Gap

Don’t Get Left in the Financial Dust: Understand GAP Coverage

At Capital Auto Sales, we help you get behind the wheel of your dream car. But we also want to make sure that if the unexpected happens, you aren’t left paying for a car you can no longer drive. That’s where Guaranteed Asset Protection (GAP) comes in.

The Hard Truth About Depreciation

Here is a fact that most buyers don’t realize: The moment you drive a your new car off the lot, its value drops.

This is called depreciation. However, the amount you owe on your auto loan doesn’t drop nearly as fast. This creates a “gap”—a dangerous blind spot in your finances.

What Happens If Your Car Is Totaled?

Imagine this scenario:

1. You buy a car from  Capital Auto Sales for $25,000.
2. Six months later, you are in an accident, and the insurance company declares the car a total loss.
3. Your insurance company checks the current market value. Because of depreciation, they determine the car is now only worth $19,000. They send you a check for $19,000 (minus your deductible).
4. The Problem: You still owe $23,000 on your loan.

You are now stuck with a $4,000 “gap.” You have to pay that $4,000 out of your own pocket to satisfy the loan, and you have no car to show for it.

How GAP Coverage Protects You

GAP insurance is designed to cover that exact difference.

In the scenario above, GAP coverage would pay that $4,000 gap for you. It pays off the remaining loan balance so you can walk away debt-free and start fresh.

The Value of Adding GAP at Capital Auto Sales

Purchasing GAP coverage through us is a small investment that protects you from a potentially devastating financial loss.

• Protects Your Down Payment: Did you put $2,000 down or trade in a vehicle? GAP ensures that equity isn’t completely wiped out by an accident.
• Essential for Low Down Payments: If you financed 100% of the vehicle cost, you are “upside down” from day one. GAP is critical for you.
• One-Time, Low-Cost Safety Net: For a small addition to your monthly payment or a low one-time fee, you eliminate the risk of being buried in debt for a car you no longer own.

Ask Us About GAP

The team at Capital Auto Sales wants you to drive happy, but we also want you to drive smart. Before you sign your final paperwork, ask a member of our finance team to explain exactly how GAP applies to your specific loan terms.

Drive with pride. Protect with confidence. Only at Capital Auto Sales.