What Your Credit Union Needs to Know About GAP Waivers in 2022
Guaranteed Asset Protection (GAP) is attractive to members as a vehicle protection product. But what happens after the product is sold? Credit unions are grappling with the growing legislation around the life cycle - particularly the cancellation - of this product. While credit unions are being required to accept this responsibility, what this looks like varies state-to-state. Each state has different requirements for refunding the member and there is confusion on the measures for calculating the refund amount, only adding to the complexity of this process.