DriveTime - The "Go To Guys"

Before starting to write this review of  DriveTime (formerly Ugly Duckling), the popular used car dealer known for providing financing for people with low to bad credit, I spent some time reading online DriveTime reviews first.  I have my own opinions based on personal research, and conversations with industry experts, but I often find it useful to get a general idea for the overall reputation of a car dealer before writing my review.

Sure,  a lot of complaints you find online can be somewhat exaggerated, and at times fabricated by competitors, but for the most part they are written by consumers who are upset. The more of these online, the more likely is is that there is some validity to the claims, especially if you see an overall pattern emerge.

There are a ton of complaints online against one company that is now known nationwide (especially in the south) for providing auto financing to people with bad credit.  The company has had its share of legal problems, and two major lawsuits were filed against them. There was also a special report done by PBS…  Not exactly, the kind of press any company wants, right?  Sum it all up, and one can only come up with one conclusion, something has gotta be wrong with their business model.  So consumers beware. 

Now back to DriveTime.  Here’s my conclusion.  (I’d love to hear your thoughts – so please do comment!)

The Good

Flexible, In-House Financing for All Credit – DriveTime approves more than 99% of applications received. This is extraordinarily high and should give some comfort to individuals with bad credit — it is possible to buy a car with bad credit!  Best of all, the company now offers an online application and provides a fast decision online.

Many Locations – DriveTime has more than 86 used car dealerships across 10 states.  This company is proof that the “Buy Here Pay Here” business model is sustainable on a large scale.   DriveTime is not just a car dealer, it is a car dealer and car finance company built into one.  They provide “owner financing” for the cars they sell.

Well Known – DriveTime has been successful in branding themselves as the go to dealers for people with bad credit even though there are many other options for finding bad credit car loans.

Searchable Inventory & Diverse Selection of Used Cars – Unlike others, DriveTime offers an online searchable database of its diverse used car inventory.  I am particularly fond of this difference because I believe consumers ought to be able to shop for a car they like and want, and not be pushed to purchase any old car.  DriveTime has a selection of cars, vans giving consumers more ample options in choice.

Decent Used Cars - All DriveTime Financial used cars undergo an extensive 53 point vehicle inspection that helps ensure that cars sold are in good working condition and will give buyers minimal problems.  One of the most frequent complaints posted online for used car dealers is the quality of the cars sold.  Wherever you shop for a used car, you should be vigilant of quality. DriveTime’s inspection does make this a bit easier for you, though you should still do your own research.

Warranty – Just in case there is a problem with your car, the company offers a warranty on their used cars.

Special Programs – The company has some special incentives for military personnel and loyal customers.  These programs can help you save a lot of money on your used car purchase, regardless of credit.

Improve your Credit – Once approved for a car loan with DriveTime, your timely payments will be reported to the credit bureaus. This is hands down the best way to improve one’s credit — assuming of course, that you pay your loan payments on time.  I suppose this is why the often refer to their program as a “second chance car program”.

The Bad

Focused on Sales – The staff at DriveTime Financial is very focused on getting results. The result is a somewhat aggressive sales process that can often make consumers feel pressured.  Don’t let this sway you.  This is true of most car dealers, so be prepared for this situation wherever you shop for a car.

You will Pay More -  If you have bad credit and have not been able to get approved for a car loan anywhere, you will probably end up paying with a dealer like DriveTime Financial. Try to exhaust your options first. One good way to do this is to get a quote for a bad credit car loan from several dealers at once. This will avoid you having to go from dealer to dealer on your own.

The Ugly… um there is no ugly. The DriveTime cars are actually decent looking.

Learn more DriveTime, a used car dealership best known for bad credit auto loans.

Recommended Bad Credit Car Loan Quote Sites:

• Apply for a Rent to Own Car
• Apply for a Bad Credit Car Loan

Introduction

When one is in need of a car, and bad credit begins to get in the way of an individual’s ability to get a car, people tend to find themselves in a vulnerable situation. Most who are in this type of situation often opt to purchase a car in cash, but those who do not have enough cash on hand to purchase a car are left with limited options.   Many used car dealerships located across the US that cater to people having this kind of life experience because of bad credit. They are known for being able to finance just about anyone for a car.

Unfortunately, some buy-here, pay-here car dealers have a long record of consumer complaints.  Here’s a recent complaint we recently found on facebook:

THIS COMPANY DOEN’T BACK THEIR CARS. MY FRIEND AND I ALONG WITH OUR KIDS WERE ALMOST KILLED THIS WEEKEND. THE TIRE ONHER CAR FLEW OFF AS SHE WAS DRIVING TO WV. THE STUDS BROKE OFF. THEY WONT FIX IT BECAUSE THEY SAID WE LOOSNED THE LUG NUTS OURS…ELVES. THIS CAR HAS BEEN IN THE SHOP 4 TIMES IN 1 MONTH AND STILL UNDER WARRANTY. THEY STILL WONT FIX THE DAMAGE.   June 15 at 12:57pm ·  *Review found on Facebook*

Buy-Here, Pay-Here Car Dealers: The Good, The Bad and The Ugly

THE GOOD

1. Credit for Almost Anyone – Horrible Credit, Bad Credit, Good Credit, No Credit.

It seems that the only reason these type of companies are so well known is because they provide car financing to people with bad credit who cannot qualify for a car loan anywhere else.  Practically, every circumstance you can imagine is acceptable including a recent bankruptcy, divorce, or even a repo.  This is the real benefit, if you absolutely need a car — which most everyone does in order to make a living — and you can’t find a loan anywhere else, you can count on buy-here, pay-here car dealer.

