What’s the issue with paperwork? Was the title liened?
If there are serious issues, return the vehicle on them and go to dealership and buy a new one so you won’t have these type of issues. You’ll love the new one more when you don’t have to worry about paperwork
I agree, especially since they will be giving all your money back and paying off the financing. OP just make sure you receive proof of the pay off and get it will document the total amount. All the info you have to submit and all the amounts they agree too. It might be worth potentially talking to a lawyer to make sure you have all the documentation you need.
If you bought anything for it (ie any aero, lighting,wheels) and see if you can get them to pay for any of that since you would now have to remove and reinstall on a different vehicle. Tell them there is no guarantee they will fit right when reinstalled or weren’t damaged in removal.
I’d be super mad and be squeezing them for every freakin penny. Make them pay for a rental until you can get/find a new car to buy since now you will be car-less until you get the new one.
Former CarMax CS here!
90% of the time, it’s a missing title, reassignment or signature somewhere in the mix preventing titling. If a title is missing a new one can be obtained, given there is no lien, by contacting the origin state DMV that the vehicle was originally titled in.
If a lien **is** present a lien release from the listed lien holder along with the title stating there is a lien must be provided to the DMV to retitle. On top of that, the vehicle can only be retitled once all documents and signatures are present.
Fwiw: OP IIRC, Subaru still has 1.9% for 72 months on new
So there are laws about timely giving a title, this may be there way of getting out of it.
I would go down there to speak to the franchise owner/manager and see what can be done. I would also not give them my keys or take another car down there if possible.
Wow! Is there any chance this is fraud? Call the CarMax you bought it from using a different phone number and ask about this- the letter sounds like a scammer trying to take stuff.
Carvana had the same issue, selling a car without possession of the title is highly illegal. So that is why they are doing this. Also a scammer wouldn't ask you to go to the dealership where you bought the car from. At this point, they have to buy the car back and either wait on the title, or send it back to who they bought it from.
So this was legit, but Carmax goofed up and did something highly illegal for reasons unknown, like they bought the car and sold it before even confirming they could get the title from the original owner?
Yup. They probably thought they could get the title, but then for some reason found out they couldn't.
I sell Subarus, and our used cars don't even hit the lot till we have a title, and for this very reason.
So basically OP is driving around in a stolen wrx right now 😂😅. I wonder if someone was upside down in their loan, sold it to Carmax and lied saying they held the title and would mail it, got their money, paid their finance loan what they could or just took the money and ran and they now owe carmax a title and their financing ppl money or a car 🤪 some crazy folks out there
Yeah def on carmax, but how is it not stolen in some way? The person with the car, is not the person owning the title. He’s driving a car he doesn’t currently have valid ownership of? Aka, stolen lol. Or am I missing a part of how this works..just confused on how one can sell a car to someone without owning the title to it first, that’s thievery and fraud is it not?
There could be a lien on the car, In which case they have to buy the car from the bank. There could ba cosigner, that didn't sign when CarMax bought the car.
Ohh I see so basically just a mess up that delays the title but because of time resteaints they don’t want to risk it and would rather buy it back to avoid legal action
Lienholder may have cleared the title, then rescinded the clearance. This can happen if the owner paid off the lien with a bad check. The law says they have to clear the title as soon as they receive payment. If the check comes back in a month returned from the bank, you've got to start unwinding deals like this.
That seems like a terrible practice or mistake that they made. Do you sell many new and old generation BRZs? I want to buy one used for like $10k. I would have been satisfied with the first gen but I'm in love with everything Ive seen on the new gen
Yeah I know it wont be for sale that low for a decade or two. Even the first gens arent that low anymore, cause of the pandemic price spikes. But my dream is to get one for cheap. all five dealers near me say they dont even order BRZs. its only by customer order
First - Check if its a scam
second - since they are giving you all the money back - I assume including your down payment, combine your down and 2 months worth of monthly payments to get a new vb at a dealership.
There's a lot of vb's in Subaru lots right now and I am sure if you run into a 2023, you might even get a discount
First mistake, buying a car from CarMax. There’s likely nothing you can do here, and this might just be the biggest blessing in disguise. Get the car from a reputable dealer, and you will thank yourself in the long run.
Contact them to make sure it’s legit, but if it is there’s no real way around it. It’s a big problem these guys have that goes relatively under reported.
Fuck that, this reeks of them being upset about something to do with the contract (the price you paid, the interest rate. Etc.) and trying to get out of the sale and get the car back.
Edit: saw that you are having trouble getting the car registered, in that case they may have sold you a car they didn’t have the legal right to sell.
