GAP CLAIM

[crispbreeze]

Jurisdiction

Massachusetts

I totaled my car on January 21,2017 and the insurance company was fairly quick to pay the value of the car to my lender. They also sent my lender the information required for the gap claim on January 30th. To this day i have been waiting for my lender to get back to me with information and have not heard anything so i decided to call Allied solutions. Upon getting in contact with them they notified me that my claim had been denied with the reason being i don't have gap insurance through them. So i go to my lending company and ask them whats going on because the paper work i signed stated i had gap and no one has been getting back to me since January and when i call or email no one responds. This has become a huge hassle and inconvenience to me because having this car on my credit makes it hard for me to finance another vehicle. I guess my question is do i have any basis to sue my credit union?

 

[adjusterjack]

do i have any basis to sue my credit union?

Hard to tell.

When you bought the car did you pay for GAP coverage? By that I mean look on your purchase contract and see if there was a separate charge for GAP coverage.

If you didn't buy it that way, then exactly how did you buy it? From an insurance company? From the credit union? How did you pay for it? Do you have any evidence of paying for it?

 

[mightymoose]

If you have documentation that you purchased gap insurance then you certainly have an argument to make.
Before going to court I'd make a personal visit to an insurance office and put a copy of the document in front of them. Also start writing letters and keeping copies rather than making phone calls. You want dated documentation of everything.
It's been a few months, certainly you can be patient a little longer for letters to be exchanged.

As for your credit, is it reporting as negative? If so you can contact the reporting agencies and enter a short comment explaining the discrepancy that potential creditors will see.

 

[crispbreeze]

I do have the contract showing that i did purchase it and as of right now my credit is taking a hit.

 

[adjusterjack]

I do have the contract showing that i did purchase it

You didn't answer my questions so let's try again.

Contract with who?
Purchase from whom?
How did you pay for it?
Do you have evidence of payment?

 

[crispbreeze]

You didn't answer my questions so let's try again.

Contract with who?
Purchase from whom?
How did you pay for it?
Do you have evidence of payment?

Contract with the credit union
purchased through the credit union but they use allied solutions as a provider
it was rolled into the loan
my evidence would be the loan paper work.

 

[mightymoose]

Your credit issue should be addressed as soon as possible.
The credit union has the means to twice any negative marks that should not have been retorted.
Id by taking a copy of the documents to anyone I could put it in front of.
Insurance says you don't have gap so take this issue to the bank.... Physically go to the bank.

 

[adjusterjack]

Contract with the credit union
purchased through the credit union but they use allied solutions as a provider

OK. That answers part of it.

it was rolled into the loan
my evidence would be the loan paper work.

Now, where on that contract does it say you bought GAP coverage?

Please read the contract and quote the numbers for the answers to the following.

What I'm getting at is does it say car loan X dollars and GAP coverage Y dollars and total loan XY dollars? Something like that.

Or is there just one amount for the loan amount?

If there is just one amount for the loan amount you will need some other documentation that you bought GAP coverage.

 

[army judge]

I guess my question is do i have any basis to sue my credit union?

Yes, you can sue anyone, alleging anything.
However, lawsuits take time, especially in large urban areas, located in populous states.
You now need to start playing detective.
You have to find out where your GAP insurance payments have been going for the weeks, months, or years you had the car.
You also need to determine IF any GAP payments were made.

Once you discover that 40 payments were made to PROTECTING YOUR STUFF INSURANCE CO., in Denver, CO, you can begin to unravel this mystery and maybe get the pay out finalized.

You might discover that NO payments were ever made, because no deductions were taken from your accounts, or the GAP insurance wasn't ever included in the deal.

I suggest you dig out all the DEAL papers and start reading.
Your answers or clues are probably hiding in that mound of documents.

 

[crispbreeze]

Thanks for everything i will take a look at the documents which i don't have with me right now and get back to you if i have any further questions.

 

[txls]

Go to the credit union in person with your documentation and sit in front of someone until it is resolved to your satisfaction.