RICHMOND, Va. (January 19, 2006)—According to a recent online survey conducted by CarMax, Inc. (NYSE: KMX), the nation’s largest retailer of used vehicles, car shoppers don’t always know how to get the best financing rate for their vehicle purchase. With the start of the new year, CarMax’s auto finance experts are offering consumers tips on how to get the best finance offer.

The following are the results of the survey of 5,900 carmax.com visitors:

When buying your last car, how sure were you that you got the best finance rate?

                                                                                                      Percent

• I know I didn’t get the best rate                                   20%
• I don’t know if I got the best rate                                 18%
• I knew my credit score before I went in,                    18%
  so I felt confident that I did
• I didn’t finance my last car                                           18%
• I brought in my own financing                                     16%
• I "shopped around" to find the best financing          10%

"We are proud to provide our customers with what we believe is the most user-friendly car financing service in the industry," said Angie Chattin, vice president of CarMax Auto Finance. "CarMax sales consultants do not receive a commission on the financing process and do not hand-off customers to a commission-paid finance manager or sales manager. The CarMax sales consultant helps the customer through the entire sales process."

At CarMax, customers see the finance offer directly on the computer screen from the finance company, and where multiple offers exist, customers may choose the offer that best suits their needs. CarMax also provides a three-day payoff option, which gives customers up to three business days to replace the financing with cash or an alternative-lending source, free of penalty or interest.

Chattin provides the following tips for getting the best finance offer:

             Maintain Good Credit

Maintain a good credit rating by paying your bills on time and not over extending your debt.

Know your credit history by getting a copy of your credit report. Check your credit report annually to see if any information on the report needs correcting. You can get a free copy of your credit report at www.annualcreditreport.com, You may also contact any of the three nationwide consumer credit reporting companies:

-Equifax: 800-685-1111, www.equifax.com
-Experian: 888-397-3742, www.experian.com
-TransUnion: 800-916-8800, www.transunion.com

Know How Much You Can Afford

Determine how much you can afford for your vehicle purchase and monthly payments. Include insurance and maintenance expenses in your evaluation of which car best fits your budget.

Maximize your down payment to lower your finance rate and monthly payments.

Calculate how much your current car is worth and how much you owe on it. Go to any CarMax superstore for a free appraisal to determine the current value of your vehicle.

Find a Car Retailer that Offers Competitive Finance Rates

Look for a car retailer that offers a competitive finance rate without the hassles of negotiation.

Compare multiple finance offers, if possible. CarMax makes it quick, easy, and convenient for most customers to apply for financing from multiple finance companies and consider different options.

Only buy a car from a retailer that offers at least a three-day payoff option. If you find a better rate after you take the car home, this gives you the option to pay off the financing with no fees or penalties.

Be Prepared at the Car Retailer

When shopping for a vehicle, take essential paperwork items with you, including the title and the registration for your current vehicle, your driver's license, and your insurance card.

Before signing any paperwork, check the figures in the contract and understand all the charges.

Do not hesitate to ask lots of questions. Be prepared to walk away if you are unhappy with your car buying experience.

About CarMax

CarMax, a FORTUNE 500 company, and one of the FORTUNE 2006 "100 Best Companies to Work For," is the nation's largest retailer of used cars. Headquartered in Richmond, Va., CarMax currently operates 67 used car superstores in 31 markets. CarMax also operates seven new car franchises, all of which are integrated or co-located with its used car superstores. During the twelve month period ended November 30, 2005, the company sold 285,950 used cars, which is 93 percent of the total 306,820 vehicles the company retailed during that period. For more information, access the CarMax website at www.carmax.com.

Media Contacts:

Lisa Van Riper, Assistant Vice President, Public Affairs, (804) 935-4594
Trina H. Lee, Public Relations Manager, (804) 747-0422 ext.4197

Investor Contacts:

Dandy Barrett, Assistant Vice President, Investor Relations, (804) 935-4591
Celeste Gunter, Manager, Investor Relations, (804) 935-4597