Is TrueCar Legit?
TrueCar is an online car marketplace where users can buy a used car from a local dealership. As far as dealership marketplaces go, this is one of the most sought-after variants because it guarantees a fixed price with zero negotiations. It makes it easier for private individuals to navigate the used car marketplace and quickly and securely find a vehicle in their local area. All car listings are published by certified dealers and not private sellers, which means that there is a higher level of security than with other services that allow you to sell a car online.
Who should use TrueCar?
TrueCar is meant for customers who are looking for local dealership deals rather than collectors or exotic car enthusiasts. If you are looking to make a deal with a certified auto dealer, then this service will be perfect for you. That being said, TrueCar is mostly focused on lead generation for dealerships, although it does have perks for customers, because they know that by using this service, the chances are they will not be scammed. The platform is haggle-free, meaning that prices of listings are fixed and are guaranteed by the company.
Who should avoid TrueCar?
If you are looking to buy a brand-new car and not a used vehicle, then you’d prefer other platforms. Customers who are in the market for newer vehicles or vehicles that are brand new will also find it difficult to get the right model. If you are someone who values their privacy and does not like being contacted by businesses, then this might not be the right website for you. TrueCar works by sharing its visitors’ details with dealerships once customers confirm their consent. This unleashes a wave of dealerships sending you emails and calling you to make you an offer on a car you’ve shown interest in. TrueCar also does not support on-site haggling because its prices are fixed; this means that if you want to negotiate on the price, you either have to take the deal off-site, or you have to take the value of the car at face value.
What Is TrueCar and How Does It Work?
TrueCar is a car-buying platform that connects private buyers and dealerships all across the country. It helps dealerships reach customers in their local area, giving them consistent access to leads. It is known for its fair prices and transparent market value estimations, meaning customers will know whether they are getting a good deal or not based on the prices that others in their area have paid for a car like this. TrueCar's deal rating is accurate and reliable, making TrueCar legit.
Buying a Car Through TrueCar
Buying a car through TrueCar is made easy by the organization of the website and the multiple tools they provide you with. You can get a vehicle history report easily and get a deal rating through the TrueCar Pricing Guide, which allows you to see what others in your area have paid for specific cars, makes, and models. TrueCar is known for its no-haggle policy, which makes it easy for customers to secure a vehicle quickly without the anxiety of negotiating on rates. To buy a car through TrueCar, you have to have an active account. You search through the selection in your local area, request a call from a dealer, and then take it from there to finalize the deal with the dealership. You can either opt for financing through the dealership, or you can pay directly via a wire transfer to the allocated bank account that the dealership has in place.
How TrueCar Pricing Works
One of the most important factors of online car shopping is that prices tend to be a bit lower. This can be true for TrueCar as well; however, it's important to note that the website does not determine the price, but rather guarantees that the price you are getting is fixed and guaranteed. The price of a car is dictated by the dealership that has posted the listing.
How TrueCar Makes Money
TrueCar primarily makes money through its dealership program and by charging dealerships fees for every car sold through its website. Their model is mostly focused on B2B sales, meaning business-to-business sales, meaning they make their money through advertising at the behest of dealerships in their Certified Dealer network. There are also subscription models in place for some states, as paying a flat fee for pre-sales is not considered a legal action. Therefore, some dealerships pay a subscription fee on a monthly or annual basis to stay on the Certified Dealer Network.
Pros of Buying Through TrueCar
Upfront Pricing
When you decide to buy a car through TrueCar, you know that the price shown is pre-certified and that it is final. This provides a level of security for any customer and makes price comparisons quite easy.
Certified Dealer Network
The Certified Dealer Network is by far TrueCar's biggest upside; it is a network of dealers that are certainly a secure bet and a source of a fair deal. This means that customers who want to secure a good used car will generally find it easy to select a dealership in their area and be certain that their practices are legal and overall fair.
Easy Price Comparison
It's very easy to compare prices of cars in your area by using TrueCar’s network of dealerships. You can essentially check the entire inventory of multiple dealerships entirely online. You will also know that all cars in your preferred categories are available and come with a vehicle inspection.
Common Complaints About TrueCar
While TrueCar is legit in terms of security and providing visitors a secure experience, it, too, has some downsides. We’ve flagged several community complaints coming from customer reviews and dealer reviews uncovering some unsavory practices on the side of dealerships in the Certified Dealer Network that TrueCar has created. Here’s what we've found so far.
Dealer Pricing May Vary
Some community members have expressed that there has been a noticeable difference between the so-called firm price listed on TrueCar and the price they receive once they hit the dealership. This is quite a common practice that dealerships use to attract customers, and they either force them to use their financing or to submit to mandatory dealership upgrade options for their vehicle.
