| In a perfect world, a finance manager, business | | | | to pay $7,000 while the driver still owes $11,000, gap |
| manager, or whatever title is given to the person in the | | | | insurance is designed to cover it. Without gap, the |
| back that prepares paperwork will be just that: the | | | | insurance company will be forced to leave the |
| person that prepares paperwork. | | | | remaining $4,000 to be paid out of the customer's |
| In the real world, the finance manager is probably one | | | | pocket. |
| of the best and most persistent salespersons the | | | | Usually ranging from $300-$700, it is a good |
| consumer will ever meet. | | | | investment for consumers who (1) finance vehicles |
| They aren't necessarily bad people. Most are | | | | without securing equity by putting a lot of money or |
| exceedingly friendly and professional, dressed to | | | | trade equity down on the car, (2) drive more than 10k |
| impress and possessing an easy way that puts people | | | | miles per year, and/or (3) purchase new vehicles, |
| at ease. To a car dealership, the finance manager is | | | | especially high dollar ones. |
| the last and best chance the dealer has to make | | | | EXTENDED WARRANTIES |
| money on a vehicle sale. | | | | Not all warranties are created equal. A consumer who |
| There are dozens of methods that the finance | | | | plans on keeping a vehicle beyond the factory |
| manager can make money from you. The good part is | | | | warranty should strongly consider an extended one. |
| that not all of the ways are bad and not all of the | | | | Research beforehand into some extended warranties |
| products that they will offer are rip offs. In most cases, | | | | available online for the vehicle you are considering. |
| though, some of the offerings are just not worth the | | | | Know the cost, deductible, what is and isn't covered, |
| money the consumer will pay. | | | | and whether a prorated balance is refundable if the |
| Instead of going over the details of the different | | | | vehicle is traded, sold, or totaled. |
| products and suites that aren't really worth it, here is a | | | | Armed with this knowledge, it should be easier to get a |
| short list of items that a consumer should really | | | | good deal on a good warranty, whether it's the one |
| question and investigate before purchasing: | | | | that the finance manager offers or a separate one. |
| Undercoating, paint sealant, oil change plans, VIN | | | | CREDIT LIFE AND DISABILITY |
| etching, scotch guard, preowned vehicle leasing, | | | | Most life insurance policies are designed to help with |
| personal vehicle insurance, and tires for life. | | | | cost of living. Debt should not be paid through standard |
| There are others that are somewhat legitimate like the | | | | insurance. |
| ones listed above, and there are some that are | | | | In case of tragedy, having a credit life and disability plan |
| downright scams, but we're here to focus on the | | | | will help to pay off the balance of a vehicle loan. There |
| potentially good ones. | | | | are few things worse after dealing with a tragedy than |
| Dealerships such as Oklahoma City Ford Dealers and | | | | to find that the loved one also left major bills and debts |
| other honest dealers around the country offer a basic, | | | | behind. |
| short list of products that consumers should consider: | | | | Final Thoughts |
| GAP INSURANCE | | | | Not all "bad" items are that bad. Some may fit into a |
| Some call it a scam, but most who have totaled a | | | | consumer's needs. Not all "good" finance items are |
| vehicle with a lien on it can attest to the wonders of | | | | good, either. The key is to do the research before |
| Gap Insurance. In essence, it covers the "gap" | | | | getting caught off guard by a finance manager ready |
| between what a vehicle is worth and how much is | | | | to spray a $20 can of Scotch Guard in your new or |
| owed when a car is totaled. For example, if someone | | | | used car for an additional $179. |
| totals their vehicle and the insurance company agrees | | | | I hope it helps. |