How Does Vroom Work? [Buying and Selling]

Online car buying and selling have become popular in the United States. Vroom is one of the companies that offer these services. But since this kind of business is relatively new to us, do we exactly know how it works? So, how does Vroom work?

Vroom is an online dealership that maintains a physical inventory of used cars. You can browse vehicles online and even have them delivered to your door through its website. It also assists buyers to pre-qualify for car loans or financing schemes. Vroom also buys used cars and even picks them up at no cost.

Read on to learn more about Vroom, including their buying and selling process.

How Does Vroom Work?

how does vroom work

Online Car Dealership

Vroom is a company that serves as an online car dealership. It maintains a physical inventory of used cars.

Interested Buyers Can Browse Vehicles Online

Through its website, interested buyers can browse vehicles online and even deliver them to their door. It also assists customers in pre-qualifying for car loans or financing options. Vroom buys used cars too, and even picks them up for free.

Aims to Make It Convenient for Customers to Buy and Sell Vehicles

Vroom aims to make it convenient for customers to buy and sell vehicles. Customers do not have to visit dealerships in person anymore. Instead, they can check out cars and compare costs nationwide in the comfort of their own homes.

Vroom Will Assist You in Exploring Financing Options

Let’s say, for instance, you have finally found a car you’re interested in buying from Vroom. You will then have the opportunity to explore financing options, and Vroom will gladly assist you with this.

Complete the Buying Process

Then, the next thing to do is to place a deposit, comply with all other online requirements, and the car will be delivered to you. Vroom has a return policy too, which covers a week from the date of delivery, or about 250 miles.

Am I Eligible to Buy a Car Through Vroom

It is not hard to become an eligible car buyer through Vroom. But the following factors make you a good fit as a Vroom customer:

  1. Wants Wide Car Buying Options
  2. Interested in Simplified Vehicle Buying and Financing Process
  3. Has a Good or Excellent Credit

Let’s briefly discuss this:

1. Wants Wide Car Buying Options

When scouting for the best-used vehicle, it’s quite inconvenient to visit one dealership to another. Through Vroom, it’s easy to check out thousands of vehicles in its inventory. All you have to do is to browse its website. Check out as many vehicles as you want until you find the one you like best.

2. Interested in Simplified Vehicle Buying and Financing Process

Who would want a complicated buying process, right? Buying a used vehicle through a physical dealership sometimes requires you to visit the site several times. Therefore, it requires much time and effort, not to mention money.

May Take Several Days to Complete the Entire Process

With Vroom, it may also take you several days to complete the entire process. This is especially true when you are completing the whole financing process.

Not Required to Visit the Dealership Physically

But you don’t have to physically visit the dealership or the lender anymore. Everything can be arranged online through the Vroom website, from shopping to buying, financing, and vehicle delivery.

Coordinate with a Vroom Representative Online

It’s the same thing if you sell your used car through Vroom. You can coordinate with a Vroom representative online. They will even be the ones to visit your place to pick up the vehicle.

3. Has a Good or Excellent Credit

If you have good or excellent credit, you will most likely be eligible to get Vroom’s financing option. What’s good about this is that you will also most likely be offered low rates.

Those with bad credits may still apply for a loan through Vroom. It may be possible to get approved, but they are typically offered high rates.

How to Buy a Vehicle from Vroom

So, how do you buy a vehicle from Vroom? Here’s are the steps:

  1. Browse the Vroom Website Inventory
  2. Start the Buying Process
  3. Settle Payment Based on Your Chosen Payment Option
  4. Complete the Buying Process
  5. Conduct a Test Drive

Let’s briefly talk about this:

1. Browse the Vroom Website Inventory

Search by Model, Make, or Body Type

When visiting, find the “Buy” tab and click it. You can search by model, make, or body type. Also, you can narrow down the results by using filters to search by color or price.

360-degree View of the Vehicle’s Exterior

Once you have selected a specific vehicle, a detailed page will appear. It will feature a 360-degree view of the vehicle’s exterior. Also, you will be provided with plenty of photos that will help you get a clear vision of the condition of the unit. These photos will include existing scratches or damage.


Vroom provides the car’s specs, features, warranty, and ownership history. Suffice to say that Vroom offers full transparency of their vehicles.

