| YOUR
AUTO INSURANCE DOES NOT COVER EVERYTHING
In the
event your vehicle is deemed a total loss due to an accident
or theft, your auto insurance policy will usually cover only
the actual cash value or market value of your vehicle less
a deductible. This settlement could be significantly less
than the amount you owe to your lender or leasing company.
The final result is a financial GAP where you must make up
the difference, which could mean thousands of dollars out
of your pocket.
PROTECTION
THROUGH GUARANTEED AUTO PROTECTION PLUS
| Guaranteed
Auto Protection Plus
is a loan/lease deficiency waiver and is not offered as
insurance coverage. |
Guaranteed
Auto Protection Plus Protects individuals who finance a new
or used vehicle from the financial GAP In
the current market, during the first few years that you own
your vehicle, your loan/lease balance can be higher than the
actual value of your vehicle, as a result of depreciation.
As your vehicle’s value declines, your loan/lease balance
may decline more slowly, resulting in a financial gap. If
your vehicle were stolen or totaled in an accident, you would
be liable to pay the difference between your insurance settlement
and your outstanding loan/lease balance.
| The
purchase of Guaranteed Auto Protection Plus is
voluntary and cannot be required as a condition of credit
approval. |
Guaranteed
Auto Protection Plus covers the difference between
the actual cash value of your vehicle and the loan/lease balance,
less delinquent payments, late charges, refundable service warranty
contracts and other insurance-related charges. Guaranteed
Auto Protection Plus will even cover your auto
insurance deductible of $500 or $1,000. The actual amount
depends on your credit union’s program limits. Ask your lender/loan
officer for details. |
