Somebody hit and totaled my car while I was sleeping in my apartment and got away . The regular full coverage insurance covered for everything but then Toyota financials sent me a check of 700 that says customer refund gap ref
Im confused , I thought it was used ??
Toyota sent me a check about a refund from gap insurance , and I’m wondering how is it possible that I qualify, because to my knowledge it was used to pay what I owed on the car ??
byu/WaterproofMX5 inInsurance
Posted by WaterproofMX5
4 Comments
Wouldn’t it make more sense to call the people that sent you the check and ask that question rather than ask strangers on the internet who can only speculate?
Because GAP is only used if you have equity left on the loan. For example, my Accord right now worth about 25k, but I owe Honda Financial 29.5k. If I got into a total loss situation today, my insurance (Mercury) would give me 25k, but then without GAP, I would be out of my own pocket the 4.5k, but then if I have GAP, then GAP would cover the rest of the loans.
Since the check from your insurance cover the entirety of the loan, that is why GAP was not used and you get a refund back.
Could be a refund.
Could be overage if you made car payments between the date of loss and the settlement date.
Could be something else.
Only Toyota knows. You’ll have to call them.
When you got your loan with gap insurance your gap insurance provider was paid in full up front and then the amount was split up as part of your monthly payments. When your car is paid off early you get a refund on the unused months. Every car I’ve ever paid off early I got a refund check.