Yes, if you use the 7-day return window properly. Carvana gives you 7 days and 400 miles to send the car back, and that window is worth more than any promise in the listing.
It's a reasonable way to buy a used car without haggling. It's a bad one if you skip your own inspection, ignore the shipping charge, or need your plates and title sorted fast. Here's what Carvana's published terms actually say, and what to check before you commit.
How Carvana works
You pick a car online, arrange payment, and Carvana either delivers it or you collect it at a hub or one of its vending machines. Prices are fixed. There's no salesperson to negotiate with.
Carvana says every used car is "inspected and reconditioned by technicians" and has no reported fire, frame or flood damage according to Carfax and AutoCheck. NerdWallet adds that each listing includes a free Carfax report and what Carvana calls a 150-point inspection. You can "call dibs" on a car and Carvana holds it for 40 minutes while you check out.
About 85% of Carvana customers finance through the company, by its own count. You can also pay cash or bring a loan from your own bank or credit union.
Is Carvana worth it
It's worth it for people who value convenience and a no-haggle price, and who are willing to do their own inspection. It's not worth it if you want the lowest price and are comfortable negotiating at a dealer.
Carvana pros | Carvana cons |
|---|---|
7-day, 400-mile return window | Shipping charge on some cars is nonrefundable once you order (TINA.org) |
100-day or 4,189-mile limited warranty included | Warranty repairs cheapest only at in-network shops (Motor1) |
Free Carfax report on each listing (NerdWallet) | Carvana's own inspection has missed problems buyers later found |
Prequalify with a soft credit check | Loan APRs up to 27.99%, higher than many lenders (NerdWallet) |
No application or document fees on its loans | Title and registration delays led to a license suspension in Illinois in 2022 |
Up to two exchanges inside the return window (Motor1) | Trade-in stays with Carvana if you return the car |
The price question has no single answer. Carvana's prices are fixed and it doesn't publish how they compare with dealers. Check the same year, trim and miles on KBB or a local dealer site, and add Carvana's shipping charge to its price before you compare.
How the Carvana 7 day return works
You get 7 days from delivery and up to 400 miles. After 400 miles, Carvana charges $1 a mile, according to TINA.org's reading of Carvana's help pages and Motor1's reporting.
The details that trip people up:
- The clock starts at delivery or pickup, not when you order. Motor1 reports you need to contact Carvana by phone or chat before 8 pm Eastern on day seven.
- Shipping isn't refunded. Carvana says a shipping charge "may be applied for transporting the vehicle" to your nearest Carvana location, and it can't be refunded once you order. TINA.org found shipping charges of up to $1,990 on many models.
- Delivery is refunded. The separate fee to bring the car to your door is refundable under the guarantee, per both TINA.org and NerdWallet. You can avoid it by collecting the car yourself.
- Exchanges count. You can swap for a different car up to two times inside the window, Motor1 reports.
- Refunds take time. Motor1 puts the typical refund at 10 to 15 business days.
- Modifications and damage can void it. A car you've modified or damaged may not be taken back.
- Your trade-in is gone. If you traded in a car and then return the Carvana one, Carvana keeps the trade-in. Motor1 notes some buyers have reported trouble getting theirs back.
Read Carvana's own help article on the limits of the guarantee before you order. The terms can change, and it's the version that binds you.
What the 100-day warranty covers, and the catch
Carvana's used cars come with a limited warranty for 100 days or 4,189 miles, which it calls the "Worry Free Guarantee." NerdWallet says it covers most mechanical and electrical failures. Any remaining factory warranty carries over too.
The catch is where you can get it fixed. Motor1 reported on a buyer whose 2019 Mercedes E450 had a cracked fuel pump cap leaking fumes into the cabin. Carvana's warranty, administered by SilverRock, had a $100 deductible at in-network shops and a $350 deductible out of network. Her nearest in-network shop was about 90 minutes away.
Carvana offered to pay $200 each way to tow the car to an approved shop. It wouldn't pay her own mechanic directly. That's within its terms, but it's worth knowing before you need it. Look up the nearest in-network shop for your ZIP code before you buy.
CarvanaCare, the optional extended service plan, and Gap coverage are sold separately. Carvana doesn't list prices on its how-it-works page, so ask for the quote in writing and compare it with what your bank or credit union charges.
Carvana financing and fees
Carvana's in-house loans are easy to get but not always cheap. NerdWallet lists an estimated APR of 6.99% to 27.99%, no minimum credit score and a minimum income of $10,000 a year.
