If you're looking into this, you're probably not having a great day; we're bummed for you and hope to help however we can.
So what is it?
A Letter of Guarantee is normally something you're dealing with when your car is, well, totaled. It's when your vehicle insurance company has declared a "total loss" because of an accident or if it's been stolen and hasn't been found.
- The insurance company sends this letter to the company financing the vehicle.
- Andigo or a bank (called the Lien Holder or Loss Payee in this scenario), which will state the dollar amount that the insurance company is willing to pay the financial institution for the vehicle (usually the average retail value of the vehicle minus the insurance deductible).
- Or it will request a loan payoff amount from the financial institution.
What if the amount the insurance company pays is not enough to cover the loan balance?
Well, then you, the borrower, is required to continue paying on the loan. Not awesome, but the way of the world sometimes.
The letter will ask for two more things:
- The financial institution guarantee it will release its lien on the vehicle title and send the title to the insurance company once the claim payment is processed.
- A copy of the vehicle title.
Once we send the title, they'll send the funds which we'll apply to the loan and if anything's remaining that you'd need to pay, we'll let you know.
If you need one, please have your insurance company fax a request to Andigo Lending Services at 847.538.4563
or email it to firstname.lastname@example.org