Guaranteed Asset Protection
LIAFCU GAP (Guaranteed Asset Protection)
The facts on protecting your assets:
- What is LIAFCU Guaranteed Asset Protection (GAP)? When you buy a new or used vehicle, there’s no way to know if it will be stolen or totaled in an accident. And, many times primary auto insurance settlements don’t pay off your loan balance. With the purchase of GAP, you’re helping to protect your vehicle investment against a possible financial loss.
- How does GAP work? The GAP fee can be included in your monthly payments. If your car is stolen or totaled in an accident and there’s a difference between what you owe on your auto loan and the value of your vehicle, GAP will help cancel the difference based on the terms of your member agreement. By adding GAP while signing your loan paperwork, you’re helping take responsibility for your financial future. Your loan officer can show you how. You may cancel GAP any time after your enrollment date. If you cancel within 90 days, you’ll receive a full refund.
- Why is it valuable? Vehicles often depreciate rapidly, and vehicle loan terms have typically been increasing in duration. If your vehicle is stolen or totaled in an accident, GAP will help cancel the difference between the primary insurance settlement and what you may still owe on your vehicle loan. GAP enables you to prepare for the unexpected.