Canada Drives vs Clutch vs CarDoor

If you’re thinking of buying or selling a vehicle online or simply applying for financing, here’s a look at how three well-known companies compare in various categories.

Canada Drives vs Clutch vs CarDoor

As of March 2023, you can no longer buy a car online from Canada Drives. However, you can still sell your car to them or get approved for a car loan.

	Canada Drives	Clutch	CarDoor
Inventory	None	Pre-owned cars, SUVs, minivans and Jeeps	Pre-owned cars, SUVs, minivans and Jeeps
Buys used cars	Yes	Yes	Yes
Accepts trade-ins	Yes	Yes	Yes
Accepts cars with a loan on it	Yes	Yes	Yes
Serviced provinces	All	Ontario and Nova Scotia	Ontario
APR ranges	Not disclosed	From 8.49%	From 7.99%
Loan terms	12 - 96 months	12 - 96 months	12 - 96 months
Minimum loan amount	$5,000	$7,500	$5,000
Maximum loan amount	$75,000	No maximum	Not disclosed
Fees	Not disclosed	In Halifax, there is an $899 car-prep fee.	$130 for registering your licence plate
Trial period	Not applicable	10 days/750 km	14 days/750 km
Exchange policy	Not applicable	Exchanges can be made within the 10 days/750 km “test own” policy.	60 days/5,000 km
Warranty	Not applicable	Complimentary 90 days/6,000 km warranty	Complimentary 90 days/10,000 km warranty
Eligibility requirements	Be a Canadian resident and of the age of majority in your province Have a valid Canadian mailing address and an active bank account. Have a valid driver’s licence. Have a steady income of at least $1,800.	Be a Canadian resident and at least 19 years old. Have a valid Canadian mailing address and an active bank account. Have a valid driver’s licence. Have a steady income to make loan repayments (no minimum income threshold is listed online).	Be a Canadian resident and at least 19 years old. Max.1 bankruptcy and currently employed for 3+ months Min. credit score of 500
Accepts no down payment	Yes	Yes	Yes
Cross-province purchases	Not applicable	Between Ontario and Nova Scotia	No
Negotiable prices	Not applicable	No	No
Contactless delivery	Not applicable	Yes	Yes
Turnaround time	Less than 24 hours	Less than 24 hours	Less than 24 hours
Better Business Bureaus	F rating (not accredited), 1.73 stars out of 5 (based on 41 reviews)	A+ rating (accredited), 1.94 stars out of 5 (based on 17 reviews)	No BBB profile
	Read review	Go to site	Go to site

Related: Browse the best car loans in Canada

Canada Drives vs Clutch vs CarDoor: Who is the best?

When you’re shopping for a car and the financing to make your purchase, there are crucial factors you’ll want to zero in on. Here’s how these online dealers stack up:

Best for deals: Clutch

• Weekly deals. Unlike CarDoor, Clutch has deals on cars, where you can browse discounted cars for sale – possibly saving you a few thousand dollars off the vehicle’s purchase price.

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Best for inventory: CarDoor

• Large inventory. CarDoor has over 1,000 vehicles in its inventory, while Clutch has over 300.
• Detailed inspection process and vehicle history records. Count on CarDoor to provide you with everything you need to know about the pre-owned car you’re eyeing. Its pre-owned cars come with a free CARFAX vehicle history report and details about their interior and exterior. (Clutch does the same as well.)

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Related: The best used car websites in Canada

Best for trial period (and exchanges): CarDoor

• Test drive your vehicle. CarDoor offers the lengthier trial period at 14 days/750 km compared to Clutch (10 days/750 km).
• Make an exchange. CarDoor is generous with its exchange policy too, providing a timeframe of 60 days/5,000 km. Clutch allows exchanges within the trial period of 10 days/750 km.

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Best for warranty options: CarDoor

• Complimentary warranty. CarDoor offers a free 90 days/10,000 km that covers defects in materials or workmanship for many parts of the car, but excludes wear items like brakes and tires. Its warranty is longer in distance than Clutch.
• Option to purchase warranties through the dealer. Both Clutch and CarDoor provide buyers with the option to buy in-house warranties.

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Best for financing options: Canada Drives

• Range of financing options available. With Canada Drives, choose between new car loans, used car loans, bad credit car loans (including no credit, poor credit and bankruptcy).
• Flexible terms. All three offer trade-ins and no down payment, along with similar loan terms Clutch (12 - 96 months), Canada Drives (up to 96 months) and CarDoor (12 - 96 months).

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How does online car shopping work?

Online car dealers are making it easier to do your vehicle shopping and financing from wherever you have an Internet connection. Here’s how:

• Choose from a variety of new and pre-owned vehicles via online platforms. Look through inventory listings, each with a virtual 360-degree walk around, key features and a CARFAX vehicle history report.
• Apply for vehicle financing if you need an auto loan. Online dealers provide a one-stop shop, so you can apply for a car loan to make your purchase. Learn more about used car financing.
• Make your purchase and have it delivered straight to your home. Select a delivery date and your online lender will bring the car to your front door for a “test own” period.

Dive deeper: How to shop for a car online

How do I qualify?

Eligibility criteria vary between each online dealer, but as a baseline, you’ll need to meet the following requirements:

• Be a Canadian resident, of the age of majority in your province.
• Have a valid driver’s licence.
• Have a steady income to make loan repayments.
• Have an active bank account.

What documents do I need to apply?

When your vehicle is delivered to your home, you’ll need to provide the following:

• A void cheque or direct deposit form for the bank account you want your payments to come from.
• A copy of your new insurance, in effect upon receiving your vehicle.
• A valid driver’s licence.

Frequently asked questions

• Do I need to have insurance for my new car?

  Yes, you do. When your vehicle is delivered to you, you will need to have proof of insurance ready. You can date the policy to take effect on the date of your delivery appointment.

• Do I have to pay any fees?

  Check with the dealer you're working with to understand if you'll have to pay for any loan origination fees, late, missed or NSF payment fees and early prepayment penalties. Read the terms and conditions of your loan agreement and vehicle purchase before you sign off on your contract.