As cars turn into computers and repair costs rise, here’s how to beat the system and fix your car for less

Earlier this year, Gregory Rocco’s 2018 GMC Canyon started shuddering on the highway.
Rocco was shocked to learn that his six-year-old pickup truck was already in need of a $6,000 transmission repair — especially troubling since he’s still paying off the vehicle. 
He considered trading it in, but given that the vehicle’s transmission issues would lower the car’s value, he decided against it.
“I didn’t have a choice,” he says. “I was going to get killed on that even if I traded it in.”
Mohamed Bouchama, consultant with Car Help Canada, a consumer advocacy organization, says “there is no question that the cost of car repairs has gone up substantially. Consumers are really having a hard time paying for repairs.”
Bouchama points to inflation, a shortage of car parts and, mostly, the increasing computerization of auto components for the rising costs.
Owners with four- to 12-year-old vehicles are especially feeling the pinch when it comes to maintenance and repair costs.
In September, the average cost to visit a dealership rose to $465 from $432 a year ago, while a similar trip to an independent shop jumped to $273 from $262, according to J.D. Power’s 2024 Canada Customer Service Index Long-Term Study published this month.
The study concludes that macroeconomic conditions and high interest rates are pushing owners to hold on to their vehicles for longer, opting to fix them instead of buying new.
As for the cars themselves, it’s getting harder for independent garages to fix problems because they lack the proper diagnostic equipment, Bouchama says, pushing consumers to dealerships, which typically charge more for repairs. 
Eli Melnick, president and licensed automotive technician at Toronto-based Start Auto Forensics, says the challenge is that mechanics trained 30 years ago are not always equipped to repair today’s vehicles where nearly every system is computer controlled. “It’s more of a high-tech approach rather than getting dirty,” Melnick says.
“To be able to work on today’s cars, you have to be a good mechanic, a good electrician, a good electronics and computer data technician, and a refrigeration technician because you’re dealing with air conditioning on cars,” Melnick says. The new generation of technicians who are capable of doing that demand higher pay than consumers are prepared to shell out. 
While consumers will need to acknowledge the sophistication required in fixing modern vehicles, there are steps you can take to keep repair costs down.
An extended warranty can help reduce the cost of repairs beyond the original warranty, but whether you’re getting bang for your buck depends on the type of vehicle.
European luxury cars, such as Mercedes-Benz, BMW, Audi or a Volvo, for example, can be notoriously expensive to repair, says George Iny, president of the Automobile Protection Association. These cars “cost an arm and a leg to fix and aren’t all that reliable,” he says.
When it comes to brand-new vehicles that you’re buying (and not leasing), it’s prudent to buy an extended warranty from the manufacturer, and not the aftermarket — even if it’s cheaper, he adds. The aftermarket refers to the market for parts, accessories and services related to vehicles after they’ve been sold by the original manufacturer.
Iny recommends looking for full coverage.
“Don’t just get the engine and transmission or other parts of the car that exclude, for example, electronics, air conditioning or the screen on the dash,” Iny says, “because that’s where you’re more likely to have expensive failures these days.” 
Iny also suggests paying extra for prepaid maintenance, which covers the costs of regular maintenance and services such as oil changes. “It’s at least 30 per cent cheaper than it would cost you to buy the maintenance later,” he says.
Bouchama says to keep in mind, however, that most dealers are trying to sell an extended warranty because “they make a lot of money on it.”
If buying a Honda Civic, Toyota Corolla or Toyota Camry, all Japanese-manufactured vehicles, Bouchama says he wouldn’t bother with an extended warranty because they’re more reliable.
“I’d rather put that money in the bank and let it earn interest,” Bouchama says. “If three to five years down the road there’s an issue, then I’ll have the money in the bank to pay for it.”
While there are some lemons in the automotive market, by and large, cars are good quality today, Melnick says. “They’re decent on fuel, they start and go.”
However, to stay in good shape, they’ll need to be regularly maintained, and some many people are reluctant to keep up with maintenance because of the costs. That’s where problems start, he says.
Melnick advises car owners to pay close attention to their owner’s manual’s maintenance section, which outlines tasks to be done at what mileage or time. This means going beyond basic maintenance, Melnick says, like oil changes, and staying on top of the fluid and filter replacement schedule which can prolong the life of the vehicle and save you money down the road. 
When possible, Bouchama and Iny both recommend turning to independent garages instead of dealerships for repairs — if you can find a place capable of doing them.
“The problem is that a lot of people don’t have the time to do that and just go to a dealer,” Bouchama says, recommending that owners ask family, friends and co-workers if they know of any good mechanics with reasonable prices.
That can include getting multiple opinions. 
“Diagnosis is the hardest and most variable part of repair,” Iny says. “ It’s worth spending some money, particularly if your vehicle is still driveable and you’ve got a big estimate.”
There is also an opportunity to buy used car parts for repairs, but you’ll have to ask as most independent shops won’t make the offer, Iny says. The price can be less than half that of new parts, he says, and some automotive recyclers offer one-year warranties on parts they supply.
Repair shops have also been turning to Amazon for discounts.
“Quality is variable, but it could be much, much cheaper,” Iny says. “You’d want to buy from a company that’s recognized for selling parts.”
Iny has also helped customers cut costs on expensive computerized replacements, but it will take finding an independent shop that’s willing to get creative.
For example, a new dashboard screen can cost $3,000 to $4,000 from the carmaker to completely assemble.
“Someone who knows what they’re doing could buy a screen for a couple hundred bucks and graft it onto your vehicle,” he says, “but that’s the exception more than the rule.”