anon_poster
Junior Member
Hello,
Sorry for the repeat post (in the debt collection section)... this question applies to both subject areas. Thanks!
I bought a car several years ago. At the time of the sale, I purchased guaranteed asset protection (GAP) insurance. This is a form of insurance that will cover any balance left on your loan if your car is in an accident and declared a total loss before the loan is up.
This agreement came in the form of an amendment to the original contract (on which the bank I'll be discussing is listed as "lien holder"). This contract says in no uncertain terms that in the event the car is deemed a total loss that
None of those cases apply to me. Furthermore, it says right under this that "this contract amendment is binding on any lien holder"
Now I got in an accident in which the car was a total loss and notified the bank that I the remaining checks would be coming from my auto and gap insurance companies. The bank received the check (along w/ information on the adjusting) from my collision insurance company but not the GAP check. Then the phone collection calls started. I told them I had a contract that said I was not liable for that amount.
Eventually I talked to the bank's "insurance specialist" and sent both this person and the GAP company copies of all the paperwork and a letter which included the contact info for myself the insurance company and the "specialist" (this included copies of the contract).
However, months later I still get the calls. Every time I contacted them to figure out what is up, it's like talking to someone who's never heard of the case. I've requested status updates and instructions in writing regarding how to remedy the situation but have only received threatening letters.
This has been going on for months now. Right now I fed up and very angry. I provided all documentation requested (via certified mail even) and have a contract stating that I am not liable for that balance. Even in the most innocent possible case (say a clerical error at either the insurance company or the bank), that would justify a letter saying "please double check x, y or z", not this sort of harassment. Does this subject sound like a case? If so should I go to small claims or hire an attorney?
Sorry for the repeat post (in the debt collection section)... this question applies to both subject areas. Thanks!
I bought a car several years ago. At the time of the sale, I purchased guaranteed asset protection (GAP) insurance. This is a form of insurance that will cover any balance left on your loan if your car is in an accident and declared a total loss before the loan is up.
This agreement came in the form of an amendment to the original contract (on which the bank I'll be discussing is listed as "lien holder"). This contract says in no uncertain terms that in the event the car is deemed a total loss that
"you will be responsible for paying only the following to the lien holder: the value of the vehicle (from auto insurance estimate), any deductible over $1,000, plus finance charges only in the event that they exceed 150% of the vehicle's value"
None of those cases apply to me. Furthermore, it says right under this that "this contract amendment is binding on any lien holder"
Now I got in an accident in which the car was a total loss and notified the bank that I the remaining checks would be coming from my auto and gap insurance companies. The bank received the check (along w/ information on the adjusting) from my collision insurance company but not the GAP check. Then the phone collection calls started. I told them I had a contract that said I was not liable for that amount.
Eventually I talked to the bank's "insurance specialist" and sent both this person and the GAP company copies of all the paperwork and a letter which included the contact info for myself the insurance company and the "specialist" (this included copies of the contract).
However, months later I still get the calls. Every time I contacted them to figure out what is up, it's like talking to someone who's never heard of the case. I've requested status updates and instructions in writing regarding how to remedy the situation but have only received threatening letters.
This has been going on for months now. Right now I fed up and very angry. I provided all documentation requested (via certified mail even) and have a contract stating that I am not liable for that balance. Even in the most innocent possible case (say a clerical error at either the insurance company or the bank), that would justify a letter saying "please double check x, y or z", not this sort of harassment. Does this subject sound like a case? If so should I go to small claims or hire an attorney?
