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Park it: Carvana prohibited from selling cars in Raleigh, DMV says

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Carvana

Carvana has an 8-story vehicle vending machine is at 4830 Koger Blvd. in Greensboro.

RALEIGH — Carvana, the Arizona-based online used car retailer known for its unique automobile vending machine towers, won’t be able to sell cars in the Triangle until next year.

Following an investigation prompted by complaints, the N.C. Division of Motor Vehicles revoked the company’s dealer’s license in Wake County until Jan. 29, 2022.

The revocation is part of an agreement reached with the state attorney general’s office. An investigation found that Carvana failed to deliver titles to the DMV, sold cars without a state inspection and issued out-of-state temporary tags and plates for vehicles sold to customers in North Carolina.

“We’re pleased that we were able to reach a solution with the North Carolina DMV,” said Amy O’Hara, a Carvana spokeswoman. O’Hara did not provide additional information.

Under the agreement, the company can use its Raleigh location to process vehicle paperwork provided only from vehicles sold at its three other dealerships in Charlotte, Concord and Greensboro.

Carvana will pay a civil penalty of $500 and an administrative hearing fee of $200.

As an online retailer, it sells and buys vehicles in a contactless manner and can deliver sold cars to customers’ homes.

Carvana saw a notable increase in sales during the COVID-19 pandemic and attracted attention from investors and car buyers.

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