Unfortunately, they also serve people who THINK they have horrible credit and are afraid of even trying to qualify for a car loan elsewhere. The sad thing is that quite often these type of people, who may have had credit issues in the past, are often eligible for car financing with many dealerships, even for new car purchases.  This is why I often recommend that my readers use our car loan quoting system or try a service like Auto Loan Bailout before contacting any car dealer.  The great thing about these types of service is that it allows you to complete a brief application which is then submitted to a huge network of car dealers and car lenders.  The car dealers or lenders who want to do business with you will contact you directly. This saves you time, money, and the humiliation of having to go from dealer to dealer and be turned down, plus you can always turn them down if you’re not happy with the offers your receive as their is no obligation.

THE BAD

1. Too Much Emphasis on everything but the Car – From the minute you make contact with a salesperson, they immediately begin talking about the second chance program that is supposed to help individuals with bad credit rebuild their credit with the purchase of a used car.   Even if you try getting them to focus on the cars available, the sales reps seem to be trained to sell one thing, and one thing only the second chance finance program.  The cars seem to be a secondary concern, something I found troubling when shopping for a car.

2. Don’t Expect an Immediate Test Drive – Don’t think you can just walk in and test drive any car you see on the lot.  First, you will probably have to fill the paperwork and talk with a representative. They do this to figure out how much you qualify for. Once they determine the magic number, they will tell you which car(s) you can buy.  This is why it is far better to let the dealers compete for your business before you consider this option. This way, you can pick the car you want and work with dealers who are willing to work with your special credit situation. Why waste time going from dealer to dealer?  You can get several dealers competing for your business using an online bad credit car loan quoting system.

3. Lawsuits -There have been numerous suits filed against the company and the internet is filled with consumer complaints regarding business practices and collections.  This does not inspire much confidence.  Most complaints are about the poor quality of the cars and collections practices.

The Ugly? The cars… though to be fair they do a lot of business and move a lot of cars, so I guess the fact that they don’t always have a bunch of nice looking cars sitting on the lot could be a good sign.

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Bad Credit Car Loan Reviews

BadCreditChannel.com – Bad Credit Car Loans

12 of 13 people found this review helpful.

“thank you so much for putting me in touch with ********** *******.   I got a decent rate on a used Mazda.”  – Melinda Minaya, Kissimmee, Fl.

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Web2Carz.com

36 of 70 people found this review helpful.

“I found my current car thanks to web2cars.com. I filled out the application and about 2 days later got a call from a nearby dealer who asked me to come in for an appointment…” Jill, Atlanta, GA.

“Nice car.” Anthony H. , Chapel Hill, NC.

AutoLoanBailout.com

12 of 30 people found this review helpful.

“I really didnt think I was going to be able to find a dealer to work with me but this site worked it out for me. Chris, Virginia Beach, VA.

“Thanks for helping me out with my new car.“ Alana,  Miami, FL.

“I bought a used Toyota corolla from a dealer. It was a little far from my house, but they were able to help so i didnt mind. ” Anthony H. , Seattle, WA.

AutoLoanATM

New  review.

“they connected me with me with ******** finance company.  I was approved for a used car loan.”  – Henry B., Detroit, MI

Getting auto financing is easy, even with bad credit if you know where to look.

Bad credit car loans can be found at:

• Buy Here, Pay Here car lots
• Rent to Own car dealers
• Car dealers offering second chance financing programs
• Some credit unions

In order to find a bad credit car loan provider you will need to do some research.  Most people pick up a telephone book or use the internet to find local car dealers who specialize in working with people with challenged credit histories.  This is the old way to do things – and there is absolutely nothing wrong with going about the process this way.

The alternative is using an internet matching service to help you find a car dealer who wants your business.  That’s what we do.  All you have to do is complete our short, confidential form and it will be automatically sent to participating dealers located near you.

We don’t stop there. We also make sure we recommend other online loan sources because we know it sometimes takes more than one application to get the job done.

Our Car Loan Matching Service

We are pleased to be able to connect you with local car dealers who offer in-house financing or rent-to-own own car programs.

More about our new bad credit car car loan program is below:

• Instant application submission
• Fast response from participating dealers
• Free & No Obligation Quote
• Nationwide Coverage -  All 50 States
• Bad Credit, Previous Repossession, Bankruptcy OK
• Rent To Own and Buy Here/Pay Here programs available

Our dealers have the highest acceptance rates for people with poor credit histories.  We offer a short, secure & confidential online application and can pre-qualify you for a car loan in a couple of minutes.  Once your application is submitted and processed, it will be rushed to qualifying dealers located near you.

This process saves you the time and frustration of having to go from dealer to dealer to get a quote.  Plus, it makes them compete for your business — putting you in control.

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Bad Credit Car Loan Reviews.

“I thought I was unable to qualify for a new car, but they put me in touch with a car dealer with a second chance credit building program. I had to put down a bit of money, but it was totally worth it.  I got a new car. “   - Cassandra, Alexandria, VA.

New  review.

“they connected me with me with ******** finance company.  I was approved for a used car loan.”  – Henry B., Detroit, MI

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36 of 70 people found this review helpful.

“I found my current car thanks to xxxxxx. I filled out the application and about 2 days later got a call from a nearby dealer who asked me to come in for an appointment…” Jill, Atlanta, GA.

“I was not sure if there were any rent to own dealers in my area but i was able to find out online with this service. “ Carl O., Charlotte, NC.

“Nice car.” Anthony H. , Chapel Hill, NC.

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12 of 30 people found this review helpful.

“I really didnt think I was going to be able to find a dealer to work with me but this site worked it out for me. Chris, Virginia Beach, VA.

“Thanks for helping me out with my new car.“ Alana,  Miami, FL.

“I bought a used Toyota corolla from a dealer. It was a little far from my house, but they were able to help so i didnt mind. ” Anthony H. , Seattle, WA.