With Uber offering special discounts on vehicles to drivers that take advantage of their sub-prime financing options, an influx of new drivers may soon hit the road. Whether you have bad credit or no credit, Uber promises to give drivers access to “the best financing options available.” But how good is Uber’s financing?
As it turns out… not very. Sub-prime loans, typically carrying higher interest rates than prime loans, are characterized by poor quality collateral and less-than-favorable lending terms. Analysts have compared the financing rates offered through Uber to indentured servitude, though the company itself is careful to note that it is not directly involved with the financing.
But, for would-be drivers interested in joining the ranks of Uber, what other options are there?
In lieu of Uber financing, potential drivers should consider renting a pre-approved vehicle. Offering a slew of benefits, renting allows new drivers a world of opportunity without falling victim to many of the criticisms leveled against Uber’s sub-prime financing. Aside from the financial benefits of requiring a lower upfront investment, minimal or no effect on your credit score and substantial savings on routine maintenance, renting affords drivers the flexibility of being able to comparison shop, switch cars and upgrade to new services.
Most importantly, for those simply wanting to test the waters, renting a vehicle can allow you to experience Uber without forcing a long-term commitment to any particular company, manufacturer or service. Once you’ve financed a four-door sedan for Uber X, you own it. You’re locked into that decision. However, if you rent a four-door sedan and, after driving for a few weeks, decide you’d rather drive for Uber SUV, that option is still available. You simply return the sedan, fill out some paperwork — or consult our website — and choose a new vehicle.
At HyreCar, we want to help you focus on driving. We want to streamline your routine. From luxury crossovers to pre-certified Uber Black cars, our app and website can connect you with a network of fleet owners that can get you driving today. No long-term obligations, no unfavorable interest rates and, most of all, no hassle.