Consumer complaint received 2025-07-30 00:00:00
Product: Vehicle loan or lease — Loan
Issue: Incorrect information on your report — Account status incorrect
Company: CarMax, Inc.
State: AR

Complaint narrative:
So my issue is with CarMax. my account number is XXXX. I financed a vehicle through CarMax in XXXX of XXXX. I paid my car-note on time every single month. So XXXX, XXXX, XXXX, XXXX, XXXX, XXXX, and XXXX of XXXX were all paid on time. The year of XXXX is where my complaint begins. I refinanced my Car through XXXX XXXX XXXX on XX/XX/XXXX. I had paid, XXXX, and XXXX on time with no problem. After receiving the news that the Pay-off check was mailed out on XX/XX/XXXX from XXXX  to CarMax, I started calling CarMax to confirm that the check if the payout check had been received, because I didnt want to make a double payment. Meaning, they receive the payoff check and I make a payment. I was very naive as to the process as well, I didnt realize CarMax was a XXXX company. Therefore, I was assuming the payoff check would go directly to the CarMax location, in which I purchased the vehicle from. Here is my overall issue, I called CarMax a few days prior to my payment due date, again I was calling the store and being transferred to their finance department in the store. Because I was thinking they would be the ones to receive the check, so they would know first hand. After several times of being told no, sorry the payoff check hasnt been received yet, that day I was told Yes after checking the notes I can see it has been received. Also, you will be credited for the check as of today, however please allow a few days for processing, and the title will be sent over to the new creditor once the funds clear processing. I said, ok no problem, do I owe anything, she said its still showing a balance but when the back off processes the check, your balance will be updated within 24 to 48 hours, showing a {$0.00} balance. I said Thank you so much. And that was the conversation that has truly been a living nightmare. After that conversation, I decided to contact flagship and set up my online account to start making payments. Which I made a {$720.00} payment in XXXX, and a {$1500.00} payment in XXXX towards the principal. Although it showed a {$0.00} balance due with them at the time. Well I moved on with life, and the following month the nightmare began. I received a notification on my credit profile saying a 30 day late payment was received. I was in complete shock, how could this have happened? I mean, how? How could I be late, when the payoff check was received and paid the balance off. Right after receiving an alert from my credit bureau, I received an alert from my old bank saying I received an overdraft fee, for insufficient funds. Huh? So I went directly back down to the CarMax location to get things settled on whats going on. I was informed that they never received the pay-off check, therefore XXXX payment was never received and a 30 day late notice was provided to the credit bureaus. So I explained to him everything I just said. He apologized profusely for the misunderstanding and said he would contact someone in their customer relations, who would get back to me, with a resolution. Nobody EVER called. That was XX/XX/XXXX. I further explained that I made two payments to flagship on the principal of the loan. Why would I make two payments on the principal of a loan, that I technically didnt even owe money to yet, and completely disregard a payment that is mandatory and just allow my credit to be dinged, how much sense does that make? He apologized and he went over and talked with the women in the financial department there in the office. He came back profusely apologizing about the miscommunication, and that he would also forward this issue to someone in the CarMax Customer relations team. Nobody EVER called. So I ended up filing a XXXX  complaint, which I was told through that service, the issue would be resolved, and I would receive a call, Nobody EVER called. Then we get here to XXXX, where I have made it my soul mission to get this situation sorted and corrected. Upon initially calling in to the CarMax customer service number, I received once again agents who didnt even understand how to route my calls, and miscommunication. First I was assigned another Customer relations agent named XXXX, who assigned me to a customer relations analyst named XXXX, who gave me a case number XXXX, and told me I needed to speak to the credit maintenance department . I finally get over to that department, and Im told, the manager that usually reviews these issues are out on vacation. And was told to try calling back next week, when she ( the manager ) is back from her vacation. This is the level of service Im receiving. Finally I called back, and ended up getting transferred to the credit maintenance department were I spoke to XXXX, who transferred me to XXXX, the general manager supervisor for CarMax Auto Finance. I stayed on the phone almost 20 minutes, explaining everything I just said, and he explained to me, there was no 30 day late payment showing in the system, for XXXX or XXXX. I told him, I have a case number for this issue, and I need the 30 day late payment cleared. He went back and forth on that phone, telling me Im sorry XXXX maybe your confused, or maybe your not seeing it correctly, but we reported the payment as on time, for XXXX and XXXX. I said sir, I do not want to get off this phone with you, until Im sure thats reporting correctly. He sat on the phone and told me, I cant send any request for the credit maintenance team to update anything, when its showing on my end, XXXX and XXXX were paid on time. XXXX you can dispute it through the credit bureaus and we will supply them directly with that information. This is exactly my point. My 30 day late payment was due to incorrect information I received about my payoff check being received and I owed no money. I called the store and received that information directly. Just to find out, it was never received and I ended up with a 30 day late payment. Due to the misinformation I received. My point is, Carmax can give out complete misinformation and nobody gets held accountable. But the customer suffers for CarMaxs negligence. I recorded each conversation, for my own records, in case I need them for court. To prove Carmax has a pattern with telling customers complete misinformation. Each person I have named, has left detailed notes on my Carmax account, therefore the call can be pulled and listened to. Specifically the call with the general manager XXXX in the Carmax Auto Finance department. And truly listen to me almost beg this man for help, just to be told, in great detail, it doesnt show any late payment whatsoever. This clearly demonstrates CarMaxs pattern of misinformation. Today I spoke with XXXX again XX/XX/XXXX, in the credit maintenance department, who transferred me over to XXXX manager in the resolutions department, who was a very delightful lady, however she said the 30 day late payment was accurately reported as late, and the only way to over turn that would be if CarMax made an error. Which has been my entire case. This entire issue happened because I was told in XXXX of XXXX, the pay-off check had been received but it had not. I was later told, the woman may have been reading the notes too fast, and thought it said received, when really it was me calling asking had it been received. Again, its an excuse, and not a correction. This has been everything Ive been through dealing with one 30 day late payment on a loan I paid every month on time. Until I received that misinformation.

Company response to consumer: Closed with explanation