J. D. Byrider
From Wikipedia, the free encyclopedia
J.D. Byrider is an Indianapolis-based used car dealership franchise started by the late[1] 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 more than 130 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.[2]
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[edit] Business model
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 it.[citation needed] 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.[citation needed] The company claims that it must deal with high levels of default that have caused many of its competitors to close over the years.[citation needed] Their business model allows those with very low credit ratings to purchase a car. They count among their customers the following: recent divorcees, recent Bankruptcy filers, and those with no credit history.[citation needed]
[edit] Criticism
In the past J.D. Byrider locations have been charged with unfair practices towards their customers.[3] [4] [5][6] [7]
[edit] Government action against J.D. Byrider
- In 2005 the Ohio Attorney General Jim Petro 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.[3] [5]
- 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.[4] [6] [7]
