auto dealer in black and red logo
MenuMENU
SearchSEARCH

Mass. AG Sues JD Byrider for Predatory Sales and F&I Practices

Massachusetts Attorney General Maura Healey has filed a lawsuit accusing JD Byrider of selling poorly reconditioned vehicles under unaffordable terms with unwanted F&I products.

by Staff
September 27, 2017
Mass. AG Sues JD Byrider for Predatory Sales and F&I Practices

 

2 min to read


The attorney general of the Commonwealth of Massachusetts has sued JD Byrider, alleging predatory lending practices and sales of poor-quality vehicles for twice their retail value, among other charges. Photo by Tim Sackton

BOSTON — Attorney General Maura Healey announced today that she has sued Massachusetts used-car dealership JD Byrider for allegedly using predatory practices in its sale of defective vehicles with high-cost loans at four locations around the commonwealth.

The AG’s lawsuit alleges that JD Byrider took advantage of consumers by routinely trapping them in an unsustainable and unfavorable sales package, known as the “JD Byrider Program.” This program generally involves selling drivers a poor-quality car with a high cost loan, along with an expensive extended service contract, marketed through an aggressive and misleading advertising and sales campaign, Healey said.

“We allege that JD Byrider ripped off Massachusetts drivers by offering predatory loans for defective and inoperable cars. Our goal in this lawsuit is to recover losses to Massachusetts consumers and make this company pay for the harm they caused to thousands of drivers across this state.”

The AG’s Office filed the lawsuit today in Suffolk Superior Court against Venturcap Investment Group V LLC (d.b.a. JD Byrider) and its in-house finance company, Venturcap Financial Group LLC (d.b.a. Credit Now Acceptance Corp).

JD Byrider is a franchise of Byrider Franchising LLC, a national franchisor of JD Byrider buy-here, pay-here dealerships located across the country that typically provide credit to finance the cars they sell. In Massachusetts, Byrider’s Venturcap Franchise has dealerships at four locations: Brockton, Dorchester, Dartmouth and Springfield.

According to the complaint, consumers were unaware that JD Byrider priced its cars at more than double their retail value, and required drivers to sign on to a car loan with an annual percentage rate of 20%, regardless of their credit qualifications. JD Byrider bundles its expensive and limited extended service contract into the loan as well, forcing consumers to pay 20% interest on that product. To get the benefit of the service contract, consumers are then required to use a JD Byrider service center.

The AG’s office alleges that the cars sold by JD Byrider are defective and sometimes inoperable, despite misrepresentations of time and money spent reconditioning them prior to sale. Hundreds of cars have been returned by consumers to JD Byrider for repair within three months of purchase due to the mechanical breakdown of a major component such as the engine, electrical system, transmission, brakes or drivetrain.

The AG’s complaint further alleges that JD Byrider employs a faulty underwriting process that underestimates the consumer’s expenses and costs in order to qualify them for loans they can’t afford. As a result of these practices, the AG’s complaint alleges, more than half of JD Byrider’s deals fail or end in repossession.

Originally posted on F&I and Showroom

More F&I

Car key, stacks of coins, and a paper car cutout with AutoPayPlus logo, representing auto financing, loan terms, and vehicle affordability trends.
Dealer Opsby StaffMarch 31, 2026

Survey Reveals What Won't Fix What's Breaking Car Sales

AutoPayPlus says extra-long auto loans are trapping consumers and threatening the dealer trade-in cycle, and that the industry is leveraging the wrong tools to combat high MSRPs.

Read More →
Industryby StaffMarch 6, 2026

Explore the 12 Rules for an F&I Life at EFI

EFI 2026 will take place April 13–15 at The Cosmopolitan Las Vegas.

Read More →
Industryby StaffMarch 2, 2026

Prove You Can Do F&I at EFI

‘So You Think You Can Do F&I’ is a live role-play contest taking place at the 2026 Ethical F&I Managers Conference.

Read More →
Ad Loading...
F&Iby Lauren LawrenceFebruary 27, 2026

Price Driving Insurance Churn

Over half of insurance holders ages 18 to 29 reported to be 'somewhat' likely to change providers in the next 90 days, according to CivicScience, which found that interest was lower among older age groups.

Read More →
StoneEagle logo beside a headshot of Cindy Allen, CEO, on a pink background with a stylized upward-trending chart.
Industryby StaffDecember 5, 2025

EV Surge Shows AI Steadied Softer Q3

StoneEagleData reveals the gross reality behind the rise in EV leasing and the steady role F&I offices played.

Read More →
Two people signing auto insurance paperwork
Industryby Lauren LawrenceNovember 26, 2025

Auto Insurance Rates Dip

Insurers are shifting their focus from raising rates to customer satisfaction.

Read More →
Ad Loading...
F&Iby Hannah MitchellNovember 11, 2025

Autos With the Lowest Insurance Costs

Ranking intuitive in many ways, but there are many factors

Read More →
F&Iby StaffOctober 15, 2025

The F&I Agent's Roadmap: Mastering the Cold In-Store Visit

Register for Allstate's FREE webinar on Oct. 21

Read More →
SalesAugust 25, 2025

How to Build a High-Performance Sales and F&I Team

Performance and profits start with people chosen and led the right way.

Read More →
Ad Loading...
IndustryJuly 23, 2025

5 Industry Legends Join F&I Hall of Fame

The second annual induction recognized luminaries who helped advance F&I training, production, compliance, agency-building and product development.

Read More →