Compare between CarMax and other vendors

Yes, CarMax is a fully legitimate and publicly traded company. It was founded in September 1993 and has grown to become the largest used car retailer in the United States. As of early 2025, they operate 253 locations across 41 states, maintain a massive online inventory of approximately 50,000 used vehicles, and have been recognized for 21 consecutive years (2005-2025) on the Fortune "100 Best Companies to Work For" list.

No, you cannot negotiate prices at CarMax. The company is known for its transparent, "no-haggle" pricing policy. The price you see is the same for every customer, which is designed to create a straightforward and stress-free buying experience.

A down payment is not mandatory for most customers seeking financing through CarMax. The company offers a quick pre-qualification process that allows you to see your terms with your chosen down payment amount. However, making a down payment is often recommended as it can lower your monthly payments and the total cost of the loan.

The timeline for repossession can vary based on your specific loan agreement and state laws. Generally, the process may begin after multiple missed payments (often after 30-90 days of non-payment). CarMax is not legally required to provide advance notice before repossessing a vehicle. If you are facing financial difficulties, it is crucial to contact CarMax immediately to discuss possible options, such as loan modification or a voluntary surrender, to avoid repossession.

CarMax offers a 10-day return policy on the vehicles it sells. To be eligible for a return and full refund, the vehicle must be returned to the original selling store in a condition consistent with when it was purchased.

Every CarMax vehicle comes with a 90-day/4,000-mile limited warranty (whichever comes first). This warranty covers parts and labor costs for many major systems, providing peace of mind during the initial months of ownership.

MaxCare is an optional extended warranty plan that provides coverage beyond the standard limited warranty. It is an exclusionary plan, meaning it covers thousands of parts except for a specific list of non-covered items. Plans can last up to 60 months and include benefits like 24/7 roadside assistance and rental car reimbursement. Whether it's "worth it" depends on your desire for long-term financial protection against repair costs.