Frequently Asked Questions

Insurance
Q. Why isn’t liability insurance enough protection for me?
Q. Can I insure my car under another person’s name?
Q. If I have a wreck and the insurance company “totals” the car, will this end my loan obligation?
Q. If my insurance company agrees to pay for the cost of repairs to my vehicle in the event of an accident, and they issue a check and make it payable to SNAAC and me, what do I do with it?
Q. What is GAP Insurance?
Q. What is CPI or Collateral Protection Insurance?
Q. What is Forced Place Insurance?

Repossessions
Q. At what point can I face repossession?
Q. Will repossession damage my credit? How so?
Q. Is a voluntary repossession any less damaging to my credit than an involuntary repossession?

Vehicle Relocation
Q. What is the protocol for taking my vehicle overseas?
Q. What should I do with my vehicle if I am deployed or at sea for an extended period of time?
Q. Who pays for my vehicle to be shipped if I am facing Permanent Change of Duty Station within the continental U.S.? Overseas?
Q. How do I register my car in a new state if I relocate?

Administrative
Q. How often will I receive a billing statement? What do I do if I don’t receive one?
Q. How do I know if I have a warranty on my car?
Q. If I do have a warranty, how will I know what types of repairs will be covered?
Q. If I marry and change my name, how do I change my name on the loan?
Q. Do I qualify for protection under the SCRA?

Other
Q. What is the difference between “Registered Owner” and “Legal Owner”?
Q. Can I sell my car or sign over the title to another person?
Q. Can I let another person take over or assume the payments?
Q. What does “Breach of Contract” mean?
Q. How can I get out of my signed contract if I later change my mind?
Q. Can I have someone added to my loan after the fact?

Payments

Q.   Why are my payments made electronically?

A.  Whether you are in the military or a civilian customer, Security National wants payment to be made electronically.  This process is convenient and the most efficient and timely payment method.  Military customers are expected to pay via allotment until the loan is paid in full.  Civilian customers, or those that exit the military, are expected to make payments through a bank account draft.


Q.  What should I do if I fall behind in my payments?

A.  On occasion, there may be a circumstance when you will not be able to honor your obligation.  Security National representatives will actively attempt to contact you if your payment is one day late.  Our representatives are trained to resolve delinquent accounts in a manner that is professional and timely.  It is our position that you should seek our assistance should this unfortunate circumstance arise.


Q.   If my car is broken down, do I still have to pay for it?

A.  Security National does not believe that vehicle condition is a factor to consider when the time comes to make your payment.  As your finance company, we were not part of the sales process, nor are we aware of the vehicle’s condition.  The selection you make in choosing your vehicle, and the attention you give your vehicle will help retain its value and condition.  Used vehicles vary in condition and value. We assume your obligation to make timely electronic payments will be met despite any potential problems that may occur.


Q.  Can I defer payments to the end of my loan?

A.  Security National does not defer payments.  Each electronic payment is expected to be made monthly no later than your due date. 

Insurance

Q.  Why isn’t liability insurance enough protection for me?

A.  SNAAC contracts require full coverage insurance in case the car should be wrecked, totaled, or become mechanically inoperable.  Our collateral, the vehicle, must be insured. 


Q.  Can I insure my car under another person’s name?

A.  Yes. SNAAC must be supplied with the policy number as well as the name, address, and phone number of the person whose policy the vehicle is covered under. 


Q.  If I have a wreck and the insurance company "totals” the car, will this end my loan obligation?

A.  In most instances there will still be a balance due on the account for which you are liable to pay.  You can do this by continuing your scheduled monthly payments.


Q.  If my insurance company agrees to pay for the cost of repairs to my vehicle in the event of an accident, and they issue a check and make it payable to SNAAC and me, what do I do with it?

A.  You must send that check to SNAAC after you have endorsed the check.  Once we receive an invoice from the repair shop for the repairs, we will forward that check to them.


Q.  What is GAP Insurance?

A.  This insurance is designed to cover the difference between what an insurance company will pay in a claim and the balance due on your loan.  This is used when your vehicle is totaled.


Q.  What is CPI or Collateral Protection Insurance?

A.  This insurance is issued through Premier Insurance and covers Comprehensive and Collision on your vehicle.  It does not cover liability, which is required by your state.  You must purchase liability separately.


Q.  What is Forced Place Insurance?
A.  If you fail to maintain full coverage insurance on your vehicle, it is our option to Force Place insurance on your loan.  The premium is added to your loan balance.  Force Placed insurance covers comprehensive and collision coverage only.  Liability insurance is not included.

