Carvana has a detailed company code outlining principles it claims it will abide by in doing business. But the company doesn’t appear too interested in following their own code as lately, as more issues with its services continue coming to light.
The Wall Street Journal reports the online car company now faces scrutiny over its paperwork processing. Buyers claim to be facing long wait times, often months, for paperwork to be processed and titles to be issued.
Many of the complaints have been directed to the Better Business Bureau. While Carvana currently stands with an A- rating, customer reviews give it just 2.09 stars out of five.
Consumers have filed dozens of complaints with state regulators and hundreds with the Better Business Bureau about issues that include incorrect paperwork, delays getting titles and registrations, and other troubles with the purchasing process. At least four states have disciplined Carvana or are investigating the company for violating vehicle-sales rules.
Customers are pissed. Vehicles have gone unregistered for a year leaving customers on the hook for unnecessary penalties and fees. One customer, as the Wall Street Journal points out, gave his vehicle back to Carvana after he was informed the title for it hadn’t been processed.
Another customer in Kentucky was given a ticket in August of this year for no registration. She bought her car from Carvana in November of 2020.
It makes me wish I’d just gone to the car lot,” said Laura Simmons, a public-health worker in Kentucky. She said she was ticketed in August for no registration while driving on expired temporary tags and is still waiting for Kentucky title and registration documents for a Hyundai Sonata she purchased from Carvana last November.
“I’d pay more, but at least it’d be registered, and I wouldn’t have these headaches,” she said.
With costs such as over $10,000 in fines since 2019 in Texas, and settlements totaling $850,000 for four lawsuits in California piling up, it can only get worse for Carvana unless it changes its procedures. A company spokesperson said the company is committed to changing its procedures while pointing out that Carvana has pioneered online car buying by continuously delivering exceptional experiences.