I just totaled my car, I only have liability, bank has insurance I pay for what does this mean?



I only had liability when I totaled my car recently. I found out today that the bank put insurance on the car and was charging me for it. Does this mean that I am gonna be able to get a new vehicle? Or does this mean that it only covers the loan an I’m left w out a vehicle?

7 Replies to “I just totaled my car, I only have liability, bank has insurance I pay for what does this mean?”


  1. yes the insurance will only pay off the loan . If the accident was your fault you are out of a car and you will have to buy another one. you get nothing from the bank or the insurance company.


  2. i think it will pay for the remaining owed on the car and what is left on the blue book value will go to u i am not sure and also dont listen to the other person that responded to the question they seem like an a** i know how it is to not have the money for full coverage lol


  3. If the bank placed forced insurance on your vehicle, it’s only going to cover their interest in the vehicle. You are going to have to buy a new vehicle on your own.



  4. You’ll never get another loan from that bank, since technically you defaulted on it by not having full coverage insurance. What were you thinking? You are now car-less, with nothing to show for all the money you put into it. The only thing the bank is interested in is recovering THEIR loss, not yours.


  5. No, it means under the requirements of your loan, you should have named the bank as loss payee and kept full insurance on the car. Apparently you neglected to do this and only had liability, so they added vendor’s single interest insurance to your loan to protect themselves and billed you for it, thereby protecting their interest.

    If indeed it is totaled, the bank insurance will pay the bank, not you, fair market value for the vehicle. If that doesn’t cover your balance (chances are it will not), you will be responsible for any remaining balance.

    You will be without a vehicle, and will probably have a balance to pay.

    I’d suggest next time you have proper coverage if you finance again, and you might consider getting GAP insurance which would cover the difference between balance due and market value in the case of a total loss.





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