http://www.newstartautoloans.com/blog/what-is-gap-coverage/ Helpful tips and information about bad credit auto loans, bad credit car loans, car loans after bankruptcy, and first time buyer car loans Fri, 16 Dec 2011 23:25:05 +0000 hourly 1 http://wordpress.org/?v=3.3.1 http://www.newstartautoloans.com/blog/what-is-gap-coverage/comment-page-1/#comment-679 admin Fri, 10 Sep 2010 04:54:17 +0000 http://www.newstartautoloans.com/blog/?p=168#comment-679 You said you should be able to pay your loan off within a year. You didn't mention whether you were going to do it all at once in a year or in big payments. <strong>Gap coverage</strong> is, in my opinion one of the two most important purchases when you buy a car; the other is a warranty. If you are in a STRONG <strong>equity position</strong> and have absolutely NO danger of getting less than you owe for your car in the event that it is deemed totaled in an accident then you can consider canceling your gap coverage. Usually this strong equity position only comes from a large down payment (30-40%) or extra payments on your loan. If you are going to pay your loan off in a year you should consider keeping the gap coverage until you have a strong equity position. Usually, you can get a percentage of your money back on your cancellation so canceling early is not worth the risk. If you do not have your car paid off before you cancel your gap coverage, your unused premiums will usually go to the bank to pay down your loan. You said you should be able to pay your loan off within a year. You didn’t mention whether you were going to do it all at once in a year or in big payments. Gap coverage is, in my opinion one of the two most important purchases when you buy a car; the other is a warranty. If you are in a STRONG equity position and have absolutely NO danger of getting less than you owe for your car in the event that it is deemed totaled in an accident then you can consider canceling your gap coverage. Usually this strong equity position only comes from a large down payment (30-40%) or extra payments on your loan. If you are going to pay your loan off in a year you should consider keeping the gap coverage until you have a strong equity position. Usually, you can get a percentage of your money back on your cancellation so canceling early is not worth the risk. If you do not have your car paid off before you cancel your gap coverage, your unused premiums will usually go to the bank to pay down your loan.

]]> http://www.newstartautoloans.com/blog/what-is-gap-coverage/comment-page-1/#comment-678 Carol-1st time buyer auto loans Fri, 10 Sep 2010 02:48:15 +0000 http://www.newstartautoloans.com/blog/?p=168#comment-678 I bought my car two years ago with a six year loan and will be paying it off within a year. When I bought my car I got gap coverage, can I cancel it? will I get money back? I bought my car two years ago with a six year loan and will be paying it off within a year. When I bought my car I got gap coverage, can I cancel it? will I get money back?

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