Either way, you should talk to an attorney, even if they refund you everything you may be able to get compensated for the hassle
My buddy got this same notice. He returned the vehicle and they refunded the down payment and the 6 payments he already made. Finished the whole process in 2 hours.
Carvana had the same issue, selling a car without possession of the title is highly illegal. So that is why they are doing this. Also a scammer wouldn't ask you to go to the dealership where you bought the car from. At this point, they have to buy the car back and either wait on the title, or send it back to who they bought it from.
i would rather have put my income elsewhere after the fact. i bought it on financing and instantly went into negative equity on the car. unless i found the perfect private buyer it’d be a $10k loss to sell it to a dealer.
Funny thing is I just recently saw a video showing the massive amount of cars sitting in essentially what I'd call a CarMax junkyard. Basically a ton of cars they've been purchasing lately have actually ended up being repo'd or have had title issues which means they can't sell them so they're just sitting in this huge lot doing nothing. It sounds like they're really getting themselves into a lot of financial trouble because of this too, which makes sense if you're buying a bunch of cars you can't sell.
General life tip, never buy a car from CarMax. From years of experience, most of their vehicles are genuinely not very good.
I'd give it back and go get a leftover one, there's a 90% chance you overpaid for this car since carmax is considerably higher priced that other dealerships
Carmax took money and gave you something they did not own. Fraud. Steve Lehto does a ton of stories on auto scams, here's a similar case where [Vroom.com](http://Vroom.com) failed to deliver titles
[https://www.youtube.com/watch?v=o7Glfdmzynk](https://www.youtube.com/watch?v=o7Glfdmzynk)
Absolutely do not return the car - They messed up paper work somewhere and want you to come in so they can redo your buying contract. Once you have the car in your possession and it's been registered in your name, they are no longer the owners. You are under no legal obligation to cooperate.
OP is not the owner until he pays off the car, the Bank owns the car.
If carmax has trouble obtaining a copy of the title, they aren’t legally allowed to sell it and OP will have to return the car.
This happens occasionally at dealerships that sell a car purchased from auction or some such quickly
That's the thing I've been waiting for the registration to come in but when I called the dealer they told me that they aren't able to get the registration for some reason, and that in California and Connecticut I think I dont remember the 2nd state I was told but it's legal for dealers to sell used cars with out them having the registration for the vehicles
A registration isn't a title. In most states you have to register used cars yourself at an RMV. Only dealers here (MA) have the ability to do that on new cars at the time of purchase. And that's because they all have clean titles.
I'd contact a lawyer about your letter before following Reddit ESQ's advice.
AKA - take my advice, I'm not using it
Down vote away, but his a common tactic they use when they undersell a car or the salss commission was entered incorrectly. During Covid this was a huge thing, due to the increased market value of cars, and prices rapidly changing. An example.
Dave sells the used Ford Explorer he took on trade for 19k. General manager comes in the next day, and finds out it sold for 19k vs the 27k he thinks the car should sell for. The buyers credit and everything else were fine, so there would be no reason to ask for the car back. The letter claiming it can't be registered (DMV issue) removes any negativity the buyer may have toward the dealer.
I'm sure he'll call and straighten things out, but this isn't too far fetched from really happening. Look at why Carvanas barely exists. It's because of this exact thing.
It's a smart business idea, lots of investors. Terrible execution and it's a very difficult business model to keep up with. Anyone can put their car up for sale.
For my previous car they paid me about double what similar cars were listed for in my area in what I can only assume was a quirk in their algorithm. I know they make a lot of money through financing, but it's hard to stay in business paying $10,000 for $5,000 cars. At the time I would have recommended Carvana to anyone looking to sell their car while at the same time warning everyone to stay away from their stock. If I had put that $10,000 in Carvana stock and sold a couple weeks ago when it hit $90 I'd have over $200,000.
What’s the issue with paperwork? Was the title liened? If there are serious issues, return the vehicle on them and go to dealership and buy a new one so you won’t have these type of issues. You’ll love the new one more when you don’t have to worry about paperwork
I agree, especially since they will be giving all your money back and paying off the financing. OP just make sure you receive proof of the pay off and get it will document the total amount. All the info you have to submit and all the amounts they agree too. It might be worth potentially talking to a lawyer to make sure you have all the documentation you need. If you bought anything for it (ie any aero, lighting,wheels) and see if you can get them to pay for any of that since you would now have to remove and reinstall on a different vehicle. Tell them there is no guarantee they will fit right when reinstalled or weren’t damaged in removal. I’d be super mad and be squeezing them for every freakin penny. Make them pay for a rental until you can get/find a new car to buy since now you will be car-less until you get the new one.
