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This website is an informative comparison site that aims to offer its users find helpful information regarding the products and offers that will be suitable for their needs. We are able to maintain a free, high-quality service by receiving advertising fees from the brands and service providers we review on this website (though we may also review brands we are not engaged with). These advertising fees, combined with our criteria and methodology, such as the conversion rates, our team of reviewer's finding and subjective experience and product popularity, impact the placement and position of the brands within the comparison table. In the event rating or scoring are assigned by us, they are based on the position in the comparison table, or according to other formula in the event specifically detailed by us. See our How we Rate page and Terms of Use for information. The reviews, rating and scoring are provided “as-is” without guaranties or warranties regarding the information contained in our website, which shall not be considered as endorsement. We make the best efforts to keep the information up-to-date, however, an offer’s terms might change at any time. We do not compare or include all service providers, brands and offers available in the market.

CarsDirect Car Loans Review

Moses Will Moses Will Last update:
Est. APR
1.9-36%
Max loan
$45
Months term
24-84

Overview

CarsDirect helps drivers get on the road by initiating car loan financing. They have been in the market since 1998, and they work with numerous lenders nationwide. CarsDirect does not sell cars nor lend loans but is a marketplace where borrowers are connected with lenders.

People with bad credit can acquire car loans through CarsDirect aided by special plans that fulfill their financial needs. In addition, they cater to people with no credit history and previous bankruptcies. CarsDirect dealers structure a loan that will fit in such conditions to ensure that you reinstate your financial future. This article is a handy guide that disseminates information about CarsDirect, auto loan details, the application process, customer satisfaction, among other entities. 

CarsDirect Types and Terms

Car loan types New car, used car, auto loan refinance, lease buyout loans
Loan amount Varies by lender
Repayment terms 24, 36, 48, 60, 72, and 84 months
APR Varies by lender
Minimum credit score 300
Lender type Marketplace
Good for:
  • Bad credit
  • No credit
  • Previous bankruptcies 

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CarsDirect is Good For: People with no credit, bad credit, and records of bankruptcies are viable for loans at CarsDirect. The company has dealers who structure a loan suited to such cases and ensure that you get financed based on your situation.

CarsDirect Pros

  • People with bad credit and no credit history are viable for loans. 
  • You can get a loan with records of bankruptcies. 
  • The company has a fast application process. 
  • It is a marketplace with a variety of lenders.

CarsDirect Cons

  • A low credit score is accompanied by high-interest rates.
  • It is not a direct lender. 
  • Scanty details have been published regarding loan information. 
  • Some customers have complained regarding customer service.

Application Process

CarsDirect has a comparatively fast application process. You will first submit a 60-second auto loan request, and they will respond within 24 hours for further discussions. There are instances where borrowers buy a car within 24 to 48 hours after applying for a loan. During the application, applicants are required to submit information on full legal name, date of birth, address, and Social Security number. 

Depending on the lender you choose, the loan application will differ as they conduct a hard pull to determine the loan amount you can qualify. Additionally, on the CarsDirect website, there is a Car Loan Calculator that gives insight into the amount of loan you can afford. The information that you fill in the calculator includes:

  • Desired monthly payment.
  • Expected down payment.
  • Approximate credit rating.
  • Loan/lease term. This is how long you intend to make the payments.
  • Car sales tax is differentiated by the state of residency. 

After you submit an online application, CarsDirect dealers will contact potential lenders and weigh on applicant financing options. They will then contact you and request proof of:

  • A valid auto insurance
  • Income
  • Residency 
  • Two years of tax history
  • A copy of your photo ID
  • W2 forms
  • Bank Statements

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Terms & Requirements

All applicants must be at least 18 years old for an application to be valid at CarsDirect. The company also requires applicants to be United States residents and must prove that they have a steady source of income. You should also beware the state of residency, types of vehicle, and payment terms will influence your loan’s interest rates. Other imperative thresholds in the loan application include:

Credit score requirements:

CarsDirect is a market with numerous lenders with varying credit score requirements. However, loans are available for borrowers with bad credit or no credit history. Nonetheless, you should note that the lower the credit score, the higher the interest rates. People with a credit score above 660 can be subjected to better loan terms and interest rates. 

Debt-to-income ratio:

This is the percentage of monthly gross income directed to paying debts. CarsDirect scrutinizes the debt-to-income ratio to determine the amount of loan a borrower can get. 