Item | What Carvana's terms say | Source |
|---|---|---|
Return window | 7 days, 400 miles | Motor1, NerdWallet |
Over-mileage charge | $1 per mile past 400 | Motor1, TINA.org |
Limited warranty | 100 days or 4,189 miles | Carvana |
Warranty deductible | $100 in network, $350 out of network | Motor1 |
Shipping charge | Up to $1,990 on many models, nonrefundable | TINA.org |
Delivery fee | Varies; refundable under the guarantee | NerdWallet |
Pre-order hold | $100 for 7 days, refundable if canceled | NerdWallet |
Loan APR | 6.99% to 27.99% estimated | NerdWallet |
Loan terms | 12 to 60 months, longer by credit and vehicle | NerdWallet |
Late fee | $5 after a 15-day grace period | NerdWallet |
Application or document fee | None | NerdWallet |
Get a preapproval from your bank or credit union before you order. If it beats Carvana's rate, use it. NerdWallet notes Carvana only finances cars it sells, and doesn't lend in Alaska or Hawaii.
Title and registration problems
This is the issue to take most seriously. Carvana handles your title and registration, and it has fallen behind before.
In 2022, the Illinois Secretary of State suspended Carvana's license to sell in the state. Motor1 reported buyers waiting up to six months for titles, when Illinois law requires 20 days. The state also looked at whether Carvana issued out-of-state temporary registrations to Illinois buyers whose in-state temps had expired, and some customers got tickets. Carvana disputed the state's account at the time.
The two sides later settled. Fox Illinois reported that Carvana admitted violating Illinois law, surrendered its $250,000 bond, and agreed to inspections by Secretary of State Police, with the state able to suspend its license again if it didn't comply.
That was 2022 and one state. It doesn't mean your title will be late. It does mean you should track it. Ask when the title will be filed, keep copies of every document you sign, and note the expiry date on your temporary tag.
What to check before you sign
Treat the 7 days as your inspection period. Carvana's own inspection is a starting point, not a guarantee.
Motor1 covered a buyer who ordered a Chevrolet SS sedan and found a badly applied wrap hiding a different paint color, a coolant leak, and tire rubber on the rear fenders from burnouts. He returned it, though the refund took several calls. NerdWallet also recommends a pre-purchase inspection.
Decision checklist before you order
- Did you price the same car at local dealers, adding Carvana's shipping charge to its price?
- Is the shipping charge on this listing zero, or are you fine losing it if you return the car?
- Do you have a bank or credit union preapproval to compare with Carvana's rate?
- Have you found the nearest in-network warranty shop for your ZIP code?
- Have you booked an independent mechanic for day one or two after delivery?
- Are you willing to give up your trade-in if you return the car? If not, sell it separately.
Checks in the first 48 hours
- Walk around in daylight and video everything: panels, wheels, glass, interior.
- Look for paint overspray, mismatched panels or a wrap. Check the door jambs.
- Check fluids for leaks under the car after it's parked overnight.
- Scan for codes with a cheap OBD2 reader, and note any warning lights. Our guide to dashboard warning lights covers what each one means.
- Have an independent shop put it on a lift. Ask them to check brakes, tires, suspension, leaks and signs of accident repair.
- Confirm every feature in the listing works, from keys to cameras.
Keep the mileage well under 400. A mechanic visit and a couple of test drives use far less.
Common questions
Should I buy a car from Carvana?
Yes, if you get your own inspection inside the 7-day window and the total price beats local dealers after shipping. No, if you can't spare the time to check the car or need registration done quickly.
What happens if I go over 400 miles on a Carvana return?
Carvana charges $1 for each mile over 400, per Motor1 and TINA.org. Check Carvana's current help page because terms can change.
Is the Carvana shipping fee refundable?
No. The shipping charge to move the car to your nearest hub can't be refunded once you order, TINA.org found. The separate home delivery fee is refundable under the 7-day guarantee.
Can I take a Carvana car to my own mechanic?
Yes, for an inspection during the return window. For warranty repairs, Carvana's plan charges a $100 deductible in network and $350 out of network, according to Motor1.
Does Carvana negotiate?
No. Prices are fixed. What you can do is compare the total against local dealers and walking away, or returning the car inside 7 days.
What if my Carvana title is late?
Contact Carvana in writing and keep a record. If it drags past your state's deadline, file a complaint with your state DMV or motor vehicle dealer board.
What to do today
- Price the exact car at two local dealers and add Carvana's shipping charge to its listing price.
- Get a loan preapproval from your bank or credit union.
- Read Carvana's help article on the 7-day guarantee limits and screenshot it.
- Book an independent pre-purchase inspection for the day after delivery. Our guide on how to get a car repair quote helps you compare any fixes they find.
- After delivery, track the title and temporary tag dates and chase Carvana in writing if anything slips.
Sources
- Carvana: How it works
- Carvana: Buying a car online, how it works
- NerdWallet: Carvana review, financing, buying, selling
- TINA.org: Carvana's 7-Day Money-Back Guarantee
- Motor1: Man orders a Chevrolet SS from Carvana, then starts peeling it
- Motor1: Carvana's warranty mechanic was 90 minutes away
- Motor1: Carvana's license to sell in Illinois suspended over title issues
- Fox Illinois: Illinois Secretary of State executes settlement agreement with Carvana
Featured image: Carvana - Car Vending Machine in Dallas by Tony Webster, CC BY 2.0. Source
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