Consumer complaint received 2025-11-05 00:00:00
Product: Credit reporting or other personal consumer reports — Credit reporting
Issue: Problem with a company's investigation into an existing problem — Their investigation did not fix an error on your report
Company: CarMax, Inc.
State: AL

Complaint narrative:
Subject : Formal Complaint for Willful FCRA Violations : Refusal to Block Fraudulent Account, Illegal Re-Aging, and Bad Faith Investigation 1. Summary of Violations I am a documented identity theft victim, and CarMax Auto Finance is engaged in a pattern of willful, ongoing violations of the Fair Credit Reporting Act ( FCRA ). Despite being provided with a formal Police Report and an FTC Identity Theft Report, CarMax has : Willfully refused to block a known-fraudulent account from my credit report, as mandated by 15 U.S.C. 1681c-2.

Illegally re-aged the fraudulent debt by continuously reporting it as a current charge-off, making it appear newer than it is, in violation of 15 U.S.C. 1681c ( c ). 

Conducted a " sham '' investigation in bad faith, as proven by their own contradictory correspondence. 

These are not mere errors ; they are deliberate, illegal acts causing severe and ongoing harm to my financial standing. 

2. Documented Proof of Fraud and CarMax 's Bad Faith Proof of Identity Theft : I have filed a detailed report with the XXXX XXXX Police Department ( Incident # : XXXX ) and an FTC Identity Theft Report ( # XXXX ). These documents specifically identify the CarMax account ( ending in XXXX ) as fraudulent. 

CarMax 's Contradictory & Bad Faith Responses : On XX/XX/XXXX ( CFPB Case # : XXXX ), CarMax claimed they were forwarding my complaint to their Identity Theft Investigation ( ITI ) team and that this team would contact me. No one from the XXXX team ever contacted me. Despite this, on XX/XX/XXXX, CarMax issued a final denial, claiming they had " conducted an identity theft investigation and concluded that XXXX XXXX claim had no merit. '' This proves their investigation was a facade and conducted in bad faith. 

3. Specific, Ongoing FCRA Violations A. Willful Refusal to Block Fraudulent Account ( 15 U.S.C. 1681c-2 ) The FCRA is unequivocal : Upon receipt of an identity theft report, a furnisher must " block '' the reporting of any information that the consumer identifies as resulting from identity theft. I have provided the required reports. CarMax 's refusal to block the {$39000.00} fraudulent auto loan is a direct and willful violation of federal law. 

B. Illegal Re-Aging of the Debt ( 15 U.S.C. 1681c ( c ) ) My current XXXX  credit report ( dated XX/XX/XXXX ) shows the CarMax account was opened on XX/XX/XXXX, and first became delinquent in XX/XX/XXXX. The XXXX reporting period began at that time. However, CarMax is illegally re-aging this debt by reporting it as a charge-off with a past due amount " as of XX/XX/XXXX. '' This makes the debt appear current to the credit scoring algorithms, artificially suppressing my score far beyond the legal timeframe. This is a severe, independent violation. 

C. Failure to Conduct a Reasonable Reinvestigation ( 15 U.S.C. 1681i ) CarMax 's " investigation '' was a sham. They never contacted me for details, ignored my submitted evidence, and relied on a superficial check of their own records. As held in XXXX XXXX XXXX XXXX XXXX, a furnisher can not blindly rely on its own initial data ; it must conduct a genuine investigation, which CarMax utterly failed to do. 

4. The Severe Harm Caused CarMax 's illegal actions are the primary reason my FICO Score is XXXX ( as per my XXXX  report ). This score denies me access to credit, subjects me to predatory interest rates, and causes significant emotional distress. The {$39000.00} fraudulent charge-off is the most damaging item on my entire credit file. 

5. Demand for Immediate Relief and Regulatory Action I demand that the CFPB take immediate enforcement action against CarMax Auto Finance. Furthermore, I demand that CarMax be compelled to : Immediately and permanently delete the fraudulent tradeline ( Account # ... XXXX ) from all credit bureaus. 

Provide a written explanation for their illegal re-aging practices and certify in writing that the practice has ceased. 

Pay statutory and punitive damages for their willful non-compliance, as provided for under 15 U.S.C. 1681n.

Undergo a CFPB-supervised audit of their identity theft dispute and investigation procedures. 

This is not a simple dispute ; it is a case of a large corporation flagrantly violating federal law and causing tangible harm to an identity theft victim. The evidence is irrefutable. I expect the CFPB to use its full authority to hold CarMax accountable and force them to comply with the law. 

Attached Documentation : CarMax 's CFPB Response ( XX/XX/XXXX ) - Denial after " investigation '' CarMax 's CFPB Response ( XX/XX/XXXX ) - Promising an XXXX team contact that never happened XXXX XXXX Police Department Report & Notarized Affidavit ( # XXXX ) FTC Identity Theft Report ( # XXXX ) XXXX  Credit Report ( XX/XX/XXXX ) - Highlighting the illegal re-aging and fraudulent account

Company response to consumer: Closed with explanation