totalled vehicle

Posted: Sat Oct 18, 2008 09:46 am Post Subject:

yes I know I still owe the bank,

I guess apparently the insurance gets the car

My lien holder still wants the money so what do I get?

I put alot of money into the car,

Ive had no car for the past 3 or 4 months what do I get out of this 40 thousand Iam expected to pay?

but this is really screwed up and unfair

Posted: Sat Oct 18, 2008 04:03 pm Post Subject:

As I understand it, GAP will only kick in if the payments are up to date. It sounds to me like you allowed your payments to fall behind while the claim was be settled. Yes, you will need to pay on the vehicle you do not have to bring everything up to date so that your GAP will kick in.

I can't know for sure but it sounds like you kept trading in cars that you owed money on. On top of that, I'm betting (at least the last time) that you were up side down on the vehicle you traded in. If so, all that debt was rolled into the next vehicle... and since it was new, you were up side down in that vehicle as well. So it's like you financed two vehicles but only got one. Sorry... you are a car dealerships wet dream.

As Lori mentioned, here is what you get... a new start on your financial life! Let me tell you... you need to take advantage of this SWEET deal! You were in _WAY_ over your head and you were just going to get deeper in debt. While that was a _huge_ problem there is a much bigger problem... you still don't even understand that you have this problem. I say that as you asking, "what do I get out of this". That tells me that you think you just fine financially. Trust me, you were so far in debt with these vehicles that you were flushing good money down the toilet. You think that you got ripped on your last trade in? You were screwed way before that, may have got ripped on the trade in, and you were screwed even worst when you signed the dotted line... again.

Vehicles are _not_ an investment. They loose money each and every day. New vehicles are by far the worst. Here you are, still loosing money on a vehicle you don't have (the trade in) and also loosing money on the vehicle your driving around. Then your wondering why you don't have anything to show for the money you've been throwing away? But really your going to get someone to forgive all that debt you placed yourself into.

Perhaps that sounds mean. I don't know you but I really hope it stings a little so that it stays in your mind and you give it some thought. I'm not judging you either. You are your own person. Take what I've said and just give it some thought.

My recommendation... as Lori mentioned, look up and thank who ever that you've gotten to this point where you can start over on your vehicle finances. Go out and buy a used car that runs good. If you can't pay cash, set aside the difference of what you are paying and what you were paying. Next time you buy a car, use that money that you set aside. You should be able to do that. If you won't... still set aside something... anything.

Posted: Sat Oct 18, 2008 05:59 pm Post Subject:

Sorry about your situation but...um...life sucks.

Even though the salesman "sqauked" you into the deal, you did sign the contract. You knew the payment would double...ultimately, it is your responsibility.

I "mod" every car I own. Upgraded tires and wheels and sound system in every car (minimum of 4k extra). I make sure my insurance covers the extra. Did you do this?

Bottom line - insurance pays the lienholder.

You said you have gap. Like the others have asked, what is the status with that. t is right - if you fell behind on the payments (and yes...you still owe while waiting for the insurance company to pay) then you are probably stuck.

I find it incredibly difficult to believe that during the 3 1/2 months the insurance company took to "investigate" - the finance company never called you for a past due payment?

Posted: Sun Oct 19, 2008 12:39 am Post Subject: reply

Thanks lori and the other two posts. Yes thats right I hopefully will get out of this horrible debt. yes the lien holder has been calling for the money. I thought if my vehicle was reposessed GAP wouldnt cover it, but from talking to people from GAP directly it doesnt matter I can still file for GAP and should get covered. So Iam waiting to see. And suposedly if GAP doesnt pay it off by or I dont make a payment by the 31st it will go into chargeoff status. So iam tryiny my best here. The insurance did take quite a while, but Iam glad they atleast paid it. And I never got things like rims or stereos covered, didnt know I could.

Posted: Sun Oct 19, 2008 01:53 am Post Subject:

Hopefully you can just learn from this whole situation. Good luck.

Posted: Sun Oct 19, 2008 10:15 am Post Subject:

Don't let this vehicle go into repo status! Call the leinholder and see what you can do to keep that from happening...you should only owe the back payments and penaltys if you keep jacking around avoiding them, get this note in repo status you might blow the gap claim and owe the entire 20k!

Posted: Sun Oct 19, 2008 11:16 pm Post Subject:

Sounds like the best advice. Also if they repo it and sell it you will be responsible for any money left after they sell it. Example...You owe $20,000..they sell it for $8000..you still owe $12,000 plus any and all fees.

Posted: Mon Oct 20, 2008 04:51 am Post Subject:

Repossessed!?!….there is no question of repossessing the vehicle and since its totaled the insurance company will pay for its ACV and will take it to the salvage.

The GAP kicks in when the amount written in the insurance claim check is less than what you owe to the financier, and it'll pay the difference. The financier needs to receive whatever is still left on the car, that means Yes, you still owe them.

And one more thing…..investing on the vehicle doesn't entitle you to receive compensations for it. And as the other posters have mentioned, the value of the car depreciates with time. However, you might get some value for the equipments and tires that you have installed in it.

~Jeremy

Posted: Mon Oct 20, 2008 03:27 pm Post Subject:

Is buying a vehicle brand new even worth it. I know you can obtain GAP insurance but if it depreciates as soon as it leaves the lot then the buyer already takes an immediate loss. In my opinion it would be better to wait and purchase a vehicle after it is a couple years old. People tradxe them in all the time and they are in excellent condition plus you would save a few grand.

Posted: Tue Oct 21, 2008 01:08 am Post Subject:

Is buying a vehicle brand new even worth it.