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
| Guaranteed
Auto Protection is a loan/lease deficiency waiver and is not offered
as insurance coverage. |
Guaranteed
Auto Protection 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 is voluntary and cannot be required as a condition
of credit approval. |
Guaranteed
Auto Protection 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 will even cover your
auto insurance deductible up to $1,000. Ask your lender/loan officer for details.
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