J.D. Byrider
From Wikipedia, the free encyclopedia
J.D. Byrider is an Indianapolis-based used car dealership franchise started by the late James F. DeVoe in 1989. The company sells used cars to those with a weak credit history at interest rates similar to those of high interest credit cards. It has over 120 locations in over 30 states, and is most heavily centered in Indiana, Ohio, and Florida. The great majority of J.D. Byrider locations are east of the Mississippi river. Although J.D. Byrider is the car lot normally advertised in the media, there is also a sister company called CNAC that deals with the actual financing and loan collection process. CNAC normally buys 100% of the loans that J.D. Byrider originates.
[edit] Positives
J.D. Byrider advertises itself as a place where a person can help restore their credit after a life changing event might have destroyed or damaged their credit. Most other car dealers will not loan to J.D. Byrider customers due to thier credit. J.D. Byrider has been able to use a system of vertical integration of Sales, Service, and Collections to cut down on their own costs in order to continue to stay in business. The company claims that it must deal with high levels of default that have caused many of its competitors to close over the years. Their business model allows those with the very low Credit rating to purchase a car. They count among their customers the following: recent divorcees, recent Bankruptcy filers, and those with no credit history.
[edit] Negatives
J.D. Byrider customers end up paying two to three times the value of the car before owning it outright, due to the high interest rates (up to 24% in some states) and the life of the loan (up to 4 years in some cases). J.D. Byrider also uses very strict collections methods. In the past J.D. Byrider locations have been charged with unfair practices towards their customers.
In 2005 the Ohio Attorney General settled a lawsuit against J.D. Byrider steming from customer complaints. As part of this settlement, JD Byrider agreed to make more than 20 remedial changes to its business practices in order to operate within compliance of Ohio laws.
In 2006 the Kentucky Attorney General settled a lawsuit against J.D. Byrider steming from customer complaints. If you purchased a vehicle from J.D. Byrider of Louisville between January 1, 2000 and December 31, 2004, you may be entitled to either a cash refund or a credit of $500 on your loan. On February 1 2006 the Louisville location ended its association with J.D. Byrider.
There are several sites on the web that display complaints against the company from customers.
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- It should be noted that many of these complaints over the years have invloved franchised locations, and not company controlled interests. In addition to these complaints being resolved the dealers involved lost their franchise agreement, and are no longer permitted to use the "JD Byrider" name as a dba*****
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