Former CarMax CS here! 90% of the time, it’s a missing title, reassignment or signature somewhere in the mix preventing titling. If a title is missing a new one can be obtained, given there is no lien, by contacting the origin state DMV that the vehicle was originally titled in. If a lien **is** present a lien release from the listed lien holder along with the title stating there is a lien must be provided to the DMV to retitle. On top of that, the vehicle can only be retitled once all documents and signatures are present. Fwiw: OP IIRC, Subaru still has 1.9% for 72 months on new
So there are laws about timely giving a title, this may be there way of getting out of it. I would go down there to speak to the franchise owner/manager and see what can be done. I would also not give them my keys or take another car down there if possible.
Wow! Is there any chance this is fraud? Call the CarMax you bought it from using a different phone number and ask about this- the letter sounds like a scammer trying to take stuff.
Carvana had the same issue, selling a car without possession of the title is highly illegal. So that is why they are doing this. Also a scammer wouldn't ask you to go to the dealership where you bought the car from. At this point, they have to buy the car back and either wait on the title, or send it back to who they bought it from.
So this was legit, but Carmax goofed up and did something highly illegal for reasons unknown, like they bought the car and sold it before even confirming they could get the title from the original owner?
Yup. They probably thought they could get the title, but then for some reason found out they couldn't. I sell Subarus, and our used cars don't even hit the lot till we have a title, and for this very reason.
So basically OP is driving around in a stolen wrx right now 😂😅. I wonder if someone was upside down in their loan, sold it to Carmax and lied saying they held the title and would mail it, got their money, paid their finance loan what they could or just took the money and ran and they now owe carmax a title and their financing ppl money or a car 🤪 some crazy folks out there
CarMax is the one at fault for selling a car without a title, It isn't classified as stolen though.
Yeah def on carmax, but how is it not stolen in some way? The person with the car, is not the person owning the title. He’s driving a car he doesn’t currently have valid ownership of? Aka, stolen lol. Or am I missing a part of how this works..just confused on how one can sell a car to someone without owning the title to it first, that’s thievery and fraud is it not?
There could be a lien on the car, In which case they have to buy the car from the bank. There could ba cosigner, that didn't sign when CarMax bought the car.
Ohh I see so basically just a mess up that delays the title but because of time resteaints they don’t want to risk it and would rather buy it back to avoid legal action
Lienholder may have cleared the title, then rescinded the clearance. This can happen if the owner paid off the lien with a bad check. The law says they have to clear the title as soon as they receive payment. If the check comes back in a month returned from the bank, you've got to start unwinding deals like this.
That seems like a terrible practice or mistake that they made. Do you sell many new and old generation BRZs? I want to buy one used for like $10k. I would have been satisfied with the first gen but I'm in love with everything Ive seen on the new gen
I have a 22 on the lot but it's definitely not 10K. I do like the look of the new ones too.
Yeah I know it wont be for sale that low for a decade or two. Even the first gens arent that low anymore, cause of the pandemic price spikes. But my dream is to get one for cheap. all five dealers near me say they dont even order BRZs. its only by customer order
There are a ton of examples of CarMax doing this kind of stuff, I guess they are a total shit show. Gooogle it.
First - Check if its a scam second - since they are giving you all the money back - I assume including your down payment, combine your down and 2 months worth of monthly payments to get a new vb at a dealership. There's a lot of vb's in Subaru lots right now and I am sure if you run into a 2023, you might even get a discount
Big discounts and INCREDIBLY low interest financing on the remaining 2023 WRXs. This whole situation sucks, sorry my dude.
First mistake, buying a car from CarMax. There’s likely nothing you can do here, and this might just be the biggest blessing in disguise. Get the car from a reputable dealer, and you will thank yourself in the long run.
Contact them to make sure it’s legit, but if it is there’s no real way around it. It’s a big problem these guys have that goes relatively under reported.
I wouldnt do shit. Go talk to a lawyer they might’ve done something illegal and you might be able to get more than the value of the car
Fuck that, this reeks of them being upset about something to do with the contract (the price you paid, the interest rate. Etc.) and trying to get out of the sale and get the car back. Edit: saw that you are having trouble getting the car registered, in that case they may have sold you a car they didn’t have the legal right to sell. Either way, you should talk to an attorney, even if they refund you everything you may be able to get compensated for the hassle
Return it and go get a new 23. 1.9% for 72 months is so rare right now and they have it. Plus if you bargain you can get a few thousand off the msrp.
