In our review team’s study, they rated CarsDirect 3.5 out of 5.0 stars for working with those with bad credit and mixed reviews
CarsDirect is an online car buying service that can help pair potential drivers with the loans they need to get on the road. Is this tool worth a look, or is it better to find an auto loan elsewhere?
This review explains the CarsDirect application process, customer satisfaction, and auto loan details so you can decide whether using the company’s services is a good idea.
In This Review:
- CarsDirect Review: 3.5 Stars
- About CarsDirect
- CarsDirect Loan Details
- CarsDirect Application Process
- CarsDirect Customer Reviews And Reputation
- CarsDirect Review: Conclusion
CarsDirect Review: 3.5 Stars
Taking into consideration factors such as loan details, eligibility requirements, the application process, and customer reviews, we rate CarsDirect with 3.5 out of 5.0 stars overall. It can be a good resource for finding a bad credit car loan, but there are also better options out there.
| Automoblog Rating | 3.5 |
| Loan Details | 3 |
| Loan Availability | 5 |
| Application Process | 4 |
| Customer Service | 2.5 |
CarsDirect Pros and Cons
| CarsDirect Pros | CarsDirect Cons |
| Provides loans for people with no credit or bad credit | Not a direct lender |
| Helps borrowers find vehicles based on loan eligibility | Some customers complain of high interest rates and poor service |
| Fast application process |
The company may be a good option for an auto loan if you have a poor credit score or little-to-no credit history. Having a low credit score can make finding an auto loan difficult – and finding a low-interest auto loan nearly impossible. CarsDirect is one way for drivers in these situations to find their best loan options.
However, because it is not a direct loan provider, the loan terms of contracts found using CarsDirect may not be the best. Be wary of high interest rates, and be sure to closely examine any paperwork before you sign it. Some customers have been pleased with the company’s service, but others were offered poor financing terms. Those with strong credit might consider looking for a loan from a better-established provider.
About CarsDirect
Since 1998, CarsDirect has helped pair over one million customers with auto financing. The California-based company helps secure financing for all types of cars but is not itself a lender. Buyers can use CarsDirect as a platform to shop for a new or used vehicle, as well as secure the auto loan needed to purchase the vehicle.
The company also has a feature that allows drivers to find vehicles in their area based on the auto loans for which they are qualified. You can shop for a vehicle and secure financing at the same time. This can help you shop more realistically and stay within your price range.
Here are some other pros and cons of using CarsDirect:
CarsDirect Loan Details
As mentioned, CarsDirect helps customers find vehicles based on the loan payments they want to make. It can find loans for new cars and used cars, and it can also help connect drivers with lenders if they’re interested in refinancing their existing loans. Interest rates will depend on the loan issuer and will likely be based on factors such as your:
- State
- Credit history
- Annual income
- Vehicle
- Payment terms
Unlike many lenders, CarsDirect provides auto loans for drivers with all credit types – even those with:
- No credit
- Past bankruptcy
- Credit scores under 640
The company states that it charges no extra fees.
CarsDirect Application Process
Applying for a CarsDirect loan is an easy process that can be completed online within minutes, and drivers may be approved instantly.
After submitting an online application, a local dealer will contact potential customers within 24 hours to discuss financing options. When you’re contacted, be prepared to supply the dealership with information and documents such as:
- Proof of valid auto insurance
- Proof of income
- Proof of residence
CarsDirect offers a fast car buying process. Typically, drivers can purchase a vehicle within 24 to 48 hours after applying for a loan.
CarsDirect Customer Reviews And Reputation
CarsDirect does not have a Better Business Bureau (BBB) profile, but it does have a Trustpilot page. The company currently has a Trustpilot score of 3.8 out of 5.0 based on over 140 customer reviews. While this is slightly below average, there is a mix of both positive and negative customer reviews on the site.
Positive CarsDirect reviews praise the company’s easy application process and being offered loans despite poor credit. One happy customer wrote:
“I have some credit issues and had been turned down for a car loan by two different dealers. I found CarsDirect on Google, and they were able to connect me with a dealer who specializes in helping people like me. I was able to get a loan and get a really nice 2013 Nissan Altima. I am really impressed.”
– Jerry K. via Trustpilot
Other customers complained about poor loan terms, and some even complained about solicitation spam after providing their contact information. An angry customer wrote:
“All they will do is take all of your financial information (including social security number) and then sell your info to car dealers. The car dealers will want massive down payments and offer 30 to 40 percent interest loansharking. Avoid like the plague.”
– Occams Razor via Trustpilot
Overall, the company has a hit-or-miss reputation. CarsDirect is a legitimate loan broker, but customers should be sure to thoroughly read and assess any contract offer before signing on the dotted line. Because CarsDirect finds auto loans from other companies, savvy customers should also research their loan issuer before committing to a contract.
CarsDirect Review: Conclusion
CarsDirect earned a score of 3.5 out of 5.0 stars for their willingness to work with bad credit and mixed reviews. CarsDirect is not a provider and instead matches you with auto loan lenders so be careful and read the fine print before taking an offer. Before you choose a loan provider, we recommend searching around and comparing rates before committing to anything.
CarsDirect Reviews: FAQ
Below are common questions asked by consumers about CarsDirect:
Is CarsDirect a good deal?
CarsDirect doesn’t charge an application fee. It connects customers to dealers and lenders in their area and makes money based on referrals. Ultimately, it’s up to you to decide if the dealer or lender you connect with is a good deal.
Does CarsDirect affect your credit?
Requesting an auto loan through CarsDirect does not affect your credit. However, the lenders that CarsDirect gives your information to may access your credit report. This would leave a hard inquiry on your report and affect your credit.
Does CarsDirect work with bad credit?
Yes, CarsDirect works with people who have bad credit scores or even no credit history at all. You can connect with a wide variety of lenders through the CarsDirect platform.
Is CarsDirect.com legit?
Yes, CarsDirect is a legitimate service that connects customers with auto lenders and dealers nationwide. It has been in business since 1998, and there is no obligation to go forward with any loan you find through CarsDirect.
