Product: Vehicle loan or lease

I, am filing this formal complaint with the Consumer Financial Protection Bureau ( CFPB ) against Carmax Auto XXXX , XXXX and Carmax XXXX XXXX, XXXX d/b/a Carmax Auto Finance. I believe that these companies have violated consumer protection laws and engaged in deceptive, unfair, and fraudulent practices in relation to my vehicle purchase and financing. 

Background : On XX/XX/2021, I participated in an online vehicle purchase transaction with Carmax Auto XXXX , XXXX, a dealer located in Georgia. At the time of purchase, I was not aware of the relationship between Carmax Auto XXXX , XXXX and Carmax XXXX XXXX, XXXX, d/b/a Carmax Auto Finance. While I understood that Carmax XXXX XXXX XXXX was the lien holder, I had no knowledge of their affiliation with Carmax Auto Finance. 

Hidden Arbitration Fees : During the vehicle purchase process, I signed an installment contract electronically. Subsequently, I discovered that the contract included an arbitration provision. While the provision disclosed the requirement to review fees charged by the arbitrator, it failed to clearly disclose the specific amount associated with these arbitration fees. This lack of transparency and disclosure prevented me from making an informed decision regarding the affordability and reasonableness of the arbitration process. I believe that this action violates consumer protection laws, including but not limited to the Dodd-Frank Wall Street Reform and Consumer Protection Act.

Class Action Waiver : Furthermore, the contract contained a class action waiver provision, which effectively stripped me of my rights to participate in a class action lawsuit. However, the provision was not adequately disclosed or explained, and I was not given a reasonable opportunity to negotiate or provide informed consent. This action constitutes a deceptive and unfair practice, and may amount to fraud, as it misrepresents the rights and options available to consumers. 

Undisclosed Recalls : I was not provided with any information regarding recalls on the vehicle prior to signing the contract. This lack of disclosure violates the Georgia Lemon Law ( O.C.G.A. 10-1-780 et seq. ) and the federal Magnuson-Moss Warranty Act ( 15 U.S.C. 2301 et seq. ), which require the seller to disclose any known recalls to the buyer. It was only after taking possession of the vehicle and conducting a VIN lookup that I discovered an open safety recall. I promptly had the vehicle serviced to address the recall, but the failure to disclose this information prior to signing the contract constitutes a misrepresentation and fraud. 

Lack of Affiliation Disclosure : Additionally, I was not adequately informed of the relationship between Carmax Auto XXXX , XXXX and Carmax XXXX XXXX, XXXX, d/b/a Carmax Auto Finance. This lack of transparency and disclosure constitutes a deceptive practice, as it conceals relevant information about the parties involved in the transaction, thereby misleading consumers. 

Previous Complaints and Unwillingness to Resolve : I have already filed a complaint with the XXXX XXXX XXXX ( XXXX ) regarding this matter, but the issue remains unresolved. The companies have displayed an unwillingness to address and resolve the issue, which further indicates their fraudulent and deceptive intent. This ongoing refusal to engage in good-faith resolution demonstrates their disregard for consumer rights and obligations.