Car repair cost I can’t afford?

Hello, 

I have a car which has a massive 11,000 dollar repair cost, the engine failed. While I don’t have 11 grand I want to shell out for a repair, even more concerning, the car itself is only worth about 20 grand now functioning properly. I do have insurance, and I always have gap coverage. 

What are my options here? Since the repair cost is literally more than 50% of what the car is worth, can I claim a total loss? Or will I be forced to pay the remaining financed 30 grand I owe for a car that I can’t even drive? 

Is my only option to trade it in and roll a massive amount of balance into another car? With this Covid situation work has been terrible and I’m already stressed beyond belief. Please help ;(

4 Answers

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  • Scott
    Lv 7
    1 month ago
    Favourite answer

    Insurance doesn't cover mechanical failure, so you can't make an insurance claim. Your best bet would be to have a used engine installed, it would be a lot cheaper than $11,000 and you should still be able to enjoy the car for several more years. A used engine would be a better financial decision than trading in a car worth very little and rolling over thousands in negative equity.into a new loan.

  • 1 month ago

    I think your only legitimate option, is to take the car to other mechanics to get additional estimates and you choose the lowest priced one = get the work done. 

  • 1 month ago

    Insurance does not cover a blown engine. How the **** do you blow the engine in  a $30k car? 

  • Anonymous
    1 month ago

    Can you claim a loss on your auto insurance?   No, not unless the engine failure was caused by an external factor such as a flood.

    Yes you borrowed the money and need to pay it back.

    "Is my only option to trade it in and roll a massive amount of balance into another car?"   Why on earth would you do that when you can fix this one? 

    "roll a massive amount of balance into another car"   You don't actually think someone is going to let you borrow 50k to buy a 30k car, do you you?    The car is collateral for the loan.

    If you need a car, repair the one you have.   It's a no-brainer.   Shop around and see if you can do better than 11k.

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