1099-C Tax Form: What to Know
Dec10

1099-C Tax Form: What to Know

As audit efforts by the Internal Revenue Service increase, a major focus is being put on 1099-C forms for buy-here, pay-here dealers. The issue for BHPH dealers is that 1099-C requirements are complex, and often result in many unnecessary filings. However, failure to understand and comply with the requirements of 1099-C forms can prove costly for dealers who face fines upwards of $200 per omission. The key to understanding when to...

Read More
Buy Here, Pay Here; Getting on Top of Your Game
Dec28

Buy Here, Pay Here; Getting on Top of Your Game

As I work with buy here, pay here dealers throughout the nation, I often get questions on how they can improve their profits and cash flow. Surprisingly, the answers to these questions are often simple.  Dealers must do the following to be successful in the buy here, pay here business today: 1) Educate themselves on new developments and the fatal industry pitfalls which can cost millions of dollars. 2) Network with other dealers to...

Read More

Delinquencies, Repossessions Up in 2013, Experian Automotive Reports

Automotive loan delinquency and repossession rates increased in the first quarter of 2013, according to Experian Automotive’s latest State of Automotive Finance report. Thirty-day auto loan delinquencies rose 1.3 percent, 60-day delinquencies increased 12.4 percent and repossessions rose 16.9 percent when compared with the previous year. “Obviously, we never want to see a rise in delinquencies or repossessions, but when you compare...

Read More
Why Bankruptcy Filers Are Great Prospects For Buy Here, Pay Here
Dec23

Why Bankruptcy Filers Are Great Prospects For Buy Here, Pay Here

With buy here, pay here a growing and potentially lucrative niche within the used car industry, dealers are able to explore which types of customers represent the best prospects for this specialized type of purchase and financing. What is the one market segment often overlooked?  Answer: 1.4 million Americans who fil bankruptcy every year.  But before you write them off as deadbeats, you should know the facts about them.  Bankruptcy...

Read More
Steps to Starting and Managing a Successful Buy-Here, Pay-Here Operation
Dec23

Steps to Starting and Managing a Successful Buy-Here, Pay-Here Operation

Step #1: Understanding the business (including challenges and pitfalls) When run properly, the buy-here, pay-here (BHPH) business is very profitable. Even dealerships that are poorly managed can be very profitable for a while. If you are just entering or just contemplating entering the business, it is important to recognize right away that generating profits will not be your greatest challenge. Provided you are in a market with a...

Read More