Car repair cost I can’t afford?
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 ;(
- ScottLv 71 month agoFavourite 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.
- A HunchLv 71 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.
- John AldenLv 71 month ago
Insurance does not cover a blown engine. How the **** do you blow the engine in a $30k car?
- Anonymous1 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.