the big problem with Gap Insurance !
If you buy gap insurance on a new RV you are acknowledging right from the purchase that you owe more than it is worth ! Why would you buy and finance something that has less worth the instant that yo...
Forum Discussion
beemerphile1 wrote:4x4van wrote:
I always wonder about anyone who questions my spending/recreation habits, since it has absolutely zero effect on them. How is my RV loan or my choice of toys or my style of camping any of their business?
The topic of the thread is gap insurance which is purchased to protect one when they are upside down on a loan. I personally don't care what you or anyone does.
I offered an alternative to gap insurance which is to get what you can actually afford to purchase. Being able to meet a monthly payment on a vehicle that is worth less than you owe, is not the definition of being able to afford something.
That is not entirely accurate. Make a bad deal on a heavily depreciated item can yield a gap even with a large down payment in the early periods. I equate the very risk adverse purchasing gap insurance in much the same way the cash crowd is willing to forgo investment returns for no payment. Neither situation is necessarily right or wrong and both have their risks and rewards.
