Guaranteed Asset Protection Coverage
DuTrac’s optional Guaranteed Asset Protection* (GAP) coverage is a great way to protect yourself should the vehicle you have a loan for be stolen, accidentally damaged beyond repair, or otherwise declared a total loss. In many cases your auto insurance will only cover the actual cash value of the vehicle; however, you remain liable for the difference between the insurance settlement and the remaining balance of the loan.
This is where GAP coverage becomes important:
- GAP coverage pays the upside down amount or the difference between what insurance covers and the outstanding loan amount
- GAP coverage pays the deductible up to $1,000 as long as a deficiency exists
- GAP coverage pays $1,000 towards the replacement vehicle if your replacement vehicle is financed with DuTrac Community Credit Union
- GAP coverage is a great way to protect your credit rating and your budget, as well as eliminate the out-of-pocket expenses you may incur after a loss.
*Purchase of GAP is optional and whether or not you purchase this product will not affect your application for credit or the terms of any credit agreement you have with the Credit Union. Adding the fee to the amount you borrow will increase the cost of GAP. You may choose GAP with a refund provision or with out a refund provision. Prices of the refund and non refundable product are likely to differ. If you choose either product and cancel within the first 90 days, you will receive a full refund. If you choose a refundable product, you may cancel at any time during the loan and receive a refund of the unearned fee calculated by the actuarial method. We will give you additional information before you are required to pay the fee for this product. There are certain eligibility requirements, conditions, and exclusions that could prevent you from receiving benefits under GAP. You should carefully read the GAP contract (waiver) for a full explanation of the terms of the product.
If you have further questions regarding DuTrac Community Credit Union’s optional Guaranteed Asset Protection coverage, please contact our highly qualified Financial Services Consultants by e-mail at members@dutrac.org, by phone at (563) 582-1331, or 1-800-475-1331 or stop into any of our 10 convenient locations.
