I just bought a new car I financed it but a week after I took it out of the dealer I had a car accident and the insurance told me the car was totaled .. now I have hundred questions .. and I need your help with that .. the insurance will give me the price of the car right but not the sale taxes ..what happend with my loan ??? I'm really confused I hope I can get some help from you..thanks!!
2007-07-05 15:51:10 · 5 answers · asked by CAJA 2 in Cars & Transportation ➔ Insurance & Registration
Insurance will not pay you for the price of the car...they will pay the VALUE of the car and possibly the tax on THAT amount. If the check for the value of the car will pay off your loan...GREAT for you. But chances are it may not. You need to find out if you bought GAP insurance which will cover the difference; if you don't have GAP insurance, any remaining loan balance is yours to pay.
2007-07-05 16:03:23 · answer #1 · answered by bundysmom 6 · 2⤊ 0⤋
There are a few things that happen here. most of these questions you need to ask the Dealer and your insurance company. did you get GAP with your loan? If you did then everything should be taken care of. you may only need to pay the deductible to resolve the issue. the insurance company will cover the loan and pay it completely off. the Gap should cover any other expense that the insurance company does not cover. Again you will want to talk to the Dealership and your insurance company for more accurate information.
2007-07-05 15:56:47 · answer #2 · answered by gearnofear 6 · 0⤊ 0⤋
I really hope you plunked down a large down payment when you bought the car because unless you purchased GAP insurance your insurer will only settle for the actual cash value of the car. Remember, the moment you signed the dotted line your car lost a minimum of 15% of it's market value. Auto insurance is NOT replacement coverage. Sales tax is usually covered in the total loss settlement in most states.
2007-07-05 16:44:14 · answer #3 · answered by Anonymous · 2⤊ 0⤋
Unless you have gap insurance which covers the difference of what you paid and what it is worth they will only pay the amount the car is worth, at trade in which is most likely substantially less than you owe. Hopefully it was not your fault and you can go after the other persons insurance to get it all covered.
2007-07-05 15:56:21 · answer #4 · answered by Pengy 7 · 0⤊ 0⤋
I believe they will pay off what ever you owe, call your agent.
2007-07-05 15:53:43 · answer #5 · answered by Granny 1 7 · 0⤊ 4⤋