Limited Vehicle Availability
It's possible to find a wide range of vehicles on TrueCar, but since the service is localized by local dealers, it is possible to experience some limited vehicle availability. One way to circumnavigate this is to buy out of your state and get vehicle delivery. That being said, a lot of customers prefer to have the car they want available in their local area, and TrueCar cannot supply this because its selection is based on the dealerships on their network.
Sales Follow-Up from Dealers
TrueCar has been known to be quite aggressive with sharing your data with dealerships in their network. Some users report a drastic influx of calls and emails from local dealerships, which can be quite overwhelming, especially if you have not been notified or are not expecting it. The way this works is that the moment you submit a price request for a car or generate a TrueCar Certificate, your info, like phone number and email, gets immediately shared with all local dealerships that are on the Network.
Is It Safe to Buy a Car Through TrueCar?
In terms of safety, TrueCar is known for providing customers with a safe browsing experience, with few to no users reporting encountering fraudulent dealerships. It gets a high security rating, leaving TrueCar as a highly rated location in terms of safety and reliability for finding deals on old and new cars.
How TrueCar Protects Buyers
One of the ways TrueCar protects its buyers is by certifying the dealers that are on the website. It also does its best to provide transparent market pricing, upfront dealer prices, and certificates for the cars that are being listed on the website. Each car listing is certified with the proper documentation and includes a pre-purchase inspection. TrueCar also makes it super easy to do a price comparison for cars sold in your community. When buying a car through TrueCar, you know that the title transfer process will be easy, as the dealer is certified and accredited for being a legit business.
Tips for Buying Safely
When browsing through used vehicle listings, we recommend securing good financing options and doing an independent inspection of the car. This will give you some space to negotiate with the dealership if there is damage found on the car or if it's discovered that the car has missed maintenance intervals. In terms of important car-buying tips, we recommend shopping around and finding the best deal, but also keeping your options open, as dealerships can sweeten the deal, especially when it comes to second-hand car sales.
Frequently Asked Questions About TrueCar
Is TrueCar legit?
Yes, TrueCar is legit, and it can be considered a safe website to use for buying a car online. Some challenges come with using TrueCar, like a price difference between the listed price and the final dealership price, which can be navigated by reporting the difference to TrueCar so they can police their network and remove any fraudulent or misleading listings and dealerships.
Is TrueCar safe to use?
Yes, TrueCar is safe to use for buying a new or used car. The platform vets every dealership and certifies it before entering it into its Certified Dealer Network.
How does TrueCar work?
TrueCar helps car dealerships reach as many people in their local area as they can. It is a marketplace for dealerships to post their listings and attract customers to their physical locations.
Does TrueCar sell cars directly?
No, TrueCar does not sell cars directly. It assists dealerships and car buyers in touching base. It is an advertising and lead generation platform for dealerships, focusing more on the business-to-business model for sales and revenue streams rather than direct car sales.
How does TrueCar make money?
TrueCar makes money through its Certified Dealer Network, subscriptions, sales fees, and some additional services that they offer exclusively to car buyers. Most dealerships pay either a flat fee or a subscription fee to be entered into the Certified Dealer Network, with prices varying based on area and the time of year.
Are TrueCar prices accurate?
For the most part, they are accurate. However, some community members have expressed the need for further fine-tuning of the price system, as some dealerships list a lower price on TrueCar and then inflate it once the customer arrives at their dealership, citing temporary price fluctuations based on market evaluations.
Can you negotiate prices on TrueCar?
No, as TrueCar is not a car marketplace but a platform for dealerships to post their listings, you cannot directly lower the price. It is possible, however, to negotiate the price once you make contact with a dealership.
Is TrueCar better than CarGurus?
Both platforms provide different types of services. TrueCar is more geared towards new car buyers and their no-haggle policy, whereas GarGurus is more focused on the used car market and offers a deal rating system that gives you an estimation of whether a deal is a good idea or not based on local prices and data from their community.
Does TrueCar offer financing?
Yes, TrueCar offers direct online financing. You can get a no-impact pre-approval to check if you qualify for an auto loan through them. You can use TrueCar’s Auto Loan Calculator to estimate your monthly payment and therefore gauge your buying power.
Can you buy a used car on TrueCar?
Yes, you can buy a used car on TrueCar; however, it is more focused on new car listings rather than used cars, and therefore you’ll find it more restrictive. There are platforms like CarGurus that specialize in giving customers access to pre-certified second-hand vehicles.
