Gap insurance can be an important protection to have without a doubt. No one wants to get stuck paying thousands of dollars towards car that is totaled or stolen. However there is one big lesson we want everyone to know.
Most Gap Insurance policies will cover the consumer for the entire duration of the auto loan, commonly 5-6 years. But is it really necessary to have Gap for the entire loan? No! Here’s why…..
If you purchased Gap, it is highly likely you inherited negative equity the second you drove off the dealership lot. However as you continue to make payments every month, eventually your negative equity will turn to positive equity, called the break=even point. Once you reach the break-even point, when your car value is equal to or greater than your loan amount, you might want to consider cancelling the coverage and receiving a prorated refund for the months remaining.
That’s right, Gap is only necessary to have when you have negative equity, period! Don’t pay for something you don’t need. A good idea is to check your current vehicle value at kbb.com to see if you have already reached your break-even point. If you’re unsure if you are entitled to a refund, simply fill out our online refund form at https://mygaprefund.com/refund/ and we will let you know for free.
We hope this message gets out to the millions of auto consumers on the road, please share and pass along the message. As always, feel free to contact us at mygaprefund@gmail.com.
www.mygaprefund.com has helped consumers receive more than $170k in refunds!
