We have spent the past week investigating Carvana. This entire ordeal stemmed from a man accusing eBay of fraudulently inflating Carvanas feedback to artificially claim that Carvana is a Top Rated Seller when, in reality, their feedback score is 75% (or less) positive. 

Our investigation began with looking into claims provided by the whistleblower then discovering that people on Reddit have been pointing out that Carvana is running a bait-and-switch scam. In Part 1 of this series we confirmed that what Reddit users are claiming is indeed 100% accurate, in fact, the very first listing we saw for sale (“Buy Now”) wasn’t in stock despite being advertised as immediately available for purchase on eBay.  Before you read this post, we encourage you to grab a cup of coffee or a glass of wine and first read Part 1.  Don't worry, you will end up right back at this page. 

We also confirmed that despite 9 bad reviews and 11 positives in 30 days, Carvana was still a “Top Rated Plus” seller. To top it off, this company has an “A- Rating” with the BBB even though seemingly 99% of the reviews are 1-star. The more we looked, the more we found; In Part 2 of this investigation we found that Carvana hides their Facebook reviews which forces slews of enraged buyers to leave comments on their posts. Other review sites feature the same 1-to-3-star-average feedback. In Part 3 things took a really bizarre turn when we discovered that Carvana claims to offer an Extended Warranty through a company called SilverRock (with unending complaints from frustrated buyers who claim SilverRock refers people back to Carvana then Carvana tells them to contact SilverRock)… however SilverRock IS Carvana. The only difference between Carvana and SilverRock seems to be that SilverRocks official address is a P.O. Box… a Phoenix AZ post office box located, conveniently, 11 minutes drive time from Tempe’s Carvana.

And that brings us to todays part of the investigation; Lawsuits.

Private Investigator Bill Warner did a deep dive us his own and discovered that Carvana has serious problems with providing buyers appropriate Titles, meaning, the buyer purchased the car through Carvana and cannot register it with the state due to one reason or another (and in some cases, it’s due to many reasons). In fact, the Title problems became so bad that my home state, Michigan, was forced to put Carvana on probation due to outright violations of the law. North Carolina banned Carvana from selling in their state for half of a year.

Texas is another state that has been forced to investigate Carvana for allegedly selling vehicles that are not legal to be driven due to serious issues.

In Florida, according to Jacksonville Channel 4 News, in December 2021 a Class Action Lawsuit was filed against Carvana, and, to add to the craziness, read the comments posted on this news story and you’ll find a dozen more unhappy Carvana customers looking for legal help. A second Class Action has also been filed.

California and Pennsylvania are a few more states who have had to intervene on behalf of its residents.

Hopefully the people involved in the Class Actions can seek justice, however the story isn’t over. In Part 5 I have to tell you the main flaw with suing Carvana… a shocking flaw that you don’t want to miss. 

Part 5 is coming tomorrow.