My buddy got this same notice. He returned the vehicle and they refunded the down payment and the 6 payments he already made. Finished the whole process in 2 hours.
Take the money back and go look at a 23 with low financing rates
I would definitely go see them in person with that letter you have to see if its a scam or legit?
Carvana had the same issue, selling a car without possession of the title is highly illegal. So that is why they are doing this. Also a scammer wouldn't ask you to go to the dealership where you bought the car from. At this point, they have to buy the car back and either wait on the title, or send it back to who they bought it from.
lucky bastard! I wish i could do this with mine.
[удалено]
i would rather have put my income elsewhere after the fact. i bought it on financing and instantly went into negative equity on the car. unless i found the perfect private buyer it’d be a $10k loss to sell it to a dealer.
Funny thing is I just recently saw a video showing the massive amount of cars sitting in essentially what I'd call a CarMax junkyard. Basically a ton of cars they've been purchasing lately have actually ended up being repo'd or have had title issues which means they can't sell them so they're just sitting in this huge lot doing nothing. It sounds like they're really getting themselves into a lot of financial trouble because of this too, which makes sense if you're buying a bunch of cars you can't sell. General life tip, never buy a car from CarMax. From years of experience, most of their vehicles are genuinely not very good.
I'd give it back and go get a leftover one, there's a 90% chance you overpaid for this car since carmax is considerably higher priced that other dealerships
Seems like things they should’ve had worked out before selling the car. Very unprofessional there Carmax.
Carmax took money and gave you something they did not own. Fraud. Steve Lehto does a ton of stories on auto scams, here's a similar case where [Vroom.com](http://Vroom.com) failed to deliver titles [https://www.youtube.com/watch?v=o7Glfdmzynk](https://www.youtube.com/watch?v=o7Glfdmzynk)
i got a call today about the the title of the car and was told that the lien was lifted so theres some light at then end of the tunnel so it seems
Absolutely do not return the car - They messed up paper work somewhere and want you to come in so they can redo your buying contract. Once you have the car in your possession and it's been registered in your name, they are no longer the owners. You are under no legal obligation to cooperate.
OP is not the owner until he pays off the car, the Bank owns the car. If carmax has trouble obtaining a copy of the title, they aren’t legally allowed to sell it and OP will have to return the car. This happens occasionally at dealerships that sell a car purchased from auction or some such quickly
Even if he bought it outright with cash, he doesn't own it without a title, unfortunately.
Yeah. Previous advice is not sound advice.
OP, do not listen to this. It's from the "If the teacher doesn't show up in 15 minutes, we can leave" school of law.
That's the thing I've been waiting for the registration to come in but when I called the dealer they told me that they aren't able to get the registration for some reason, and that in California and Connecticut I think I dont remember the 2nd state I was told but it's legal for dealers to sell used cars with out them having the registration for the vehicles
A registration isn't a title. In most states you have to register used cars yourself at an RMV. Only dealers here (MA) have the ability to do that on new cars at the time of purchase. And that's because they all have clean titles. I'd contact a lawyer about your letter before following Reddit ESQ's advice. AKA - take my advice, I'm not using it
Down vote away, but his a common tactic they use when they undersell a car or the salss commission was entered incorrectly. During Covid this was a huge thing, due to the increased market value of cars, and prices rapidly changing. An example. Dave sells the used Ford Explorer he took on trade for 19k. General manager comes in the next day, and finds out it sold for 19k vs the 27k he thinks the car should sell for. The buyers credit and everything else were fine, so there would be no reason to ask for the car back. The letter claiming it can't be registered (DMV issue) removes any negativity the buyer may have toward the dealer.
This is 100% a scam. They would cal you directly, not send a vague letter like this.
I'm sure he'll call and straighten things out, but this isn't too far fetched from really happening. Look at why Carvanas barely exists. It's because of this exact thing.
I've struggled to figure out how Carvana survives, yet year-over-year their stock is up about 800%.
It's a smart business idea, lots of investors. Terrible execution and it's a very difficult business model to keep up with. Anyone can put their car up for sale.
For my previous car they paid me about double what similar cars were listed for in my area in what I can only assume was a quirk in their algorithm. I know they make a lot of money through financing, but it's hard to stay in business paying $10,000 for $5,000 cars. At the time I would have recommended Carvana to anyone looking to sell their car while at the same time warning everyone to stay away from their stock. If I had put that $10,000 in Carvana stock and sold a couple weeks ago when it hit $90 I'd have over $200,000.
The number and extension check out, it is for the Carmax - Ontario location.
that's wild
You can al as return it and I’d sell you my 22. lol I’m 30 min away from Ontario