureaus. After all, they're not interested in checking your credit in the first place. However, this isn't always the case, so just ask about the dealer's reporting practices ahead of time.
Also, the loan terms available to you are usually less favorable as a result of the no credit check. They typically only offer higher than average interest rates and require a down payment. The amount you're required to put down usually depends on the vehicle you choose.
Last but not least, you can’t get a brand new car from a pay weekly dealership. Since they're independent and not affiliated with a manufacturer, these dealers only sell used vehicles. What you can buy is limited to what's on the lot at that moment in time.
Inventory can range from gently used models to older cars, so take your time when evaluating your choices. Just like any used vehicle, it's in your best interest to have a certified mechanic inspect it before you agree to or sign anything.
Ready to Find a Dealer in Seattle?
Pay weekly dealerships aren’t your only option to get an auto loan if you have bad credit or no credit. You could get approved with a subprime lender that works through special finance dealers.
Auto Credit Express can help you find a dealership in Seattle. We work with a nationwide network of dealers, including special finance and pay weekly dealerships. If you aren't sure where to go, we can match you with a dealer near you that stands to be able to help you out.
To get started today, simply fill out our car loan request form. Our process is fast, easy, free, and puts you under no obligation.