There are 5 Buy Here Pay Here benefits from using a GPS tracking solution in your business. Unfortunately, there are also two hard realities that affect today’s Buy Here Pay Here used vehicle dealers: the customers ability to repay their loan and terminating vehicle use.
Customer’s Ability Repay
First, stressed economic conditions have spawned an entire market sector of potential customers with less than ideal credit scores. Predicting who will responsibly meet their car payments versus who will default is now a very inexact science.
Terminating Vehicle Use
Second, the Buy Here Pay Here dealer is saddled with executing many of the functions banks or finance companies used to perform when a customer defaults on his payments yet retains possession of the vehicle. Consumers who don’t pay phone bills or utility bills have their services terminated, a universally known fact that compels most consumers to pay these bills in a timely manner. Swiftly terminating the use of a vehicle when a buyer skips payments is an important tool to encourage on-time compliance.
Benefits of GPS Tracking
In the past, the front line of enforcement was limited to collection attempts or lengthy and expensive efforts to locate and repossess a vehicle that was often being hidden. GPS (Global Positioning System) satellite technology now provides a wider range of more timely and reliable alternatives to the Buy Here Pay Here dealer.
1. Real-Time Satellite Tracking
Installation of a plug-in GPS tracking module enables real-time satellite tracking of each of your financed vehicles. It’s exact address and location is displayed on a map and satellite photo accessible via an internet website, whether the vehicle’s engine is running or not. If the car is in motion, the exact street block, speed and direction of travel is indicated on the map. The Stop Track feature of many GPS trackers also maintains an ongoing record of every location where the vehicle stops for more than 30 minutes. This establishes a pattern of the vehicle’s daily use and destinations which is very helpful if recovery must be executed.
2. Expedited Vehicle Repossession
Repossession is expedited. Same-day repos are now possible as the lengthy search-and-tow process is reduced to simply driving to a known address and recovering the vehicle already located by the GPS tracker. Many repo outfits offer a discount to Buy Here Pay Here dealers that utilize GPS tracking because it simplifies their procedure and reduces tow truck gas expense.
3. Starter Disable Feature
Starter Disable is the feature of choice when it’s time to play hardball. If a delinquent customer does not respond to the electronic reminder function or evades other attempts to collect, the starter of the vehicle can be electronically disabled through the GPS tracking system website. This immobilizes the vehicle where it is parked or the next place it stops if it is in motion. Of course, the location of the vehicle is always visible on the internet map so recovery can be effected immediately.
4. After Hours Theft Protection
Buy Here Pay Here dealers display vehicles on outdoor lots 24/7. The potential for after-hours theft of these easily accessible assets is real. An installed GPS tracker can be utilized to trace and recover a stolen vehicle with the same prompt efficiency that it tracks vehicles in default.
5. Easier Sell with Added Peace of Mind
Your customers also benefit from dealer-installed GPS trackers. The stolen vehicle recovery function provides the customer added security and often results in lower vehicle insurance rates. Buy Here Pay Here dealers can use the GPS tracker as a selling point in closing a deal with a buyer.