Will CarMax Buy a Car With a Loan? What to Know

You do not have to finish paying off your car before selling it to CarMax, but the outstanding loan must be settled as part of the sale. CarMax will need information about your lender and the current payoff amount, which can differ from the balance shown on your latest statement because of interest or fees.

Get a CarMax offer for your car, then ask your lender for a payoff quote that will remain valid through your expected sale date. If you have more than one loan or lien on the car, tell CarMax up front so our team can help you think through the information you will need before you visit.

Check the product’s listed specifications when evaluating start with an offer and a payoff quote.

If CarMax’s offer is higher than your loan payoff, the difference is your positive equity, which you can receive after the loan is accounted for in the transaction. If the offer is lower, you have negative equity and generally must cover that gap to complete the sale, unless you are trading in and qualify to include it in a new vehicle loan.

Have your lender’s name, loan account information, registration, identification, and any other ownership documents CarMax requests ready; requirements can vary by state and by how the vehicle is titled. If the loan is in someone else’s name or the title lists another owner, resolve who needs to participate or sign before counting on completing the sale in one visit.

Check the product’s listed specifications when evaluating bring the right information to the sale.

Compare the offer with the lender’s payoff quote before you decide: a strong offer may make selling straightforward, while a large shortfall may call for saving the difference or considering other options. Our Selling a Car You Still Owe On: A Step-by-Step Guide to Successfully Selling a Financed Car walks you through the broader process of selling a financed vehicle.