Hey Guys, I was just going over my contract on my new ride and I realized I payed $750 for Gap insurance, but have 30 days to cancel. I really dont think i need it. Is it worth it??

 

Well that depends on how much you owe and how much your car is worth. If you bought a car that will depreciate a considerable amount in a few years it might be worth leaving it in the contract. If you're car is totaled and you owe $15K while the car is only worth $10K, you're on the hook for the remaining $5K. If you have Gap insurance it will cover the remaining $5K and you pay nothing.

 

Worth it. My ex wife totaled her 00 grand am GT in 06. She bought the car before we were marrired. Long story short she owed 7k and the INS only gave us 5200. So we dished out 1800 for a totaled car. Its only $750. Like the post above, if you total your car and you owe more than the car is worth you will have to pay that difference. So god forbid that ever happens, and you think the difference will be less than $750 then cancel, But i doubt it!

 

worth it unless u owe less than your car is worth

 

its worth it

 

worth it! $750 vs multi thousands depending on what you owe. This came in handy for my first new car a 2000 Grand Am GT when a girl ran a red light and broad sided me. The Gap Insurance made up a difference of about $6,000.

 

How much did you put down?

If you bought a $15,000 car and put $5,000 down you're pissing away money buying that GAP insurance.

 

im staying the fuck away from grand ams

 

I was like "Does anybody else see a pattern here?"

 

I had a 96 Grand Am and managed to avoid totaling it. edit: damn, pure beat me to it!

Back on topic: Gap Insurance is worth it. Is adding $750 over the life of the loan (a few bucks a month) going to break your monthly budget? If so, you had no business financing the car in the first place.

 

 

Again, how much did the OP put down?

The only way GAP makes sense is if the amount financed is very close to the value of the car.

If he put down $5k and there's any chance his car is going to be worth less than what he owes, he bought the wrong fucking car!

At that point he has much bigger issues than GAP insurance.

 

I have gap all my cars have gap parents cars to got two cars stolen that had no gap then got 1 stolen with gap and I think it is def worth it

 

hahahaha, wow thats crazy. mine wasnt my fault but damn did i get hit hard, woke up in the ambulance.

 

I get it with every car i purchase. I typically add up the miles so fast that the worth drops like crazy (40-50k a year with one year 103k) It is well worth it and saved me a ton once when a deer caused me to total out my truck. (the credit union i buy all my cars thru when you purchase the gap thru them they automatically give you 3k (not a loan) for a down payment on a new vehicle as well.

 

I think it is definitely worth it.

 

That's a nice credit union.

 

...and the OP "just realized I payed $750 for Gap insurance"?!?!?! How about before you sign for the car.

Salesman and finance departments love to put all sorts of B.S. in the contract. You need to do your due diligence when signing for you car.

 

i got the gap for wifes car i paid 14000 and put down 3000. i feel a little better about getting it after reading this thread since shes a horrible driver afterall.

 

Cancel it and get it on your auto insurance instead it only cost like $2/6 months for me on my car.

 

As mentioned already, it all depends on how much money you put down. But is it worth it? Yes, unless you put a significant down payment on your car.

Sooooo How much did you put down?

 

I need to find a credit union like that. I'll take free money anyday.

 

I should add that they give you that if you total a car out and have to use the gap insurance.

 

Wow....didnt realize this thread was so lively. Anyway, I talked to a few people and will keep the coverage. I got my Vette for $10K off of suggested KBB retail (i guess that's why I got overly excited to make the deal). However, I paid $3899 for a 5 year/additional 60K mile Bumper to Bumper Warranty; $1,024 for 5 years of: Roadside assistance, Rim/Tire repair/Replacement, Winshield crack repair, and yearly dent/ding removal. I only put $5K down.

However, by getting the complete package above with Gap coverage, my Fiance charge went from 8.99% APR to 6.99% APR (which is pretty awesome for a used car). I'll pay for peace of mind for knowing EVERYTHING is covered on the Vette for 5 years.

 

 

Yikes, hope you got a GREAT deal on that car because 5k isn't much down on a car like that I would guess. Nice it got the interest down but I would still shoot myself in the face before paying that interest

 

I just paid $520.00 for Gap Insurance on an Certified pre-owned 07 Acura TL Type-S. Only put $3K down so I figure its a wise investment. Anyone think otherwise?

 

6.99% is awesome? I know plenty of places offering 3.99% if you have A+ credit.

 

HI, I have some headlight fluid that i can sell you too for ONLY $400. This is a one time deal man! Dont miss out!!

 

Holy thread bump.

You sound excited, but please keep your "fluids" to yourself there bud.

I actually had 2 tires replaced do to nails in them and got my money back on the road hazard warranty already in 5 months, and also had one costly repair that got my warranty money back as well. I still have 4 1/2 yrs left of coverage to boot. Also, I can still turn around and sell my vette for more than I paid for it. Looks like I knew what I was doing. I bought an M35X on the same day as well, so I did get a little "sign happy" for sure. But it definitely all worked out.