CarMax Relies on CMSI's CreditConnection(R) Service To Manage its Automotive Financing
Rapid, Online Credit Approvals Give the Fast Growing Auto
Superstore(R) a Competitive Advantage
ANNAPOLIS JUNCTION, Md., Sept. 13 /PRNewswire/ -- Credit Management Solutions Inc. (CMSI) (Nasdaq: CMSS). CarMax, one of the fastest growing retailers in the United States, relies on CMSI's CreditConnection service for automotive financing throughout its nationwide chain of auto superstores.
CreditConnection, a patented electronic service with a network of lenders nationwide and throughout Canada, is integrated with CarMax's touch-screen AutoMation(R) system. The revolutionary AutoMation system enables a CarMax customer to browse through an entire store's inventory, generate a list of cars and trucks that best meets his or her needs, and -- thanks to CreditConnection -- get financing decisions in minutes instead of hours.
"CreditConnection gives us a tremendous competitive advantage," said Keith Browning, CarMax's Chief Financial Officer. "We receive online credit approvals while the customer is sitting there, even on evenings and weekends when banks are closed. That's something most of our competitors just can't do."
CreditConnection efficiently manages the significant number of transactions generated by CarMax, which has had over 185,000 customers and now sells over $1billion worth of cars each year. "CreditConnection is able to handle our high application volume with no degradation in response time or service, even on our heaviest days," said Mike Dolan, CarMax's Chief Information Officer. "We've had no lags or performance problems."
"The system has also provided us with a reliable, value-added network," Dolan added. "We currently connect to five different lenders through CreditConnection and it's easy to make changes and add new lenders. Accessing multiple lenders makes it possible for us to serve the broadest base of customers most efficiently."
In addition, CreditConnection provides strategic information to help optimize lending relationships. "We get transaction statistics and other data that enables us to better understand our business and improve management of the financing process," said Dolan.
"CarMax is on the forefront of automotive retailing. As their partner, we're pleased to have played an important role in their impressive growth during the last three years," said Peter Leger, President and CEO of CMSI.
About CarMax
CarMax, a Circuit City Company, began development of the used-car superstore concept in 1991 and has been revolutionizing the way consumers think about automobile purchases since opening its first store in Richmond, Va., in 1993. With the addition of the Los Angeles franchises, CarMax will operate 33 locations, including 29 used-car superstores and 19 new-car franchises. Circuit City Stores, Inc. is a leading national retailer of consumer electronics, major appliances, personal computers and entertainment software. Additional CarMax information is available at www.carmax.com (SM). Additional Circuit City information is available at www.circuitcity.com (SM). |