2. Start the Buying Process

Click the Get Prequalified Button

On the detailed page of each vehicle, you will notice two important buttons. “Get pre-qualified,” while the other says, “Start purchase.”

If you want to know if you can buy a vehicle through the financing options offered by Vroom, click “Get pre-qualified.”

You will then be required to give personal information, including your income. This will allow Vroom’s lending partners to estimate the amount you can borrow. There’s nothing to worry about your credit score. The pre-qualification process will not affect your credit score at all.

Create an Account After Clicking “Start Purchase”

When you click the “Start purchase,” it will redirect you to Vroom’s sign-in page. You are required to log in or create a Vroom account. Like creating an account with other sites, you will be asked to register your name and contact details.

Once logged in, the Vroom site will walk you through the whole process.

3. Settle Payment Based on Your Chosen Payment Option

Three Payment Options

Vroom offers three payment options. You can pay in cash, you can finance with them, or you can arrange your financing. The most hassle-free is paying in cash. But, of course, not everyone is capable of doing so. Or even if some are, they still prefer a financing scheme.

Regarding financing with Vroom, it’s important to note that Vroom doesn’t have its financing or lending business.

Vroom Partnered with Banks to Process Their Customers’ Loan Applications

Instead, it has partnered with several banks that will process their customers’ loan applications. Vroom offers an added service to make it more convenient for their customers to coordinate with a lender.

However, if you want to process your car loan application, you have the option to do so. You can directly coordinate with a bank or a lender. Once your loan application is approved, you can coordinate with Vroom regarding this to finally complete the buying process.

4. Complete the Buying Process

Verify Your Identity

You have to verify your identity to complete the process, which means you have to fill up online forms. Prepare documents such as your driver’s license and proof of car insurance, as you will be asked to upload images of them.

Sign the Buyer’s Order or Purchase Order If You Are Paying in Cash

If you are paying in cash, you will have to sign the Buyer’s Order or Purchase Order. If you choose a financing scheme, you will also have to sign a loan agreement.

Coordinate with Vroom Regarding Delivery or Pick Up

Once all forms are accomplished, and Vroom receives the payment, coordinate with Vroom regarding delivery or pick up of the unit.

5. Conduct a Test Drive

Whether the vehicle is delivered to you or you picked it up from a physical dealership, start driving it immediately. Conduct a test drive to assess if you have any issues with the car. You have the right to return it to Vroom within seven days or before it exceeds 250 miles.

Also, check your email because Vroom will update you about the Vehicle’s Title and registration.

Again, how does Vroom work? Vroom is an online car buying and selling website that delivers your newly bought car to your home or a nearby location. Then, Vroom will email your car’s title and registration details. If you financed your car through Vroom, it would handle the paperwork.

How Does Vroom Financing Work

how does vroom work with trade in

Tie-up with Well-known Banks

Vroom doesn’t offer its financing scheme yet. But it has a tie-up with well-known banks such as Ally Bank, Santander, and Chase. This way, they can offer a loan that best fits each customer.

Pass a Soft Credit Check

The lending partners of Vroom accommodate most credit profiles. However, the requirements and interest rates are only available once you are pre-qualified through Vroom. You have to pass a soft credit check before they provide you with the terms and estimated rates.

However, it is essential to remember that pre-qualified does not automatically mean that your car loan is already approved. At the same time, it also does not affect your credit score.

Once you are pre-qualified, you have the option to proceed or decline. Vroom will forward your loan application to a lending partner if you choose to proceed.

Hard Credit Inquiry

This time, a hard credit inquiry will be conducted, and you will be provided with the actual terms of the loan. Suffice to say that the loan details will initially come from the lending partner and not from Vroom.

You Have the Option to Arrange Your Financing Option Directly

But this doesn’t mean that you are only limited to the financing options offered by Vroom. You can also directly arrange this with your lender. This means you have a bigger opportunity to choose the best loan offer.

It is also good to already have a pre-approved auto loan before you even start coordinating with Vroom. You can readily compare it with the rates that Vroom will present to you. 

How Does Vroom Delivery Work

When buying a vehicle through Vroom, everything is done online, from shopping to the delivery of your vehicle. The buying process, of course, includes your payment and filling up an online form wherein you will provide your personal information, such as your address.

So, once the buying process is complete, you will arrange a delivery date with Vroom. Then, all you are left to do is wait for your vehicle to be delivered. It is as simple as that.

