eBay has acquired Caramel to simplify and secure car buying on its platform

eBay has signed a definitive agreement to purchase online automotive transaction platform Caramel. This acquisition is aimed at simplifying the process of buying and selling cars on eBay's auction site.

Here's What We Know

Caramel provides a website and app that helps individuals and independent dealers sell cars by handling paperwork, title transfer, financing, delivery, insurance and more. The company also has several marketplace and auction partners. Although eBay has been listing used cars and auctions for years, it currently reserves the right for the dealer to process payment and handle any paperwork.

Fees such as title fees are also handled by the seller, and buyers have to negotiate separately for things like accessories installed by the dealer. Now, with Caramel, all these procedures can be handled much easier, but exactly how eBay will handle the process is still unknown.

The deal is expected to close in the first quarter of this year.

Source: eBay