Out of all the lenders we reviewed, CarsDirect is one of only two that offer options for those who don’t have an excellent credit or financial history. The CarsDirect website specifies that they offer financing for individuals with bad credit, no credit or past bankruptcies so that they can start showing a regular, on-time payment history.
CarsDirect offers several online resources for individuals interested in applying for an auto loan. There is a loan calculator for clients to gain an idea of how much they could potentially spend on a new or used car based on their current financial needs. For customers hoping to refinance a vehicle, CarsDirect lets users apply for a free quote to find out what their car is currently valued at. There is an FAQ section that answers general questions and a section called “Car Loan Advice You Can Trust,” which offers information on topics like auto loan providers, getting a loan, refinancing and more.
CarsDirect currently has an A+ rating with the Better Business Bureau. The company was accredited with the Bureau until their accreditation was revoked in February 2014. The Bureau reports that the accreditation was revoked due to failure on the part of CarsDirect to respond to customer complaints – however, CarsDirect has only had three complaints filed with the Bureau within the past three years, so the revocation of CarsDirect’s accreditation is not likely to be a cause for concern.
CarsDirect is not a lender or loan servicer. Borrowers who apply for loans with CarsDirect will be matched to one of CarsDirect’s partner lenders (called “dealer partners” on the website). This could create some confusion for borrowers because they will be passed on to the lender once they have completed and been approved for a loan through CarsDirect.
Since CarsDirect is not a direct servicer, there is no APR information listed on the site. APR will be determined by the “dealer partner” that a borrower is matched to, and the APR will be based on factors like income, credit score, term and requested loan amount.