Texas Sues Vroom, Responding to Consumer Complaints

[Jeff Kershner]

Some customers say they have waited months for their license plates

Texas Attorney General, Ken Paxton has filed a deceptive trade practices lawsuit against Vroom Automotive.

Paxton noted that consumers have filed over 5,000 complaints since 2018 with both the Better Business Bureau (BBB) and the Office of the Texas Attorney General against Vroom and Texas Direct Auto, which Vroom owns.

The BBB said it noticed an increase in complaints starting in January 2020 that focused on two areas.

1. Consumers reported that the vehicles delivered were NOT the same vehicles pictured online, OR that they were dirty or damaged.

2. Consumers having customer service and communication issues when trying to reach the company to address concerns, like NOT received paperwork for registration and faced delayed deliveries for vehicles, and issues around trade-ins.

I SWEAR we had a discussion around these issues already posted here in the forums but I it's not showing up for me in a search.

WOW - both Carvana and Vroom are are causing havoc in the industry. Wonder what percentage of Vroom customers have said...

"NEVER AGAIN, will I purchase a vehicle without seeing it with my own 2 eyes and signing the paperwork physically at the dealership."



Link below for a full article.

Texas sues Vroom in response to consumer complaints

Texas Attorney General Ken Paxton has filed a deceptive trade practices lawsuit against the online used vehicle dealer Vroom Automotive, which saw sales gr

www.consumeraffairs.com

 

[Alex Snyder]

but this can be overcome with future P.R.

When this new car inventory normalizes it is going to be interesting to see how dealers fight the threats that have grown so powerful while profits have been so fantastic.

• Franchise law erosion started by Tesla
• How OEMs plan to sell EVs and the technology companies enabling them to do it
• Carvana and Vroom setting new customer expectations
• The fallout of charging over sticker
• OEMs advancing their capabilities in forcing processes on dealers (this is a deep dark one to unpack)
• Raising prices from vendors due to inflation and to make up for the last 2 years of hardships (advertising companies got killed)

All mixed with a new generation of sales staff that has forgotten or never learned how to sell a car.

I look forward to helping dealers in this

 

[Dan Sayer]

Welp. Vroom kicks the bucket. Vroom Announcement

 

[Alex Snyder]

Welp. Vroom kicks the bucket. Vroom AnnouncementView attachment 8478

We announced January 22nd, 2024, that Vroom has halted all purchases and sales of used vehicles. We are discontinuing Vroom's e-commerce operations and winding down our used vehicle dealership business.
It has been an honor to serve car buyers and sellers all over the country.

Our subsidiaries, United Auto Credit Corporation (UACC) and CarStory, will continue to serve their customers and focus on growing those businesses.
Read the full press release here.

One down....

 

[Jeff Kershner]

Closing thread. Click below for

Vroom kicks the bucket - Closes shop!​

PR & News - Vroom kicks the bucket - Closes shop!

We announced January 22nd, 2024, that Vroom has halted all purchases and sales of used vehicles. We are discontinuing Vroom's e-commerce operations and winding down our used vehicle dealership business. It has been an honor to serve car buyers and sellers all over the country. Our subsidiaries...

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