Mid Hudson Valley Federal Credit Union Purchase Gap Ins....We Garentee not to Cover!!!!!! Kingston New York

My husband and I financed a car through the Mid- Hudson Valley Federal Credit Union. We put 1500.00 down on the loan. Included in the car loan we purchased an extended warrenty. Befor we even signed papers we made sure we purchased gap insurance for the loan. Three months later we were involved in a weather related accident and the car was totalled. Our insurance company paid the value of the car. But there was a balance of 1,500 dollars (plus a 500.00 deductable) on the loan. Weeks after I filed a gap insurances claim with the bank they denied my claim. Saying "we would cover the car, but gap insurances doesent cover a warenty." or sometimes when I called i would hear "We have no record that you even had gap insurance on the loan."

So we had to by another car which we financed through GMAC. When meeting with the sales rep. He informed us that by purchancing Gap insurance through GMAC all of the warenty's and anything else included in the loan would be covered. This vehical was totalled as well and guess what everything was covered undetr the Gap Insurance.

Could someone please tell me why my gap claim was denied and what i can do to get my money back. I'm paying for two cars and one of them is in a scrap yard!!??!! I thought I knew what gap insurance was..

Meg
Sundown, New York
U.S.A.