Deal Pack Blog
Credit Card and Online Processing is the New Way of Collecting Payments for BHPH
There used to be a philosophy that Buy Here Pay Here industry was focused on selling to customers near the dealership so that every time they get paid, they will come and make a payment on their loan.
Those who live more than a 30 minute drive from the dealership will be more than likely to mail the payments and then the risk of the check being bounced, creating more troubles during the collection process, to the point that some BHPH dealers were no longer accepting checks.
Paper checks were the norm and for those who had bank accounts normally will have to cash those checks to make cash payments, those who didn’t have bank accounts will have to pay to have their checks cashed. Terms such as Debit Cards, Recurring Payments, ACH Processing were terms that were unheard of, but now things have evolved and those terms are understood and becoming more popular in the everyday life of this industry.
During the last decade, the internet has revolutionized many aspects of our lives including the way we pay our bills and do business; transactions and payments done online using either credit cards, debit cards or ACH payments have increased dramatically. The 2013 Federal Reserve Payment Study Detail Report shows, “The number of online bill payments reported by major processors, which included those initiated through online banking websites and directly through billers and settled over ACH, exceeded 3 billion in 2012. Secure online payments, including methods that allow users to enter personal identification numbers (PINs) for debit cards into the computer or that redirect users to use an Internet payment account, totaled more than 1.8 billion in 2012.”
Having a Dealership Management Software that offers features such as Recurring, Automated, and Online Payments gives the customer different options of making their payments, which is easier and more convenient. Offering these options can reduce delinquency, improve cash flow, and increase the chances of receiving payments on time.
Bringing these options and technologies is what keeps Deal Pack Pro on the driver seat of this ever changing industry, as well as providing true solutions for the needs of the customers. Customers have a functional options to make their online payments while feeling they are in control of managing their own account.
Please call our Support Staff at 1-800-526-5832 for more information regarding different payments options within Deal Pack Pro.