Discussion Paper

Subprime Auto Lending: Trends in Buy Here Pay Here Auto Lending


Abstract: Buy Here Pay Here (BHPH) auto dealers occupy a unique position in the auto market by serving as both the seller and financier of vehicles to their customers. This contrasts with traditional auto dealers, who connect buyers to financing options from third-party banks, credit unions, or auto finance companies, including the captive financing arms of auto manufacturers.

https://doi.org/10.17016/2380-7172.4047

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Bibliographic Information

Provider: Board of Governors of the Federal Reserve System (U.S.)

Part of Series: FEDS Notes

Publication Date: 2026-05-08

Number: 2026-05-08-2