by Guest » Wed Dec 31, 2008 11:57 am
my vehicle was recently involved in a fire, the insurance is taking care of it but i dont have gap ins and i am going to be upside down, how can i get the insurance co to give me the check for what my vehicle is worth as opposed to sending it to the lien holder
Posted: Wed Dec 31, 2008 11:56 am Post Subject:
You can't they HAVE to protect your lien holder...your only option is to discuss this openly with your lein holder, and do a transfer of collateral on another vehicle, but buy a cheaper one this time, AND get GAP, because you are again 'starting' upside down...
Posted: Thu Jan 01, 2009 05:47 am Post Subject:
Since you are in an upside down condition with the car loan but has no Gap insurance to cover the difference between the claim check and the lien, I'd be interested in knowing the reason. However, setting aside my curiosity, you only have the option to discuss the issue with the insurance company. As Lori has mentioned, the insurer is required to protect the interest of the lien holder and would write the check to his name. Moreover, you'd still be required to continue paying on the car. I don't know whether buying another vehicle at this juncture is a good idea or not, it certainly depends upon your financial condition, but you should take a lesson form this and maintain a Gap coverage on the car especially when you are getting it financed.
~Jeremy
Posted: Thu Jan 01, 2009 02:00 pm Post Subject:
I'd be interested in knowing the reason
Jeremy I see this on the vast majority (unfortunately)...however more are maintaining gap now...in fact many lein holders are requiring it...(good idea on their part!)Add your comment