Debt Cancellation Coverage
Voluntary Debt Cancellation Coverage Addendum is an alternative to Comprehensive and Collision Insurance that is accepted by our Finance Company. DCC is only offered to Qualified Customers.
In the event of a total loss to the collateral, the payments due are cancelled.
Not all customers qualify for Debt Cancellation Coverage.
Ask your Representative about qualifying for this benefit.
Frequently Asked Questions
Is this Insurance? No, it is an agreement between you and the Finance Company.
Is there a Deductible? No.
Do I need Liability Insurance? Yes, The State requires Liability Insurance.
Does DCC include Liability Insurance? No, you must obtain liability insurance from an insurance company.
Will it fix my car? No, Comprehensive and Collision Insurance will cover repairs, but generally costs more than DCC. DCC cancels your debt on a total loss.
Can I cancel DCC? Yes, if you purchase Comprehensive and Collision Insurance that meets the finance terms as stated in the credit agreement.
How will I pay for it? DCC will be billed with your normal vehicle payments.
Will I save Money? Yes, normally it is less costly than having Comprehensive and Collision Insurance.
Terms
VOLUNTARY DEBT CANCELLATION COVERAGE ADDENDUM is an Addendum to the RETAIL INSTALMENT CONTRACT OR PROMISSORY NOTE AND CREDITOR / BORROWER AGREEMENT that is between the parties in the Finance Document and amends and supplements the Finance Document:
COVERAGE. In the event of a TOTAL LOSS to the COLLATERAL, and compliance by Buyer/Borrower with the LOSS DOCUMENTATION PROCEDURES, the payments due from Buyer/Borrower to the Creditor will be credited (cancelled) in an amount equal to the LESSER of the NET PAYOFF or the actual dollar amount of the LOSS of the COLLATERAL as determined in good faith by Administrator. Buyer/Borrower will continue to remain responsible for payment of any items stated on the reverse side of the contract under EXCLUSIONS No credit or consideration will be given or paid to Buyer/ Borrower if the ACV exceeds the NET PAYOFF on the date of LOSS, which credit or consideration, if any, is expressly waived by Buyer/Borrower.
CANCELLATION: You may cancel this Addendum if you purchase Comprehensive and Collision Insurance (“C & C Insurance”) on the COLLATERAL from an alternative source reasonably satisfactory to Creditor. To do so, you must return to the Creditor, sign a Cancellation Request Form and provide verifiable proof of C & C Insurance reasonably satisfactory to Creditor, naming Creditor as loss-payee/additional insured. We reserve the right to cancel this Addendum for non-payment or for intentional misrepresentation in obtaining it, or if the COLLATERAL is determined to be ineligible or excluded from coverage.
YOU ACKNOWLEDGE AND AGREE THAT YOUR ACCEPTANCE OR REJECTION OF THIS PROGRAM IS
VOLUNTARY AND IS NOT A CONDITION PRECEDENT TO, OR A CONSIDERATION REQUIRED TO OBTAIN CREDIT.
THIS IS A SUMMARY OF THE DEBT CANCELLATION CONTRACT.
PLEASE READ CONTRACT FOR ALL THE TERMS.
GAP Insurance
Coverage for the amount you owe on your vehicle that the insurance company does not cover.
Affordable
For minimal cost you can protect yourself from being upside down in a vehicle and make it easier to purchase your replacement vehicle.
Deductible coverage
Covers your primary vehicle deductible up to $500 or $1000.
Flexible coverage up to 72 months
Purchase coverage for the full term of your loan or for the period of your loan when you have the most risk.
Coverage for multiple risks
Coverage for total loss of your vehicle as defined by your primary insurance carrier. Examples include collision, fire, flooding, hail, theft, natural disasters.
GAP Insurance covers you for the difference between what you owe and what your vehicle is worth.
