Has anyone else experienced this situation?

[CAautogroup]

Hello all,

 

As an independent automotive shop we service most makes and models. We recently experienced a situation where a customer brought a vehicle for a no start diag, authorized certain repairs, and did not come to pick up vehicle since additional repairs were needed to complete the job.

 

We soon learned the reason why was because the owed balance isn't worth the cars value. I personally believe it isn't worth the headache, time, or money to deal with a mechanics lien for a car that's worth not much.

 

How do you guys handle diags? Do you collect the fee upfront to secure payment of your actual time covered?

 

And if a customer approves repairs, do you request a deposit? Only if repairs exceeds the cars value? (Older vehicles)

 

 

Thank you all for your thoughts and opinions in advance.

[xrac]

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[kars]

If I have any idea there is a chance the customer will not pay, I get at least all of the parts up front. If the repairs are 1/2 the book value of the car or more I have a serious conversation with the customer up front ( yes, I book a lot of vehicles before making repairs). I weigh all the pro's and cons of repairing the vehicle with the customer before they make a decision on the repair. I feel it is my job to be a trusted and unbiased advisor to them on all things vehicle related (and then some). People really seem to appreciate this.

Edited October 4, 2016 by kars

[kars]

If I have any idea there is a chance the customer will not or can not pay, I get at least all of the parts up front. If the repairs are 1/2 the book value of the car or more I have a serious conversation with the customer up front ( yes, I book a lot of vehicles before making repairs). I weigh all the pro's and cons of repairing the vehicle with the customer before they make a decision on the repair. I feel it is my job to be a trusted and unbiased advisor to them on all things vehicle related (and then some). People really seem to appreciate this.

In other words......no, I have not had this problem.

[Jeff]

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Edited October 4, 2016 by Jeff

[xrac]

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[mspecperformance]

If the bank owns the car, they will be coming for it. They cannot repo the car without paying you. Make sure you are documenting all the storage charges. Also a mechanic's lien shouldn't cost you more that $300 if you go through a lien guy but state laws vary.

[PAPShop]

Unless someone can correct me, Minnesota does not have mechanic's liens for automotive. If they owe you money on the repair, the car is sold at sheriff's auction and the amount owed you is given to you. If the car sells for less than what is owed, you get what was collected at the auction

Edited October 4, 2016 by PAPShop

[Jeff]

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[CAautogroup]

Bank refused to pick up vehicle, declared it abandoned since it was not worth the value ( it would cost more to pay off and send a wrecker to pick up the vehicle).

[3PuttFever]

soThe cars I've had abandoned are POS with deadbeat owners. I never get too far into anything without being paid. Some of that is luck and some of that is intuition. I have a junk dealer that will come pick them up for nothing and keeps them for so long and if the owner doesn't respond to his calls he goes through the process of getting the titles and parting it out.