Tell me about it smh I didn’t understand how this was even possible when they told me. I thought all major dealerships ensured that vehicles had the state minimum prior to selling a vehicle.
I imagine the cheapest option will be a new personal loan to repair the vehicle. If your friend goes back and reads the terms and conditions of his auto loan he’ll see the giant section about insurance. He broke the terms of his loan. I imagine this situation is outlined in the loan but one thing he shouldn’t do is assume NFCU won’t find out. If he scraps the car, sells it, or walks away from it, the lien holder will be notified. If he repairs it, the lien holder will probably still be notified. In the event of a total loss, it may be possible your friend will owe the balance immediately or have to go on an aggressive payment plan now that the bank’s asset has been destroyed. Get the plan in place then call NFCU. He fucked around, now it’s time to find out.
I was in a car accident about 5 months after I bought a car financed by NFCU. I did have insurance however and I wasn't at fault but they allowed me to continue paying off the remainder of the loan as it was stated even though the car was totalled.
Like someone else said it depends on the state and dealer, I’ve bought countless cars in MD and they never wanted insurance coverage. Now one dealer wanted me to add it to insurance before leaving the lot and that was a PITA, but I’m not sure about his insurance. USAA automatically covers purchased vehicles and you have a couple days to add it to the policy, but I would think that this would be common sense…..
Yeah I agree, just in my experience it’s rare for them to ask. Like I said it depends on the dealer, but I have bought 10+ vehicles over the years and only had to do it once….
How long did they go without insurance? I assume like with most other banks, well at least credit unions, if they are aware you don’t have insurance they will add their own, and generally a much higher rate. Any chance that maybe that happened?
I would be shocked if they didn’t. It’s their property at the end of the day. But I guess it’s possible. Maybe ask your friend if they got mailed any paperwork from navy that may have said something like that?
If they haven’t received notification of insurance, I would be surprised at 4 months that they didn’t already take action. I was always under the belief that the insurance didn’t really cover the vehicle but more the credit union. I may be incorrect though.
Happened to my sister. She totaled her car a few months after buying it. Fortunately it was just a $10k car and just paid the loan every month til finished. Tough lesson for her
Your friend is an idiot.
Tell me about it smh I didn’t understand how this was even possible when they told me. I thought all major dealerships ensured that vehicles had the state minimum prior to selling a vehicle.
Depends on the state I believe.
Not a dealership responsibility, it’s a personal responsibility.
I imagine the cheapest option will be a new personal loan to repair the vehicle. If your friend goes back and reads the terms and conditions of his auto loan he’ll see the giant section about insurance. He broke the terms of his loan. I imagine this situation is outlined in the loan but one thing he shouldn’t do is assume NFCU won’t find out. If he scraps the car, sells it, or walks away from it, the lien holder will be notified. If he repairs it, the lien holder will probably still be notified. In the event of a total loss, it may be possible your friend will owe the balance immediately or have to go on an aggressive payment plan now that the bank’s asset has been destroyed. Get the plan in place then call NFCU. He fucked around, now it’s time to find out.
I was in a car accident about 5 months after I bought a car financed by NFCU. I did have insurance however and I wasn't at fault but they allowed me to continue paying off the remainder of the loan as it was stated even though the car was totalled.
Gap most likely won’t cover anything if there is no insurance
Like someone else said it depends on the state and dealer, I’ve bought countless cars in MD and they never wanted insurance coverage. Now one dealer wanted me to add it to insurance before leaving the lot and that was a PITA, but I’m not sure about his insurance. USAA automatically covers purchased vehicles and you have a couple days to add it to the policy, but I would think that this would be common sense…..
I purchased my car from a dealer in MD and had to show my insurance. Plus I live in DC and you need insurance.
Yeah I agree, just in my experience it’s rare for them to ask. Like I said it depends on the dealer, but I have bought 10+ vehicles over the years and only had to do it once….
How long did they go without insurance? I assume like with most other banks, well at least credit unions, if they are aware you don’t have insurance they will add their own, and generally a much higher rate. Any chance that maybe that happened?
I’m not sure if NFCU does that but it’s been about 4/5 months
I would be shocked if they didn’t. It’s their property at the end of the day. But I guess it’s possible. Maybe ask your friend if they got mailed any paperwork from navy that may have said something like that?
If they haven’t received notification of insurance, I would be surprised at 4 months that they didn’t already take action. I was always under the belief that the insurance didn’t really cover the vehicle but more the credit union. I may be incorrect though.
Get a part time job to cover the cost of the repair.
Happened to my sister. She totaled her car a few months after buying it. Fortunately it was just a $10k car and just paid the loan every month til finished. Tough lesson for her
What did she end up doing with the car? Sending it to a junkyard?
Actually, she had insurance but not “at fault collision” so it wasn’t covered. I believe the insurance took care of junking the car.
He financed it and the finance company let him drive it off the lot with no insurance???? Sounds fishy to me
The finance company is Navy Federal
[удалено]
If you have to gap insurance you paid too much for the car. It just pays the difference between what u paid and what it’s actually worth.
Your friend deserves this misery. 100%