Repossessions

Q.  At what point can I face repossession?

A.  You could face a possible repossession by falling into one or more of the following scenarios:
1.  Your payments fall delinquent.
2.  Insurance coverage lapses.
3.  Having a second lien placed against vehicle.
4.  Vehicle considered to be in jeopardy.


Q.  Will repossession damage my credit? How so?

A.  Yes, a repossession can hinder you from obtaining future loans and SNAAC will report a repossession to all major credit bureaus.  It will remain on your credit report for approximately 7 years.


Q.  Is a voluntary repossession any less damaging to my credit than an involuntary repossession?

A.  No, any type of repossession indicates the original loan obligation was not honored in full as agreed.

Vehicle Relocation

Q.  What is the protocol for taking my vehicle overseas?

A.  The following criteria must be met  before SNAAC will grant permission for you to relocate your vehicle overseas:
1.  Minimum 12 consecutive month payment history via military allotment or electronic bank draft.
2.  Provide copy of your transfer orders to SNAAC.
3.  Provide copy of your most recent accurate ETS date.
4.  Provide proof of overseas and U.S. insurance.
5.  Provide four personal stateside references.
6.  Confirm length of tour of overseas duty.


Q.  What should I do with my vehicle if I am deployed or at sea for an extended period of time?

A.  All vehicles should be stored/parked in a safe, secure location.  There are parking areas available on most military installations and Comprehensive coverage will suffice.  If your vehicle will be stored at an alternate location other than a military installation, you must supply SNAAC with the location and address of the storage facility and Full Coverage insurance must remain in place on the vehicle even when stored for extended periods.


Q.  Who pays for my vehicle to be shipped if I am facing Permanent Change of Duty Station within the continental U.S.? Overseas?

A.  Within CONUS, you are responsible for all transportation costs incurred in relocating your vehicle unless otherwise stated in your change of station orders. For overseas transfers, your orders will state whether the government will authorize the shipment of your vehicle overseas.  If authorization is granted you must obtain a letter of consent from SNAAC.


Q.  How do I register my car in a new state if I relocate?

A.  Some states require a copy of the title to register the vehicle.  If you relocate to another state and need a copy of your title, you will need to contact the title department at (800) 995-0591 ext 13.  Some stipulations may apply.

Administrative

Q.  How often will I receive a billing statement? What do I do if I don’t receive it?

A.  If your account is current on payments, you will receive a statement once per quarter.  If your account is delinquent, you will receive a statement once per month.  If you do not receive a statement and you should have, you can call our office and it will be sent to you on the 22nd of the month.


Q.  How do I know if I have a warranty on my car?

A.  Your warranty will be disclosed in your loan contract which you should have received when you closed your loan.  If you do not have a copy of your contract, you can call SNAAC to find out if you have a warranty.


Q.  If I have a warranty, how will I know what types of repairs will be covered?

A.  You will need to contact the warranty company directly for any repairs to be completed before the work begins.


Q.  If I marry and change my name, how do I change my name on the loan?

A.  If you send us a copy of your marriage license, we will hyphenate your name in our computer system.  However, the name on your title and contract will not change.


Q.  Do I qualify for protection under the Serviceman's Civil Relief Act?

A.  In most cases, the only people eligible for the SCRA protection are customers who purchased their car loan prior to entering active duty.  Usually they are part time members of the military Reserves or National Guard which get called to full time active duty.  Specific questions regarding SCRA eligibility should be directed to your military liaison office.

Other

Q.  What is the difference between “Registered Owner” and “Legal Owner”?

A.  The “Registered Owner” is the person who purchased the vehicle.  The “Legal Owner” is the financial institution that holds the lien against the car until the loan is satisfied.


Q.  Can I sell my car or sign over the title to another person?

A.  Automotive loans with unsatisfied liens cannot be legally sold or titled to other parties without the consent of the financial institution that holds the lien.


Q.  Can I let another person take over or assume the payments?

A.  No, the person who obtained the loan is responsible for the terms of the loan until it is satisfied.


Q.  What does “Breach of Contract” mean?

A.  “Breach of Contract” is when certain or specific contractual stipulations were not satisfactorily honored by the registered owner.


Q.  How can I get out of my signed contract if I later change my mind?

A.  Once your SNAAC contract is finalized it may not be rescinded.


Q.  Can I have someone added to my loan after the fact?

A.  No, SNAAC is not authorized to alter a contract in any form once it is finalized.