How do finance companies handle total car accidents?

My car was totalled in an accident.


I was blessed to be able to walk away.





I had full coverage; but I don't know how the finance company handles things.


Will they take the insurance check?


Will they help me get a new car?





The car was used and I have only made one payment.

How do finance companies handle total car accidents?
No, they won't help you get a new car. If they decide your car is totaled after the adjuster looks at it, they will issue a check to the lender for the fair market value of the car. If that is less than the amount you owe you will need to keep making payments until the balance reaches zero, unless you have GAP coverage. GAP coverage will pay the difference between what you owe and what you get from insurance. Of course if you were at fault, and your collision is covering, the check will be less the amount of deductible if any.





Your best source of answers to any questions you might have will be your insurance agent.
Reply:Check your policy, find out what the maximum coverage they offer in case of total collision....a few years ago I totaled my truck out, I had it less then a year, the insurance covered 15,000, but left me owing 3,000. And as it turned out, since I was using the same finance company to cover my car, they were legally able to repo my car- which I wasn't behind on- to cover the 3 grand.





I'd definately find out how solid your policy actually was....
Reply:Report it to your insurance company and they'll let you know exactly what they need. They pay actual cash value under normal circumstances. They will contact your finance company, get a payoff. If the value is less that the payoff, your gap insurance will handle the rest. If you don't have gap insurance, your responsible for the money left on the loan.





If you were financed once, they should help you with a loan again.
Reply:Filing auto accident insurance claims is quite tedious. But to get your compensation for the accident, it is a necessary procedure - so you might as well go about it in the fool-proof manner described here.Uncertainty finds an innate part in human life. Being human being, we are never aware of crisis caused by occurrence like accident%26lt;!--What we can do is to make ourself be prepared to face the worse in the way that it has minimum effect upon us.Accident Insurance is one such way helping us to act as comforting hand when we suffer from misfortunate happening of accident.Whether you are travelling a long way or just to your next market place, the probability to meet up with an accident remains same. Besides, car accident, air crashes and rail accidents have become news of everyday. You may get your answer in the below website.





http://bestcarinsurance.awardspace.com/





And, if you ever fall prey to such accident, having an insurance helps you alleviating the financial burden during such tragic moments. People who are still unaware of what Accident Insurance is, they can understand in simple term that by availing the insurance facility, you are paid a certain amount of money by insurance company as compensation--%26gt;Generally,the insurance covers mishaps like organ loss like hands, eyes and legs, death in air, rail and car accident. The principal sum paid to a family ranges from $25,000 to $1,00,000. But you are excluded from being paid the amount if accidents persists due to drunken driving and trying risky sports like bungee jumping, car racing, skiing, scuba diving, etc.