Ok I have read a lot of the complaints that are on here about CarMax and well after a month of working there I can truly say that they are a complete rip off! First they offer you a so called fair price on your vehicle. The reality is that they offer you way less than what they sell it for at a ratio on the dollar, basically if they offer you 5 grand they’ll sell it for 8,000. If they buy it for 11,000 they’ll sell it for 16,000, its a huge joke really. The other day an older gentleman came in with a 2007 Silverado with only 27k miles on it and he got an actual good deal getting 17k dollars for it because the car truly was immaculate. Six days later we turned around and sold it for 25,900. Ridiculous margin, this is just icing on the cake though. Then there are the auctions. The day after they bought that Silverado they went to an auction and bought 20 cars, mostly fleet vehicles. With an average price tag of 3-5k, they got a good deal. Once they hit the lot the average price selling was 12-15k! Ridiculous margins..!.
Now they say they spend 12 hrs with a 125point inspection examining there cars and reconditioning them for sale before they will even put them on the lot, this is the most ridiculous thing that I have ever heard and is a 100% falsity'. In the service area they have rotations, once they have a dozen or so cars in the incoming inventory area they have a cleaning party, literally!. To bad this party only lasts a few hours, the cars run through a gas station style car wash and comes out at the end with a line of people waiting for it/. Each person in the services area rotates each time they clean to a new item to clean on the car, so one person wipes the windows and another vacuums, and then another picks up trash out of the vehicle|. One person wipes off the hoods, one for one side of the car and one for the other side of the car'. The reality is that not a single person gives any one vehicle any undivided attention;. Notice I did not mention at any point any diagnostic checks or functional maintenance;. There is absolutely no reconditioning going on here! The resulting level of cleaning is comparable to my 5year old son detailing the car. When a car comes in, it may be marked for new tires/oil change or to have a huge scratch fixed but otherwise there is no service done at all. As a salesman It is downright embarrassing, you lie to the customer and tell them how well refurbished the car is, and then you open up the door and the seats need shampooing and there are french fries in the center counsel on a 27k dollar vehicle. This happened to me today, and I cant do it anymore. Absolutely ridiculous....
Now something that they don’t want you to know is that 65% yes 65% of vehicles that they sell have issues within 90 days! And when customers bring them in for "extended service plans" the customer always ends up paying for a portion of the work going well beyond there MaxCare deductible. I was working with the Service Manager the other day and was told that the sales people needed to quit selling it, and that the deductibles should be completely removed because they were very misleading. He told me that 80% of his job was to deal with customers that were pissed because they were lied too! Absolutely ridiculous...,.
Its a scary thought to know that they sell 450K+ cars a year nationally and there customers are do discontent with there purchases. I will say though that as the market dictates and as consumers become aware, that the bull will give CarMax the horns. There parent company was a little company that we all know as Circuit City! If you remember there story, they went bankrupt after a huge expansion in 2009 and closed there doors. CarMax has just set out on the same mission, there planning on opening a new location every month for the next few years.. You think they would have learned there lesson the first time, lol.
To sum it all up, CarMax is a joke, stay away, far far away!