The Intent to Cancel notification will indicate when the customer must rectify the payment default or the cancellation will be completed.
In the event of a cancellation of a certificate and the NIDPP Agreement, the following cancellation terms will apply:
In the event of a cancellation due to payment default, the Administrator will cancel the certificate pro-rata based on time as of the date of payment default.
- In the case of cancellation due to payment default, the customer will not receive a refund and the Selling Dealer will be responsible for the pro-rated portion of the Net Markup, less any funds collected in excess of used retail cost + cancel fee + claims paid (to a minimum of 0.00).
In the event of cancellation on a cancelable certificate by request of the customer/Selling Dealer or on a non cancelable certificate by request of the Selling Dealer (cancellation not due to payment default), the Administrator will cancel the certificate using the pro-rata method of time/mileage.
- In the case of cancellation by request, the refund due to the customer will be calculated according to the pro-rata method of time/mileage, including a cancellation fee (plus tax) and paid claims as well as the total funds received from the customer excluding any NSF fees charged. The Selling Dealer will be responsible to reimburse the Administrator any amount of the unearned Net Markup.