Member Credit Protection (MCP)

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Being prepared has never been this economical!

MCP is a product that allows you to pay a one-time fee, and have the comfort of knowing that your assets are protected in a time of loss. MCP forgives your outstanding UNITED SA auto loan if one of two events occur:

  • you total your vehicle, resulting in a shortfall
  • you die during the term of the loan.

MCP is convenient, economical and usually costs less than purchasing similar products separately.

Here are some of the benefits:

  • It is a UNITED SA-administered product, so all interactions are with people you know and trust.
  • MCP helps protect your credit rating.
  • It reduces or pays off your covered loan balance up to the policy maximum.
  • MCP requires no complicated enrollment forms or physical exam.
  • You may conveniently include the cost in your loan payment.
  • You can take advantage of cost savings over purchasing GAP and Credit Life Insurance coverage separately.
  • You will have one less thing to worry about should a covered event occur.

Event #1

If your vehicle is stolen or totaled, your insurance company may not pay off the entire loan balance. That’s because your settlement is based on the vehicle’s cash value. Because vehicle values decline over time, your loan balance might be higher than the actual cash value. You could end up having to pay off a loan for a vehicle you can no longer drive!

MCP is designed to eliminate your unpaid auto loan balance in the event your vehicle is totaled or stolen. MCP supplements, but does not replace, your primary auto insurance coverage.

Example #1: If your vehicle is declared a total loss and the outstanding balance on your loan is $29,000, the comprehensive insurance payout figure may be less. Because your vehicle has depreciated since you purchased it, you only receive $25,000, leaving you with a deficit. With MCP, UNITED SA would pay the outstanding balance (shortfall) of $4,000.

Protecting your assets and your credit
Original loan balance $32,000
Loan after one year $29,000
Insurance Settlement covering vehicle’s current value $25,000
MCP cancels the debt on the shortfall between payoff and outstanding loan balance $4,000
Event #2

There is no way to predict an accident or your unexpected death, but you can take steps to make sure your family is not financially burdened if the unforeseen were to happen.

MCP allows UNITED SA to cancel your outstanding loan balance and your estate receives the title, free of any liens or encumbrances from the credit union.

Example #2: If you contracted an illness or experienced an accident that caused your death after the original date of the loan, UNITED SA would cancel your outstanding balance of $35,000 and release your vehicle’s title to your beneficiaries, relieving your loved ones of the burden of repaying your loan.

Protecting your family
Original loan balance $48,000
Two years later you have an unexpected illness or accident that takes your life and your outstanding balance is $35,000
UNITED SA forgives the debt
Total MCP Benefit $35,000

The purchase of Member Credit Protection is voluntary and cannot be required as a condition of loan approval. Member Credit Protection is a payoff shortfall and debt cancellation waiver. This represents a summary of coverage and is not a contract or part of the MCP agreement. Please consult the UNITED SA MCP Addendum and Disclosure for a complete explanation of the benefits and rules. The coverage offered is not a deposit, and is not federally insured, or guaranteed by UNITED SA Credit Union.