Answers

Couple of questions for you. How much did the insurance company give you for your totalled vehicle? How much is your payoff?

If you do not have GAP insurance and your car is worth less than the payoff, then you need to pay off the difference to satisfy the loan.

Sorry about your wreck! To answer your question in brief, yes, this can happen.

Good luck!

2

0

Report it

In my experience if a 2007 car is totaled and the year is still 2007 than you get blue book value which would be your window sticker. How ever if you bought extended warranties, service plans, autobon etc. that may make your payoff higher. If you did purchase these itmes you will get a refund but you will have to wait for the paperwork to be processed.

Also keep in mind that insurance companies try not to pay for everything. In other words they negotiate. I had a woman who totaled a maxima and KBB was 18k when the insurance company got involved they offered 14k. She had to fight but she did get her 18k. Remeber that the more insurance companies pay out the more their profit margins go down. It is like buying a car. Or like the movie sicko by Michael Moore. Insurance companies don't want to pay. Keep fighting and remeber the dog with the biggest bark gets the bone!

GP

1

1

Report it

The minute you take a new car from the dealer lot - it becomes a used car. If there is no Blue Book on the car - it will be appraised by the last year Book.
Now the difference is not only the price minus the actual value, it's the price plus sales tax and fees minus actual value. I have seen cases when people traded brand new cars days after purchase, and lost thousands, because used car worth much less than new.
Your case is a perfect example if why you would lease, or if you are buying - get GAP insurance.

1

0

Report it

Sounds to me like your dad is trying to work you over for $2400. If the insurance says you are slick with them then this is a family problem not a insurance problem.

0

0

Report it

I would check with the bank who financed the car they would be the ones that would be owed the difference not your insurance company. Also you should do your research on the value of the car as it could vary from the insurance companies’ opinion. It is your responsibility to protect yourself when dealing with an insurance company. You may even want to have an independent appraisal do an evaluation on the vehicle and give you a report on what they feel the value is. Gap coverage is a great resource when purchasing a new car, but you also want to make sure you don’t over pay for the car to begin with.

0

0

Report it