Welcome to SecureGAP! SecureGAP is designed specifically for our lender business. We provide this unique product to all bank, credit union and finance companies. There are no lender approvals associated with this product. It is designed for an agent that markets to both auto dealers and lending institutions. Having both products will protect the agent from consumers buying the same brand name product at different retail outlets. Reinsurance is available through certain underwriters for select lenders and/or agents.
Today's borrower is generally requesting auto loan amounts that exceed standard lending criteria. Down payments of $750 or $1,000 are common for vehicles costing $18,000 to $25,000 and more.
The lack of equity down payment and the demand for extended term financing often creates a negative equity position with your loans; resulting in deficiencies of $3,000, $5,000 and more.
The leasing industry long ago realized the problems associated with exposing borrowers to the potential of deficiency balances in the event their collateral became a "total loss." While the borrower has historically had the ability and habit of meeting his or her known obligations, the unexpected "total loss" to a vehicle could cause permanent damage to the borrower's credit history and create tremendous dissatisfaction with their lease experience. Nearly every automotive lease currently includes GAP as an automatic benefit.
Finally, it is important to remember that GAP IS NOT AN INSURANCE TRANSACTION BETWEEN YOU AND YOUR BORROWER. You are merely agreeing to alter the loan document to forgive any amounts due you. If the collateral is deemed a total loss, you agree to waive any difference between the outstanding Loan Balance and the insured value or actual cash value of the vehicle at the time of loss. By submitting the GAP waiver and paying the appropriate premium, you are insuring your exposure to loan loss should your borrower suffer a "total loss."
Can I put GAP on outside financed car loans? Click here for the answer!
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Since 1989 we have been your ultimate resource for automotive and finance consumer protection.
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Sharon Licare started with GAPWise in August 2000 and has worked her way up through the ranks. Starting as a back-up receptionist and filing person, she began processing cancellations and worked her way up into production and claims. She is now the Claims Supervisor and keeps watch over a staff of two other wonderful ladies. They do a great job of handling all the GAP claims and assisting customers, lenders and our agents in answering questions.
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