Are you eyeing a new vehicle in a dealership’s inventory? Have you thought about trading in your current vehicle for a new one? Never done it before, or has it just been a while since you have done it? Here is the vehicle-trading in process and some tips to make the process go as smooth as possible for you!
Do you enjoy learning about vintage vehicles, or know nothing about vintage cars and would like to gain some information on them? Then you have come to the right place. The folks at a local car dealer, that is also excellent at vehicle repairs, Interstate Dodge Chrysler Jeep RAM in West Monroe, LA, have shared some information with us about Chrysler vintage cars, and we would like to tell you about what Chrysler vintage cars had to offer to their buyers! Keep reading for more information on these historic and sometimes hard to find vehicles!
Perhaps you have heard of this Gap coverage. Many drivers get a standard auto insurance policy to cover the cost of replacement parts or repairs if their vehicle is stolen or damaged, as many states mandate that is purchased. What exactly is Gap coverage? You have come to the right place to learn all about gap coverage and how having it can help you!
What is Gap Coverage?
Gap coverage is used mostly on small vehicles, such as trucks and cars, and heavy trucks. It can be used on new vehicles as well as used ones. Gap coverage covers the difference between what you still owe on your vehicle and the car’s worth. Gap coverage is sometimes referred to as “gap insurance” or “gap protection.” Gap is an appropriate name for this type of coverage not only because it covers a “gap,” but because GAP is an acronym for “Guaranteed Auto Protection,” what people are seeking when they purchase Gap coverage.
Gap Coverage Explained
Say you buy a car for $30,000 that you had taken out a loan for. A month later the car is totaled in a crash, but you still owe $30,000 on your loan. Because a new vehicle’s value quickly drops after purchase, the cash value of this once brand-new vehicle may only be $28,000. Your gap coverage, if you have elected to purchase it, will pay the difference, which would be $2,000 because that is what you get when you subtract the car’s current value, $28,000, from the $30,000 remaining loan balance.
If you are not paying a whole lot of money for your vehicle each month, as it will take you longer to pay the vehicle off that way then making bigger payments, then gap coverage may be a good idea to save you money in the long run if something happens to your vehicle while you are still trying to pay back the loan on it.
Who Gets Gap Coverage
Gap Coverage is designed for people who drive vehicles with a high history or depreciation rates, drivers who drive more than 15,000 miles annually (15,000 miles is what the average person drives), and drivers who lease. Sometimes lease contracts do actually require that one purchases Gap coverage.
One should also consider getting gap coverage if they do not have a lot of cash saved up that would cover the difference between the amount you still owe on your loan and the car’s actual cash value if it is totaled or stolen.
Purchasing the Gap Coverage
Buying from the dealership you get your vehicle from can provide you with a one-time charge that you will get out of the way for the part of the car’s life that it spends with you. You will want to be sure that the coverage you get provides types of loss like accident, theft and natural disaster–again, a dealership is your best bet for this.
The folks at a local car dealer, Patrick MINI in Schaumburg, IL, can provide you with more information on available Gap coverage, especially if you are thinking about purchasing a new or used MINI vehicle in the Chicago area.
The majority of people wanting a new or used car decide to take out a loan. Taking out a loan means that the lender buys the car for you, and then you have a certain number of years to pay them back the money they spent on the car. Many people have anywhere from 36-72 months to pay back their loan, and depending on how much money you can pay back each month you can choose a shorter or longer loan term.
Only a small percentage of vehicles sold in the United States have them, but it is predicted that in the future more vehicles will have them. They are called Electronic Stability Control (ESC) systems, and are standard on some vehicles but most certainly available on others. When purchasing a vehicle new you can get it as an add-on, or perhaps you never knew your car had them until you had a problem with them that a mechanic needed to diagnose. In the present day you can not get it on a used vehicle, but there is optimism about that changing in the future! Keep reading to learn more about what ESC systems do for drivers!