However, you must note that there’s a Vroom delivery cost that will be charged to you. Aside from the delivery fee, there is also a pre-delivery service charge that you have to pay.

 Also, the exact amount depends on which state you live in.

Vroom Return Policy

Maximum of Seven days or 250 Miles for Test Drive

Once the vehicle you bought via Vroom has been delivered, you have a maximum of 7 days or 250 miles, whichever comes first, to subject it to a “test drive.”

Contact Vroom If There’s an Issue

This means you can drive it to work, load the trunk with stuff, or drive it to the supermarket. Contact Vroom immediately if there’s an issue or feel that it’s not the perfect unit for you.

Exchange for Another Unit or Get a Refund

Vroom will allow you to exchange it for another unit. If not, they can provide a refund instead. Ensure that you contact Vroom right away so its return policy will still cover you.

If Vroom delivers your unit, they will be the one to pick it up for free, less the cost of the original delivery fee.

Pay for a Restocking Fee

But if you were the one who picked up the unit from a physical Vroom dealership, you are required to return it at the exact location. This may come with a restocking fee, but it depends on your reason for returning the unit. You can clarify this with the dealership.

How Does Vroom Work with Trade-ins

Click the Sell/Trade Tab

So, how does Vroom work with trade-ins? Or how does Vroom work when selling your car?

If you are interested in trading in or selling your car, you may do so through the Vroom website. Visit the site and click the “Sell/Trade” tab.

Provide Your Vehicle Identification Number (VIN ) or License Plate Number

You will then be asked to type in your Vehicle Identification Number (VIN ) or your license plate number.

Also, you will be required to provide other information such as your vehicle’s mileage, trim, condition, and history. Vroom will assess the car based on those details and provide an instant price.

Vroom Will Send a Representative to Pick Up Your Unit

Once the deal is closed, Vroom will send a representative who will pick up your unit. Pickups will likely be free if you live within the lower 48 U.S. states. Once the vehicle is already with Vroom, they will send the payment to you.

If you are trading your car in, you can apply the trade-in value as you buy a vehicle from Vroom. You can also use it as your down payment.

Vroom Pros and Cons

After all our discussion, let’s now look at the pros and cons of buying a vehicle via Vroom:

Buying a Car Via Vroom – Pros

  • A wide array of vehicles to choose from
  • Home delivery and pickup services
  • Full transparency of the vehicles’ condition
  • Three payment options

Buying a Car Via Vroom – Cons

  • Test drive before buying the vehicle is not possible
  • Shipment is not free of charge
  • Refunds cover the purchase price of the vehicle only

Frequently Asked Questions – What Is Vroom

how does vroom financing work

Here are some frequently asked questions about Vroom, the buying and selling process, and its legitimacy:

What Is Vroom?

Vroom is an online vehicle buying site that offers used vehicles with fixed prices. It has about 4,000 used vehicles available on You can buy a vehicle through the site and even deliver it to you.

How Does Vroom Work? works by offering used vehicles at fixed prices. That way, interested buyers need not haggle anymore.

Since it is an online platform, Vroom saves from all the costs that traditional brick-and-mortar dealerships typically deal with. This way, they have the opportunity to offer low rates to their customers.

Is Vroom Legit?

Vroom is legit. However, it has also received customer complaints about delivery delays and other car issues. The company offers competitive vehicle rates, not to mention haggle-free. However, how they deliver their customer service might not be ideal for all customers.

In Closing: How to Buy and Sell Cars Via Vroom

Vroom is a company that serves as an online car dealership. It maintains a physical inventory of used cars.

Through its website, you can browse vehicles online and even have them delivered to your door. It also assists customers in pre-qualifying for car loans or financing options. Vroom buys used cars too, and even picks them up for free.

Indeed, Vroom brings convenience if you are interested in buying a used car. You don’t have to go from one car dealership to another until you find the right vehicle for you.

Also, you don’t have to visit a dealership several times to complete the entire buying process. With Vroom, you can do all this in the comfort of your own home.

However, there are disadvantages to this too. While Vroom provides plenty of images to help you get a clear picture of the vehicle’s condition, you can’t conduct a test drive. Well, not until you buy the car. In which case, you are only given one week or 250 miles to return it to Vroom.

An online car buying or selling platform may not work for all types of customers. If you think this is more convenient for you, enjoy browsing

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