Close the gap. Stay protected.
Guaranteed Asset Protection covers the difference between your loan balance and your car's actual value if it's totaled or stolen.
Get My RateWhat Is GAP Coverage?
Your loan vs. your car's value — GAP bridges the difference.
Guaranteed Asset Protection (GAP) covers the difference between what you owe and what your car is worth. GAP helps borrowers and lenders avoid financial loss by waiving all or a portion of the deficiency between your auto loan payoff amount and the actual cash value of your vehicle in the event it is totaled or stolen. Having GAP protects you against a potential financial burden and safeguards your hard-earned credit.
Get My RateIs GAP right for you?
Consider GAP coverage if any of these apply to you:
- You financed a car beyond a 60-month term
- Negative equity was rolled into the new loan from a past auto loan
- Your down payment was less than 20 percent
How GAP Works
Protection against unexpected losses.
GAP Protection is meant to protect you against unexpected losses, typically saving the borrower thousands of dollars in a total loss. GAP waives the difference between your outstanding loan or lease balance and the actual cash value of your vehicle on the date of loss — so you're not left paying for a car you can no longer drive.
Out-of-Pocket Loss Without GAP
Paying for a car you can no longer drive.
Without GAP protection, you may have to keep paying on a vehicle you can no longer drive. It can be very difficult to get a new auto loan with an existing, unsettled auto loan balance still on your credit file. This unpaid balance is typically thousands of dollars for the average consumer.
Millions of vehicles are totaled each year by collision, theft, and natural disasters. Customers are often surprised to learn that their auto insurance settlement is thousands of dollars less than what they owe on their auto loan or lease. Loans longer than 4 years or that included less than a 20% down payment are at even greater risk.
Add GAP when you finance or refinance · Quick and easy
Don't leave yourself exposed.
Ask about GAP coverage when you finance or refinance with Gravity Lending. It takes just minutes to add and could save you thousands.
Or call us at 888-602-1125