The fall of a Carvana competitor left lost, disgruntled customers in the dark
The end of the road for this online used-car retailer resulted in a rough road for some customers.
Following the announcement by online used car marketplace Vroom (VRM) - Get Free Report on Jan. 22 that it has halted sales and car buying, rough roads were laid ahead for those who were waiting on their very own set of wheels.
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NBC's Houston affiliate KPRC spoke with two women from opposite parts of the country who already made down payments to Vroom and have been experiencing static ever since their announcement.
Kerra Wade of Indiana told the affiliate that she experienced difficulties trying to find the status of a recently purchased car though Vroom's app and has left her uneasy.
“I just feel very, overwhelmed. Distressed," Wade told the affiliate. "I’m a single mother... I don’t just have cash to just be purchasing cars and things like that.”
Lynn Ruggieri of Connecticut was also left in the dark.
“I’m worried that I’m going to lose my money and... not have a car. And I don’t have a car right now. I can’t get a hold of them. I don’t have a car, and I don’t have my money."
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This is not the first time that Vroom has come under fire, as many customers have criticized the online site for the car buying experience in many ways online.
Forums on social media sites like Facebook and Reddit show nearly endless horror stories of prior customers' slow buying and delivering process, as well as receiving cars that were in worse condition than what was perceived.
In December 2023, Vroom settled a $3 million deceptive trade practices lawsuit brought by the attorney general of its home state of Texas in April 2022.
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According to a statement by Texas Attorney General Paxton, the online used-car retailer was alleged to have "misrepresented and failed to disclose significant delays in transferring clear title and obtaining vehicle registrations," and also "misrepresented and failed to disclose vehicle history and condition and terms of financing and approval."
TheStreet has reached out to Vroom for comment.
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