Amazon recently announced that they will be selling used cars online — but there’s a catch. The supply of used cars available on Amazon is coming from one of the best car rental companies, Hertz, which made a deal with Amazon this past August to retail its former rental cars through the Amazon Autos site. The Hertz program began in four cities – Los Angeles, Seattle, Dallas, and Houston — and will eventually be expanded to 45 locations across the country. The catch is that to take advantage of the Hertz/Amazon Autos program, you must live near one of the cities in which a Hertz location is selling its cars.

Hertz claims to sell hundreds of thousands of vehicles every year, with the Amazon Autos program likely juicing Hertz’s profits. This is due to the fact that while it is very easy to shop for and select a vehicle on the Amazon Autos site, there does not appear to be any way to get a lower price through the website. What is offered is called “haggle-free pricing,” with Amazon stating, “…we don’t offer price negotiation or price matching.” This may appeal to those who have a deep-seated fear of negotiating a better price in a dealer’s showroom, but it is not likely to produce a great deal for the consumer. Additionally, Amazon Autos does not currently offer leasing as a way to get into one of its used vehicles.

What else should you know about buying a used car from Hertz and Amazon?

It’s true that you can buy a used car from Hertz for way under MSRP, but it may or may not be a good deal. While financing a used Hertz vehicle through the Amazon Autos website is simple, but there is only a single financing source to choose from. You select a vehicle, your credit score, the amount you’ll put down, and the term of the loan. Based on these parameters, the site gives you a payment amount and an interest rate. All fees and taxes are disclosed up front. To get the best financing deal, it would be a smart idea to compare the rates from local banks and credit unions before you select the Hertz/Amazon financing, since dealers tend to ‘mark up’ the APR they charge you.

Now it’s time to visit your nearest Hertz Car Sales location. According to the Amazon Autos site, you get to test drive the Hertz vehicle before you sign the papers, and you can cancel before you sign. Hertz used cars also come with a three-day, 300-mile return policy plus a 12-month/12,000 mile limited powertrain warranty, along with a year of roadside assistance. If the test drive goes well and you are happy with the deal, you can sign the papers and begin your new automotive adventure.



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