Car Loan Terms

CarsDirect works with numerous lenders across the country. Thus, they have distinct car loan terms. People with a credit score above 660 may have an easier time searching for an ideal lender. It’s because a low credit score is accompanied by high APR and unfavorable terms. 

In addition, the necessary paperwork will depend on the lender you choose. The lender may scrutinize alternative credit histories such as rent and utility payment histories for applicants with no credit history. 

To ensure that you get the best deal, it’s recommended that you shop around from different options within CarsDirect. This is because your location, vehicle model, and vehicle status (new or used) vary based on the lender you choose. Below are the tiers that classify different credit scores:

  • A or A+ Credit

‘A’ credit is for people who fall between 700 and 739. For A+, their credit ratings are between 740 and 877. Such borrowers will receive the best rates with little or no down payments. 

  • B Credit

This is for people between 660 and 699. They are classified as gold borrowers, and they are mostly slow to pay off credit card balances or have cards with over 50% credit limit. Nonetheless, they are close to tier 1, and the interest difference may be approximately 4%.

  • C Credit

It’s for people between 581 and 659, and they are categorized as silver ranks. They have less than five years of credit history and may be slow to clear credit card balances or nearly maxing out an account. 

  • D Credit

This category is for people between 520 and 580, and they are classified as bronze-level borrowers. They mostly have both good and bad credit histories. Such people have certain concerns that are denting their credit history but have the potential to work on it. 

  • E Credit

It is a subprime tier, and such people fall between 250 and 520. They are mostly people with poor or non-existent credit history. These types of borrowers require manageable rates to qualify for a car loan. 

Repayment Terms

At CarsDirect, borrowers can choose different repayment periods such as 24, 36, 48, 60, 72, and 84 months. Loan specialists recommend borrowers choose a repayment term based on the conditions and interest rates subjected to their loan. This is because a borrower with a poor credit score will have higher interest rates, and a longer repayment term will lead to whopping payments. 

Privacy & Security

Though CarsDirect does not have a Better Business Bureau (BBB) profile, they have a Trustpilot page. Some customers have provided 5-star feedback, while others have disseminated a few complaints. The company also has a privacy policy that applies to the sites and services rendered to borrowers. It covers all information collected, how the garnered information is used, and the choices available to access and update that information.

Customer Support

CarsDirect has designated consumer inquiries and dealer inquiries email addresses where borrowers can relay their concerns. There is also a section where you enter and submit your number and agree to be contacted. This may include auto-dials, text messages, and/or pre-recorded calls. Message and data rates may apply. 

They also provide an option to search for new car prices and deals. This section is constantly updated to ensure that customers are up to date. The company has several published articles that borrowers can check and familiarize themselves with what is expected when striking a deal with CarsDirect. 

Final Thoughts

CarsDirect has proven to be a great platform for people with poor or no credit scores and bankruptcies records. They structure a loan based on a borrower’s situation and ensure that they get the best out of it. In addition, CarsDirect is a marketplace where borrowers can compare and shop car loans after researching and weighing the available options. 

Nonetheless, CarsDirect has a hot-or-miss reputation because some customers have complained due to some reasons. They also have an approximately average rating which reciprocates their overall experience. 

Address

909 N Pacific Coast Hwy, 11th Floor

El Segundo, CA. 90245

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Disclosure
This website is an informative comparison site that aims to offer its users find helpful information regarding the products and offers that will be suitable for their needs. We are able to maintain a free, high-quality service by receiving advertising fees from the brands and service providers we review on this website (though we may also review brands we are not engaged with). These advertising fees, combined with our criteria and methodology, such as the conversion rates, our team of reviewer's finding and subjective experience and product popularity, impact the placement and position of the brands within the comparison table. In the event rating or scoring are assigned by us, they are based on the position in the comparison table, or according to other formula in the event specifically detailed by us. See our How we Rate page and Terms of Use for information. The reviews, rating and scoring are provided “as-is” without guaranties or warranties regarding the information contained in our website, which shall not be considered as endorsement. We make the best efforts to keep the information up-to-date, however, an offer’s terms might change at any time. We do not compare or include all service providers, brands and offers available in the market.
Moses Will Moses Will
Moses Will is a pro in the world of finance and real estate. Having been in the field of writing for the last 12-years, he has all it takes to produce top-notch content. He is a guru in writing guides, articles, blog posts, product reviews, tech and SEO. Apart from writing, he is also a finance tutor.
This review is based on the writer's personal opinion.