Protecting Your Investment: Loan Protection Options at B-M S Federal Credit Union

Purchasing a vehicle or taking out a loan is a major financial commitment, and unexpected events—from sudden repairs to job loss or illness—can put stress on your budget. That’s why we offer several optional protection plans designed to safeguard you, your family, and your finances.

Mechanical Repair Coverage (MRC)

Even well-maintained vehicles can experience unexpected breakdowns. Mechanical Repair Coverage helps protect you from costly repair bills long after your manufacturer’s warranty expires.

What MRC Offers:

With MRC, members get peace of mind knowing they’re covered for some of the most expensive and unpredictable vehicle repairs.

GAP – Guaranteed Asset Protection

Vehicles can depreciate faster than many borrowers expect. In the event of a total loss due to accident or theft, your auto insurance may only cover the current value of your vehicle—not the full amount you still owe on your loan.

GAP is especially valuable for newer vehicles, low-down-payment financing, or members rolling negative equity into a new loan.

Credit Life & Credit Disability Insurance

Life is unpredictable, but your loan payments don’t have to be. Credit Life and Credit Disability Insurance are designed to protect your loan—and your family—when the unexpected occurs.

Credit Life Insurance

If the borrower passes away, Credit Life Insurance can help pay off the remaining loan balance, relieving your family of financial burden during a difficult time.

Credit Disability Insurance

If an illness or injury prevents you from working, this insurance may help make your loan payments until you are able to return to work.

Key Advantages:

• Affordable premiums built into your loan payment.
• Immediate coverage with no complicated enrollment.
• Peace of mind knowing your financial commitments are protected.

These plans help safeguard your family’s stability, ensuring your loan doesn’t become an added stress during unexpected life events.

Why Add Loan Protection Through B-M S FCU?

• Tailored for members with competitive pricing and flexible options
• Simple claims processes designed for ease and convenience
• Protection that stays with your loan—not tied to a specific vehicle dealership or lender
• Local service from a credit union that knows and cares about its members

Our goal is to help you feel secure, supported, and prepared for whatever comes your way.

Is Loan Protection Right for You?

Every member’s situation is unique, and our team is here to help you choose the right coverage. Whether you want protection from unexpected repairs, financial gaps after a total loss, or the impact of life’s unforeseen challenges, our loan protection plans can offer valuable security.

To learn more or add protection to your existing loan, contact B-M S Federal Credit Union today.